Garodnick: Bondholders say they’re owed $4.7 B

Dec11 TA crowd

Tenants pack the auditorium of the Simon Baruch Middle School for the Tenants Association meeting on Saturday. (Photo by Maria Rocha-Buchel)

By Maria Rocha-Buschel
While the future of Stuyvesant Town/Peter Cooper Village remains as uncertain as ever, at a meeting held on Saturday, tenants got walked through what some of the legalese concerning the foreclosure that had been planned for earlier this year and then canceled means for the community.

This was one of the topics covered at the meeting, which was held by the ST-PCV Tenants Association and attended by around 500 residents who packed the auditorium of the Simon Baruch Middle School.

Council Member Dan Garodnick discussed how when the foreclosure was canceled, the deed of property was transferred to the senior level of the trust. He said that this means the bondholders now own the property but CWCapital continues to represent their interests. He noted that the agreement put in place means that CWCapital could represent the bondholders for a term of three years, which is renewable for a second three-year term. He added that they originally acquired the property for $3 billion and are open to the possibility of conversion but only if they get back the $4.7 billion they are owed.

When a resident asked later in the meeting why the amount had increased so much, Garodnick noted that it was due to interest and fees.
“A whole list of junk,” he said. “‘Special servicing fees,’ that’s what they claim to be owed.”

Garodnick also addressed a question from a resident about CWCapital’s parent company, Fortress. While Fannie Mae and Freddie Mac have pledged to not approve of any deal that reduced affordable housing, Garodnick noted that it was possible to cut Fannie and Freddie out of the process if CWCapital hands the property over to Fortress, although he noted that this scenario is unlikely.

State Senator Brad Hoylman speaks to the crowd, while Assembly Member Brian Kavanagh and Council Member Dan Garodnick listen. (Photo by Maria Rocha-Buschel)

State Senator Brad Hoylman speaks to the crowd, while Assembly Member Brian Kavanagh and Council Member Dan Garodnick listen. (Photo by Maria Rocha-Buschel)

Along with Garodnick, other local elected officials were in attendance to address the TA’s conversion effort, the state of affordable housing and other topics.
Congresswoman Carolyn Maloney and Assemblymember Brian Kavanagh were also at the meeting and were joined later in the afternoon by City Comptroller Scott Stringer, State Senator Brad Hoylman and Manhattan Borough President Gale Brewer.

Stringer assured the crowd his office is committed to preserving affordable housing, especially given the recent Democratic losses in Albany.

“Our office is ready to partner with whatever plan this Tenants Association puts forward,” he said. “Even the most important and ambitious housing plan can’t make up the loss if Stuyvesant Towns and Peter Cooper Villages of the world are lost.”
Stringer added that it was his son’s third birthday, eliciting cheers from the crowd. But when State Senator Brad Hoylman, who spoke next, made sure everyone was aware that it was also Governor Cuomo’s birthday, the room was silent.

“It’s just a fact. We’re gonna need him,” Hoylman said apologetically among laughs from the crowd after the negative reaction.

Holyman then discussed the Democrats’ current fate in Albany.
“Unfortunately it’s not very different from what you see out the window: cold, dreary and windy,” he remarked.

Hoylman blamed poor voter turnout in the recent midterm elections for Democratic losses in the state. With the rent laws up for renewal next year, he said that the Republicans’ new operational majority will make protecting tenants more difficult.

“Some Republicans live closer to Cleveland than to Manhattan,” he said. “But physically making yourself known makes a difference. We have numbers on our side and a lot of smart people on our side.”

He added that legislation protecting tenants did get passed in 2011 when Republicans also had a majority so he encouraged residents to remain optimistic.

TA attorney Tim Collins also spoke to address specific questions and concerns about rent and MCIs.

Collins discussed rent and MCI concerns at the beginning of the meeting. Residents of 431 East 20th Street in Peter Cooper Village said that they had received MCIs for façade work at the end of November and residents from 601 East 20th Street and 2 Peter Cooper Road also received docket letters from DHCR about MCIs for façade work.

“How is it restoration and improvement?” one tenant asked, prompting laughter from neighbors. Collins agreed with the assessment, noting, “It’s not an improvement, it’s a repair.”

