By Sabina Mollot
On Monday, the city sued a Manhattan brokerage firm, Metropolitan Property Group, as well as real estate agents and entities currently or formerly associated with Metropolitan, accusing them of running a $20 million illegal short-term rental scheme.
The rentals, arranged mostly through Airbnb, were spread across 130 apartments in 35 buildings, the city said. Five of the buildings were listed in the lawsuit, three of them located in Kips Bay at 207-215 East 27th Street, 230 East 30th Street and 218 Third Avenue. Another was in Midtown East at 123 East 54th Street and another building in Harlem, 200 East 116th Street, was completely transformed into an illegal hotel, according to the lawsuit filed by the Mayor’s Office of Special Enforcement (OSE).
OSE said it was also able to determine that 18 entities affiliated with MPG and its employees received at least $20.7 million for short-term rental transactions made through Airbnb alone from 2015 to 2018. Named in the suit were Metropolitan CEO Sami Katri, his wife Shely Katri, Maxim Beckman, Simon Itah and Alon Karasenty.