Developers Bend Rules and Screw Buyers
We’re supposed to be focusing on other things this week, but wanted to make sure everyone saw Sunday’s article about the C of O quagmire that the buyers of new condos on Spencer Street between Willoughby and Dekalb in Bed Stuy are now in. While this is a disaster for the purchasers who are the…
We’re supposed to be focusing on other things this week, but wanted to make sure everyone saw Sunday’s article about the C of O quagmire that the buyers of new condos on Spencer Street between Willoughby and Dekalb in Bed Stuy are now in. While this is a disaster for the purchasers who are the unwitting victims, we’re glad to see that developers are getting called to task for pulling a bait-and-switch tactic that we drew attention to back in July.
In our post on the South 3rd Street development in Williamsburg, we described how developers will apply to build extra square footage on the premise that it will be used to serve a community purpose (like housing for a religious or educational institution) and then when the project is built the community group will mysteriously not need the space anymore and the developer will sell it on the open market. This has been particularly prevalent in Williamsburg and its environs but obviously it has been happening elsewhere as well.
In this particular case, the villains are a group of developers including Mendel Brach, Moshe Oknin and Moshe Roth and their accomplice is architect Henry Radusky (who has won everyone’s respect and admiration with his pillaging of the South Slope). So now the buyers, who were able to close and get mortgages when the buildings received temporary C of O’s, are stuck in the strange position of being unable to sell their units because the DOB won’t grant permanent C of O’s. Personally, we think the developers should be forced to reimburse everyone for the purchase price plus other incurred expenses and hardship. Then they should be tried criminally. What scum bags.
Do people know of other specific incidents of developers pulling this crap? Let’s out them if we can. Maybe the papers will pick it up.
Caught in the Twilight Zone [NY Times]
South 3rd Street Development [Brownstoner]
More Trouble at Radusky Site [Brownstoner]
Work Officially Stopped on 15th Street [Brownstoner]
Have any Brownstoner readers bought a newly built condo in Brooklyn that is satisfactory in terms of quality of construction?
Oh yeah Josh great philosophy – rip people off as much as possible until you get sued. Nothing unethical about that.
Developers build shoddy crap and bilk people out of their money.
When buyers sue, the developers can always declare bankruptcy and never have to pay.
YAY – it’s the American Way! I love this country and upstanding citizens like you.
Isn’t this pretty simple? You can disagree with the existence or purpose of the zoning laws but Don’t see how you can argue that these developers were in the right. They are hardly modern-day Robin Hoods. If they know they can build more s.f. by breaking the law then that enables them to out-bid other developers who are playing by the rules. Add to that the defrauding of investors and these guys should do time.
very compelling point, JoshK – and succinctly delivered!
That link may not work.
Try this:
http://a810-bisweb.nyc.gov/bisweb/bsqpm01.jsp
So your answer Josh K is that we have a court system,go and sue the hazardous waste plant owner for damages? Well done, well thought out…
For those looking for info on building applications.
Basic information can be found here:
http://a810-bisweb.nyc.gov/bisweb/bispi00.jsp?static=true&s=11BABC942656EDFCF389E08BC1A4ABA4
But I think what you want to do is look at the plans.
You will need to go to the DOB in person.
In order to even get in the DOB you have to be either a homeowner, an expediter, or an architect/engineer.
Bring the application # that you find on the website, and ask for the folder.
Or ask for a records search on that address or block and lot.
You will need to show an ID (NYS drivers licence is fine).
You can not remove plans from the DOB,
but you can make copies.
If the job is in the process of being approved, you can not see the plans, because the folder is in the applicants hands.
Hope I have been helpful.
“And suppose I own the property from before the regulations were enacted, would you agree that the restrictions are harmful toward my property interests? Would you then agree that impostions of any sort is unethical, since it is no less than legalized theft?”
iceburg, the NYC zoning now in place was enacted in 1961. Whatever use a particular property had at the time was not restricted by the new rules – those uses were ‘grandfathered’ in. not harmful to your property. and how do you make the leap from your initial (erroneous) presumption to the position that any restriction on what you do with your private property is thievery? I would hope the government would prevent someone from building a meth lab next door to my apartment (or even yours) for instance. or am i missing some fine subtlety in your argument?
PS– from The Developers Group website:
http://www.thedevelopersgroup.com/press/PressPage.aspx?press_id=100
Mr. Padeh is one of a group of developers, architects and consultants who
have engaged in a spurt of deals, reaped their fortunes and started
indulging in personal spending with an excess reminiscent of the dot-com
era. Their mission is to satiate what they believe is an almost unbounded demand for luxury residential properties across the East River.
“I’m trying to think if I envision a limit, but I don’t see it,” says the 34-year-old chief executive of The Developers Group. “If you have young people who are driven, you can do almost anything.”
Yeah, and if they’re trusting people (unlike me!) and they don’t have 5 different people (plumber, electrician, architect/planner, lawyer and my father-in-law) inspecting the property and the entire history of the building, managing agent and anything else you can dig up (the way we did) you will successfully swindle until you’re swimming in cash.
Let the buyer ALWAYS beware… please!