A notice from the TA that was released on Monday said that more buildings will likely be hit with the MCI for façade work. The statement encouraged residents to keep the docket letters they receive about MCIs from DHCR and send copies to the TA so it can keep track of which buildings have received them and help tenants fight the rent increases.

Another issue discussed was apartment inspections with tenants skeptical that management only needs to give a day’s notice to come in for inspections. However, Collins confirmed that this is correct. If management needs to get into an apartment to do any work or make repairs, the tenants need to be informed a week in advance but if they need to get in just for inspections, they only need to inform tenants 24 hours before.

Collins also addressed late fees that some tenants have been charged with, including tenants who have been charged but said they don’t have a provision for late fees in their lease.

“If you have been charged a late fee, talk to management because there is no legal recourse for the fee,” he said, adding that tenants with such a provision who have been charged more than five percent should be getting a refund. He noted that there is also some leniency for tenants who are late on their rent the first time and he recommended talking to management about the fee.

TA chair Susan Steinberg noted that the TA will be meeting with management on December 16 and would be able to address questions from residents raised at the meeting, including the lack of action from public safety concerning speeding electronic bikes, disruptive NYU students and residents who are in non-compliance with the floor covering rules.

Conversion, legal issues, rent regulations to be discussed at TA meeting

Brewer, Stringer support TA’s conversion effort

ST-PCV Tenants Association President John Marsh speaking at meeting on Saturday (Photo by Sabina Mollot)

ST-PCV Tenants Association President John Marsh at a previous meeting (Photo by Sabina Mollot)

The Stuyvesant Town-Peter Cooper Village Tenants Association will be holding its next general meeting on Saturday, December 6 at 1 p.m.

Topics will include recent legal issues, the annual review of Tenant Association activities, a conversion update, the Fannie Mae–Freddie Mac commitment to ST/PCV, what lies ahead in Albany post-election with respect to tenant issues and how New York City’s Comptroller’s Office and the Manhattan Borough President’s office will support the TA’s conversion effort.

Speakers will include TA attorney Tim Collins, Councilman Dan Garodnick, Congress Member Carolyn Maloney, NYS Senator Brad Hoylman, NYC Comptroller Scott Stringer and Manhattan Borough President Gale Brewer.

After the speakers, there will be an open mike question-and-answer session. Tenants will have an opportunity to line up before a floor microphone and ask about critical issues.

The meeting will be held at Middle School 104, East 20th Street between First and Second Avenues. Doors open at 12:30 p.m.

Maloney, Hoylman, Kavanagh re-elected

Congresswoman Carolyn Maloney chats with a voter in Stuyvesant Town.  (Photo courtesy of Congress Member Maloney)

Congresswoman Carolyn Maloney chats with a voter in Stuyvesant Town. (Photo courtesy of Congress Member Maloney)

By Sabina Mollot

On Tuesday, three local Democrats easily held on to their positions as voters, along with re-electing Andrew Cuomo as governor, also re-elected Congresswoman Carolyn Maloney, State Senator Brad Hoylman and Assembly Member Brian Kavanagh.

Maloney won with 79.85 percent of the vote, defeating former seminary student and former Pfizer employee Nicholas Di iorio, who got 20.15 percent.
Di iorio had fought tooth and nail for each vote though, having sent out near daily press releases blasting his opponent in the weeks leading up to the election on everything from her trip to China to secure a panda for New York to failure to get many bills passed in Washington. For this he labeled her ineffective.

He’d also hounded his opponent for a debate, and did eventually succeed in wearing her down. The only debate of the campaign took place at a newspaper office in Queens last Thursday, focusing on issues of interest to that part of the district.

Meanwhile, by Tuesday morning, Maloney reported doing well with voters she encountered while campaigning.
Many told her they’d be giving her their vote, though she quickly added, “I probably shouldn’t say that. Of course they’re not going to tell me if they weren’t going to vote for me.”

After casting her own vote at the 92nd Street Y, Maloney also made several stops throughout the district, including popping by Stuyvesant Town in the afternoon.
Some voters had gripes about long lines to cast their votes, although this year, without a presidential election, lines weren’t exactly spilling out of polling place doors.“It’s definitely lower (turnout) than in a presidential year, but people are coming out to vote,” said Maloney. She added that she would work on trying to keep lines shorter in the future, either by pushing for more polling sites or the creation of smaller voting districts.

