Report: Kushner Co. filed false paperwork with the city over number of rent-regulated tenants

The Associated Press reported yesterday that Jared Kushner’s Kushner Cos. routinely filed false paperwork with the city declaring that it had zero rent-regulated tenants in buildings it owns when, in fact, they had hundreds.

A tenants' right watchdog group, Housing Rights Initiative, compiled the work-permit application documents and shared them with the AP.

In addition, the AP points out what has been previously covered in other outlets: In Kushner buildings across the city, records show frequent complaints about construction going on early in the morning or late at night against the rules, improper or illegal construction, and work without a permit.

Here's a passage about a tenant in 170-174 E. Second St.:

At a six-story walk-up in Manhattan’s East Village that was once home to the Beat poet Allen Ginsberg, the Kushner Cos. filed an application to begin construction in late 2013 that, again, listed zero rent-regulated tenants. Tax records a few months later showed seven rent-regulated units.

"All of a sudden, there was drilling, drilling. ... You heard the drilling in the middle of night," said one of the rent-regulated tenants, Mary Ann Siwek, 67, who lives on Social Security payments and odd jobs. "There were rats coming in from the abandoned building next door. The hallways were always filled with lumber and sawdust and plaster."

A knock on the door came a few weeks later, and an offer of at least $10,000 if she agreed to leave the building.

"I know it's pretty horrible, but we can help you get out," Siwek recalls the man saying. "We can offer you money."

Siwek turned down the cash and sued instead. She said she won a year's worth of free rent and a new refrigerator.

Read the full AP piece here.

For their part, Kushner Cos. told the AP in a statement that it outsources the work-permit preparation to third parties that are reviewed by independent counsel, and "if mistakes or violations are identified, corrective action is taken immediately." The statement added: "Kushner would never deny any tenant their due-process rights."

Kushner currently serves as an adviser to his father-in-law, President Trump.

Updated

Here's a statement from City Councilmember Carlina Rivera...

“As the representative of a district with one of the highest rates of Kushner-owned property in the city, I am outraged to see the Trump family’s continued alleged criminal abuse of working-class New Yorkers. These alleged false work permits may come from the biggest name in corrupt real estate in this city, but Kushner is certainly not the first to allegedly commit this kind of fraud. The lax enforcement by DOB and HPD of these illegal filings has allowed not only Kushner, but also names like Croman, Tolidano, and countless other bad actors to plague the residents of my district for decades with clear-faced harassment disguised as permitted construction.

I have fought alongside activists for hundreds of residents who have lost their lifelong homes to the Kushner family’s harassment, and the city must take action to punish those responsible. I look forward to participating in the Council’s investigation into Kushner Cos., and I expect to hear from city agencies as to why this abuse of power continued for so long.”

Updated 3/20

According to reports, AG Eric Schneiderman will meet with tenant representatives affected by the alleged tactics of Kushner Cos.

File photo of 170-174 E. 2nd St.

Previously on EV Grieve:
[Updated] Report: Jared Kushner buys $130 million portfolio of East Village rental buildings

Report: Jared Kushner paid $49 million for 7 more Ben Shaoul-owned properties in the East Village

More about Jared Kushner's East Village buying spree

Tenants claim: Kushner and Westminster want to destroy this building's beautiful garden

Reports outline how Kushner Companies is aggressively trying to empty 170-174 E. 2nd St.

Local politicos join residents of 2 Jared Kushner-owned buildings to speak out about poor living conditions, alleged harassment

Jared Kushner's residents at 118 E. 4th St. would like gas for cooking and some heat

Jared Kushner's East Village tenants wish he'd resolve issues closer to home

Sugar Sketch setting up shop on East 2nd Street

Sugar Sketch, a bakery (cakery per the sign), is coming soon to the empty storefront at 172 E. Second St. between Avenue A and Avenue B...



