City settles illegal rental suit with Hell’s Kitchen, LES landlords
BY BEN BRACHFELD
The de Blasio Administration
has settled lawsuits against two
Manhattan landlords accused of
operating illegal Airbnbs, the Mayor’s Office
announced Wednesday, with a total
settlement value of over $1.2 million.
The suits accused the landlords of illegally
converting permanent housing into
short-term rentals in violation of city law.
The suits were led by the Mayor’s Office
of Special Enforcement, which is tasked
with cracking down on “harmful illegal and
unregulated industries” such as the shortterm
rental market.
“Today’s settlements send a clear message
that illegal hotels will not be tolerated in
our city and those who operate them will
be punished,” City Council Speaker Corey
Johnson said in a statement. “I’m proud that
the Council voted to strengthen the Office
of Special Enforcement to make it easier to
find lawbreakers. Illegal hotels are a nuisance
in our communities and take away
affordable housing at a time when we need
it desperately. I thank the Office of Special
Enforcement for their work on this issue, as
well as the de Blasio Administration and my
colleagues at the Council for their steadfast
commitment to putting these illegal hotels
out of businesses.”
City and state law strictly regulates landlords’
ability to use platforms like Airbnb
to rent out permanent housing stock on a
short-term basis for profit. Landlords cannot
rent out apartments for fewer than 30
consecutive days unless the host is staying
in the apartment with the guest over that
time period.
New York contends that this is necessary
to prevent apartments, including
rent-stabilized and other affordable units,
from being quietly taken off the rental market
and turned into de facto hotel rooms,
decreasing the city’s housing stock while
allowing landlords to reap greater profits.
The larger settlement was with Big Apple
Management, which will have to fork over
$700,000 to the city to resolve the suit,
filed in 2018, accusing the company and
its owner, Maxine Gilbert, of permitting
90 units in seven buildings on West 47th
Street in Hell’s Kitchen to be advertised and
rented on Airbnb.
Separately, Big Apple is accused of permitting
short-term rentals in 33 other apartments
on Airbnb in buildings not included
in the lawsuit.
The other settlement was against Rose
King, who reached a $516,000 deal with the
city to settle a 2017 suit related to her renting
out at least a dozen units in three Lower
East Side buildings on Airbnb. King used
34 separate accounts to rent out the units.
Gilbert had denied knowing that the units
were being rented out, saying instead that it
was being done by “professional operators,”
while King did not deny renting out the units
but claimed she did not know the activity was
illegal, according to The Real Deal.
The city also announced a separate,
$10,000 settlement with SoHo Lofts NYC,
which was one of the defendants in a similar
suit involving units in four East Village
buildings.
“Illegal short term rental operations take
many forms, but OSE is here to hold the
owners and operators accountable for their
actions and to preserve housing for New
York City families,” said Christian Klossner,
Executive Director of OSE, in a statement.
A spokesperson for Airbnb declined to
comment on the settlements.
Manhattan residents offer mixed reactions to Cuomo’s resignation
BY HARRY PARKER AND DEAN
JAMIESON
When Manhattan residents their
opinion on Governor Andrew
Cuomo’s resignation on Aug.
10, and the conclusion was unanimous: he
had to go.
Cuomo’s downfall was stunning in it’s
speed and scale – it’s took only eight days
from the Attorney General’s report for
Cuomo to resign. Yet, feelings on the street
in downtown Manhattan were mixed, ranging
from apathy, to anger, to cautious hope.
Most seemed disappointed; at who, however,
was far from unanimous.
“I’m happy we’re getting a female governor,
but, you know, when I went to tell my
boss, ‘Cuomo resigned,’ he just said, ‘eh,’”
David, 34, said. “And I think that’s how we
all feel.”
Others were not so blasé. “Why did it take
so long?” said Sarah, 22.
“I’m just really disappointed in this guy. I
had a lot of respect for him, but there’s just
a weak side to the guy, and it’s a shame,”
said Keith, 61.
“I’m just surprised that his ego allowed
him to resign,” said Stephanie F.
Others were not so sure of Cuomo’s guilt,
PHOTO BY HARRY PARKER
Manhattanite Estella Zacharia
or, despite the allegations, still harbored
good will for him. “I wish he wasn’t resigning,
he’s a good guy,” Arthur White, 41, said.
“He made sure we ate.”
“Honestly, as a woman, I feel bad for the
guy,” Chloe said. “I sympathize with the
women, I am that woman, but I think he
did a lot of good for the City.”
Overall, the mood seemed disappointed,
cautiously hopeful, but a little indifferent.
“I was just about to call somebody and tell
them congratulations,” said Boris. “But me?
I don’t really care.”
Joan Strauss, 84, says the resignation had
to happen, but she thinks the reasons show
a generational split.
“I’m from a different generation. I’m
pre-’Me Too’”, said Strauss. “Some of the
accusations I thought were plain BS, and
silly. But I know guys like that who are
touchy-feely and very aggressive, and it can
be very unpleasant.”
Vijay Dandapani, President & CEO of
the Hotel Association of New York City
(HANYC), said the resignation is a relief
to all.
“It is clearly the right decision as the state
and all its citizens need certainty in governance
which was increasingly becoming
difficult if not impossible In the last couple
of weeks,” Dandapani said.
Russell Squire, Chair of Community
Board 8 in Manhattan, expressed relief over
the end of the political uncertainty and gratitude
for the women who spoke out against
the Governor.
“With Governor Cuomo’s resignation,
our state government will be able to move
forward with the process of governing.
We are grateful to all of the brave women
who came forward, our elected leaders and
advocates who called for accountability, and
to the media who pressed on,” Squire said
in a statement,
Gale Brewer, Manhattan Borough
president, pointed to the future of women
in leadership in New York.
“I got my start in politics helping to elect
and then working for a woman Lieutenant
Governor. I’m looking forward to working
with Kathy Hochul,” Brewer said in a tweet.
Upper East Side Assemblywoman Rebecca
Seawright gave thanks first and foremost
to the brave women who came forward and
told the stories of their abusive treatment
within the highest executive office of our
state. No amount of victim-shaming will ever
diminish their courageous actions, she said.
“Governor Cuomo was right to announce
his resignation today. ... We must, however,
take whatever steps are necessary to ensure
that the devastating findings of the Attorney
General’s report on the treatment of women
and abuse of state resources are never again
allowed to occur in New York State,” said
Seawright.
Schneps Mediia Augustt 12,, 2021 3