She also said that if reelected, “I’ll be focused like a laser on affordable housing and making sure Fannie Mae and Freddie Mac do not finance anything that removes affordable housing.”
Other goals included making it easier for people to buy homes, doing away with excessive bank overdraft fees and getting a bill for women’s equality passed, that has, since Maloney’s been in office, failed to do so.

Nicholas Di iorio talks to a voter in Brooklyn. (Photo courtesy of Nicholas Di iorio)

Nicholas Di iorio talks to a voter in Brooklyn. (Photo courtesy of Nicholas Di iorio)

On Tuesday, Di orio was also making various campaign stops around the three-borough district, starting on the Upper East Side, where he lives not far from Maloney, Greenpoint, Brooklyn and later Queens. At around 11 a.m., he was in Manhattan, after voting at Knickerbocker Plaza on 91st Street.

He said for the most part voters he was encountering were familiar with his campaign, having read interviews with him in Town & Village and other newspapers.
When voters stopped to chat with the candidate, typically they had questions that were economy-related. This is where he felt his background working to save money for a pharmaceutical giant worked in his favor.

“It’s been a great day so far,” said Di iorio said. “A lot of the legislators in Congress talk about growing the economy but they haven’t spent time working in economics. That’s one of the differences between me and Congress Member Maloney. I’m trying to help companies and small businesses hire more employees.”
His platform was based around cutting corporate taxes to keep jobs from going overseas.

Later, when asked about the contentious nature of the race, Maloney dismissed her opponent’s steady stream of criticism as a typical Republican tactic.
“The Republicans do not fight on issues,” she said. “They try to destroy the person.”

But not all Republicans used tough guy tactics in this race — or even any tactics at all. Hoylman and Kavanagh both sailed to reelection thanks to their opponents, Stuyvesant Town resident Frank Scala, and East Villager Bryan Cooper, respectively, not running active campaigns.
Kavanagh won with 85.06 percent of the vote, while Cooper got 14.94 percent. Hoylman got 85.66 percent while Scala got 14.34 percent.

State Senate candidate Frank Scala

State Senate candidate Frank Scala

Scala, who’s the president of the Albano Republican Club and the owner of a Fifth Avenue barber shop, said he only ran for State Senate after being asked by the Republican County Committee. But he didn’t seek attention beyond participating in a candidate forum last week hosted by the 17th Precinct Community Council, which his opponent didn’t attend.
And this wouldn’t be the first time in recent years that local candidates have run just to have a Republican on the ballot. In Manhattan, there hasn’t been a Republican elected since the late Roy Goodman left the State Senate in 2002.

Cooper, who, like Scala, has run for office locally before, told Town & Village he had been genuinely interested in running for Assembly, but had wanted to try doing it in a “grassroots” way. He didn’t build a campaign website or attempt to get press, choosing instead to walk around the Lower East Side and the East Village, mostly, as well as Stuy Town where he said he’s noticed a “strong Republican presence.”

“People do come to our club meetings,” he said, referring to the Albano Club, in which he’s a district leader. “People feel like our interests are not being represented. We need a Republican, especially on the Lower East Side.”
Cooper, a production assistant and Navy veteran, said he’d been hearing disgust from his neighbors about corruption in Albany and Cuomo’s handling of the Moreland Commission’s dismantling. Lack of jobs was another concern.

Nov6 Bryan Cooper

Assembly candidate Bryan Cooper

“We want more businesses to be here, less taxes. There’s more unemployment and the homeless situation has risen. Why is this? Businesses are leaving New York.”
He also said that following Mayor de Blasio’s efforts to end stop-and-frisk, he’s found that people no longer feel safe.
“Ever since they stopped stop-and-frisk, people are like, ‘I’m out of here,’” he said. “What’s the point of having a police force when your hands are tied? What’s the problem with stopping and asking a question or checking your bag?”

On his low-key campaign, he explained it was mainly due to money reasons, but he also wanted to see “how effective it would be,” since he is already planning a run for State Senate. “Maybe if this doesn’t work out, I’ll learn my lesson.”