Here's more about the proprietor from the Sugar Sketch website:

Martina Nardo has been a Pastry Chef and Cake Designer for the past six years in New York City. Born and raised in Rome, Italy, her passion for both food and art stems from her heritage. Her grandmother taught her to appreciate the simplicity of Italian cuisine, its flavors, and the cultural value associated with it. Her mother – a graphic designer and illustrator – has played a major influence encouraging her to apply creativity towards her cakes making them true works of art.

Upon receiving her BA in Psychology from the New School, she began her studies of the Culinary Arts at the Institute of Culinary Education and finished her studies with a degree in Cake Designs and Techniques at The French Culinary Institute in NYC. After working in several kitchen settings throughout Manhattan, Martina launched Sugar Sketch in 2013.

She has been making cakes, cupcakes and cookies by order... this will be the first retail space.

H/T EVG reader Ronnie!

When psychics close: If you're of the mind to rent this space on East 2nd Street

We have no idea when this storefront closed on East Second Street between Avenue A and Avenue B... an EVG reader mentioned it to us, noting that it was rare to see a psychic close up shop.

Well, there have been a few to shutter... like here and here ... and here?

Interestingly/impressively enough the psychic stayed in business for almost two years after Jared Kushner's Westminster Management bought the buildings here at 170-174 E. Second St. (Other tenants didn't fare so well.)

Per the retail listing, rent on the 250-square-foot space is available upon request. From that listing: "Bathroom in place and some concession towards work is available. Most uses are considered including non cooking food use."

A barber shop is coming soon to East 2nd Street

The signage recently arrived here at 174 E. Second St. between Avenue A and Avenue B… in one of the long-empty storefronts. Don't have any info about the place at the moment. The sign reads "Cut. Shave. Care."

This is the first retail tenant to take a space here since Jared Kushner bought 170-174 E. Second St. in December 2013.

Previously on EV Grieve:
'Most uses considered' for 3 retail spaces at Kushner's 170 E. 2nd St.

Residents continue to speak out about living conditions in Jared Kushner's 170-174 E. 2nd St.

Residents continue to speak out about living conditions in Jared Kushner's 170-174 E. 2nd St.

[EVG file photo]

Fourth Arts Block (FABnyc) and the Cooper Square Committee issued the following news release yesterday regarding the ongoing drama at the Jared Kushner-owned 170-174 E. Second St.

What follows is an edited excerpt:

Countering the common narrative that artists drive gentrification, many East Village artists are actually long-time residents, fighting to remain in affordable housing with their neighbors, reported Cooper Square Committee, a 50-year old tenant advocacy organization.

Like many buildings in the East Village, 170-174 East 2nd Street has long been home to writers, painters, sculptors, and musicians, including beat poet Allen Ginsberg. However, since December 2013, when Jared Kushner purchased the buildings, 70 percent of the 170-174 East 2nd Street's 45 units have been vacated. Of the 9 remaining tenants, half are working artists with deep roots in the neighborhood, including Tony Feher, Richard Weinstein and Dianne Bowen.

"Unfortunately this situation is not unique. I frequently work with artists who live here in the Lower East Side who are being pushed out by profit-driven speculators," said community organizer Brandon Kielbasa from Cooper Square Committee. "These aggressive efforts to create luxury housing in communities like the Lower East Side are wiping out the affordable housing, homogenizing the diversity, and picking apart at the cultural assets of the neighborhood,"

"The arts and culture are such an important part of the life and identify of the East Village and Lower East Side," said Tamara Greenfield, executive director of Fourth Arts Block. "Historically, artists joined with other low income residents to advocate for and build affordable housing in this community. As important as it is to create new affordable housing across the City, we have to work equally hard to preserve existing affordable housing from being lost."

In December of 2013, Jared Kushner purchased 170-174 East 2nd Street buildings for $17 million, and quickly followed the purchase with the distribution of eviction notices to tenants of the two buildings. During the past nine months under the ownership of Kushner, tenants of both buildings were subjected to lengthy and severe construction work which has resulted in ceiling collapses, eroded floors, broken tiles, cut off gas service, and unannounced hot and cold water interruptions. Impacts on artists in the building range from fear of displacement, to damage of artwork, and compromised ability to do creative work under the stress and noise of construction.

"The constant barrage of emergencies for 7 months — water shut offs, violent levels of noise from jack hammering, missing steps on the stair, building floods, fire department safety inspections — create extremely challenging and draining conditions for living and working creatively," said musician Cypress Dubin. "Under these extreme circumstances and to marshal my creative resources, I made the choice to focus deeply on community organizing. As the communications director of our tenants association, I spend hundred of hours a month working to channel that same energy, integrity, and creativity that is foundational to my work as a vocalist, producer and yoga educator into protecting our homes, and preserving this part of the city that continues to be a thriving and diverse community of artists."

"The overwhelming, lightning-fast, rapid gentrification and over-development of the Lower East Side and East Village raises a great concern for the cultural heritage of an iconic NYC neighborhood," said painter Richard Weinstein.

"Gentrification in New York City has never been so aggressive and destructive as it has been in the past 8 years," added multimedia artist Dianne Bowen. "The bottom line is profit; value is a monetary term with no regard or connection to human beings or the life of the city created by all that inhabit it."

Ironically, the buildings' creative history is now being included in its marketing:

"Built in 1899, this beaux-arts building dovetails modern comfort with an older East Village - that same collision of grit and grace that inspired the likes of beat poet Alan [sic] Ginsberg, who called this building his home from 1958-1963."

Previously on EV Grieve:
Inside a classic East Village tenement before the whole building is renovated

Jared Kushner not done buying every walk-up in the East Village

Two East 2nd St. buildings sell for $17.5 million; will new owner still honor Allen Ginsburg?

Tenants claim: Kushner and Westminster want to destroy this building's beautiful garden

Reports outline how Kushner Companies is aggressively trying to empty 170-174 E. 2nd St.

Local politicos join residents of 2 Jared Kushner-owned buildings to speak out about poor living conditions, alleged harassment

Report: Local politicos criticize Kushner's treatment of tenants at 170-174 E. 2nd St.

Report: Local politicos criticize Kushner's treatment of tenants at 170-174 E. 2nd St.

[No. 170 under construction via Yenta Laureate]

Yesterday afternoon, Councilwoman Rosie Mendez, Manhattan Borough President Gale Brewer and some remaining tenants residing at 170-174 E. Second St. held a press conference to discuss ongoing issues with landlord of nine months Jared Kushner and his management company, Westminster City Living.

DNAinfo's Lisha Arino was there and filed this report:

“The owners of this building need to realize they’re not just accountable to the tenants in this building — they’re accountable to all of us because we care and we’re a community, and they’re accountable to me as the councilwoman of this district,” Mendez said at the press conference, which took place in front of the buildings.

Rent-stabilized tenants in both buildings have complained of poor living conditions and harassment since Kushner took over 170-174 E. Second St. last December.

And!

Brewer called the actions “abhorrent” and said there was no excuse for Kushner and Westminster’s behavior.

A Kushner rep denied the allegations in a statement to DNAinfo.

Read the whole article here.

Previously on EV Grieve:
Inside a classic East Village tenement before the whole building is renovated

Jared Kushner not done buying every walk-up in the East Village

Two East 2nd St. buildings sell for $17.5 million; will new owner still honor Allen Ginsburg?

Tenants claim: Kushner and Westminster want to destroy this building's beautiful garden

Reports outline how Kushner Companies is aggressively trying to empty 170-174 E. 2nd St.

Local politicos join residents of 2 Jared Kushner-owned buildings to speak out about poor living conditions, alleged harassment

Local politicos join residents of 2 Jared Kushner-owned buildings to speak out about poor living conditions, alleged harassment

[EVG file photo]

Tenant-landlord tensions continue at 170-174 E. Second St., the site of two walk-ups that developer/New York Observer publisher Jared Kushner bought last December.

In July, CB3's Land Use, Zoning, Public & Private Housing Committee heard firsthand about allegations of tenant harassment and quality-of-life issues brought on by gut renovations.

As DNAinfo reported:

Real estate scion Jared Kushner is using lawsuits, disruptive construction and neglect to force rent-stabilized tenants out of two buildings he owns in the East Village, as he converts them to high-end apartments, according to court documents and residents.

This afternoon at 1, Councilwoman Rosie Mendez, Manhattan Borough President Gale Brewer and the Cooper Square Committee will join the remaining tenants residing at 170-174 E. Second St.

Per the media alert, "Everyone will speak about the poor and unsustainable living conditions including perceived harassment by the landlord and his agents."

The news conference will be outside the buildings between Avenue A and Avenue B.

Here's more from the media alert:

The tenants have faced a lack of repairs, overzealous construction, and lack of communication about the ongoing construction in the buildings, resulting in five ceiling collapses and no functioning mailbox for nearly two weeks. In addition, building construction has resulted in a shutoff of gas, routine unannounced hot and cold water distributions, and severe dust and debris accumulation.

Jared Kushner has owned the buildings for about 8 months. Over the period of Kushner’s ownership of the buildings, there has been a 70 percent turnover rate.

Kushner paid $17.5 million for the two buildings.

Previously on EV Grieve:
Inside a classic East Village tenement before the whole building is renovated

Jared Kushner not done buying every walk-up in the East Village

Two East 2nd St. buildings sell for $17.5 million; will new owner still honor Allen Ginsburg?

Tenants claim: Kushner and Westminster want to destroy this building's beautiful garden

Reports outline how Kushner Companies is aggressively trying to empty 170-174 E. 2nd St.

'Most uses considered' for 3 retail spaces at Kushner's 170 E. 2nd St.

The retail spaces are now on the market over at 170-174 E. Second St., where landlord Jared Kushner has reportedly been using aggressive tactics to rid the buildings of rent-stabilized tenants.



Here's more info about the spaces between Avenue A and Avenue B via the RKF listing:

SPACE
Ground Floor
Space A — 250 SF
Space B — 500 SF
Space C — 500 SF

SITE STATUS
Formerly multiple tenants

NEIGHBORS
Black Iron Burger Shop, Duane Reade, Il Bagatto, Jane’s Exchange, Snack Dragon, Supper, Two Boots, Waffles and Dinges [sic]

COMMENTS
Most uses considered
Natural light throughout
Situated in one of New York City’s fastest growing neighborhoods
Potential basement space
In close proximity to the F subway lines

There isn't any mention of the asking rent, just "negotiable."

And this is a curious selection of neighbors. Black Iron is three blocks away on East Fifth Street and Snack Dragon is closing this week. And Il Bagatto is now delivery only.

Previously on EV Grieve:
Inside a classic East Village tenement before the whole building is renovated

Two East 2nd St. buildings sell for $17.5 million; will new owner still honor Allen Ginsburg?

Tenants claim: Kushner and Westminster want to destroy this building's beautiful garden

Reports outline how Kushner Companies is aggressively trying to empty 170-174 E. 2nd St.

Reports outline how Kushner Companies is aggressively trying to empty 170-174 E. 2nd St.

[EVG file photo]

The tenant-landlord drama continues at 170-174 E. Second St., the site of two walk-ups that developer/New York Observer publisher Jared Kushner picked up during his East Village buying spree.

Last night, CB3's Land Use, Zoning, Public & Private Housing Committee heard firsthand about allegations of tenant harassment and quality-of-life issues brought on by gut renovations.

Ahead of this meeting, The Real Deal and DNAinfo filed lengthy articles outlining what is happening now in the buildings.

DNAinfo put it this way:

Real estate scion Jared Kushner is using lawsuits, disruptive construction and neglect to force rent-stabilized tenants out of two buildings he owns in the East Village, as he converts them to high-end apartments, according to court documents and residents.

After the deal for the buildings was complete, Kushner's Westminster Management began handing out 30-day eviction notices, followed by buyout offers, tenants told DNAinfo's Lisha Arino. To date, tenants in just 11 of the 43 units in the two buildings remain.

Per The Real Deal:

[T]he Kushner ownership entity has also aggressively turned to the courts. Since acquiring the buildings, they filed suits in New York’s Housing Court against tenants in seven apartments among the 43.

Some have resulted in tenants vacating, while other residents have fought back.

According to The Real Deal, the average monthly rent per apartment was around $2,000 last fall. Today, StreetEasy shows nine active rental listings, gut-renovated apartments with an average price of $3,987 per unit.

As for those renovations, NYC's Housing Preservation and Development agency has issued 34 violations, which remain active. ("Eight of them are for the most dangerous kind of violation — for instance for repairs to a stone retainer wall — which are supposed to be repaired within days, but remain on the HPD website weeks after they were issued," according to The Real Deal.)

However, in the estimation of Westminster, all is well here! Nothing to see! They released this statement to DNAinfo:

"In the six months since Westminster has managed the building, they have been in frequent contact with the building's residents, been consistently responsive to their concerns, and have quickly sought to address them."

Updated 7:55 a.m.

The Daily News files a Kushner-is-bad-landlord story today too. Quite a headline: Donald Trump's son-in-law Jared Kushner forcing residents out of East Village building so he can get higher rents: tenants

Previously on EV Grieve:
Inside a classic East Village tenement before the whole building is renovated

Jared Kushner not done buying every walk-up in the East Village

Two East 2nd St. buildings sell for $17.5 million; will new owner still honor Allen Ginsburg?

Tenants claim: Kushner and Westminster want to destroy this building's beautiful garden

Tenants claim: Kushner and Westminster want to destroy this building's beautiful garden

We've been keeping an eye on the renovations at 170-174 E. Second St., two walk-ups that Jared Kushner picked up earlier this year for his East Village collection.

There has been a lot of drama here — gut renovations, tenants taking buyouts, tenants not taking buyouts. We'll address some of this in another post.

A more pressing matter at the moment: The impending destruction of the garden behind No. 174.

"It was built by tenants, is maintained by tenants, and we love it very much," one tenant told us.

Tenants say that Westminster Management, a division of Kushner Companies, is expected to gut the garden this week. Remaining tenants say that they have taken legal action, but Westminster might be moving too fast for the group to stop them.









Said a resident:

"To destroy the garden would be of no benefit to Westminster, and to the tenants it would be a tragedy. Our garden is not just a decorative tableau, but a part of our daily lives: during the day, it is a place to do our professional work, and to make use of the carefully constructed space dedicated to meditation. In the evenings, it has long been a place for neighbors to meet one another. We reject the notion that a community garden is not a valuable resource. In fact, we believe that it is this use of our garden — as a place to foster community — which is the reason why it has been targeted."

Previously on EV Grieve:
Inside a classic East Village tenement before the whole building is renovated

Jared Kushner not done buying every walk-up in the East Village

Two East 2nd St. buildings sell for $17.5 million; will new owner still honor Allen Ginsburg?

This bites: Flame Job leaves East Second Street storefront

Flame Job, longtime designers of custom-made fangs and gothic goods at 170 E. Second St., closed up shop for good at the end of February. There was talk of a new shop on the Lower East Side, but that hasn't materialized just yet…



They are still around, though, for custom fangs and leather, if the need beckons…check out their Facebook page for contact info.

As for this address between Avenue A and Avenue B, Jared Kushner of the Kushner Companies paid $17.5 million for 170-174 E. Second St. back in December.

As of now, we don't know why Flame Job closed, so we need to hold off on our "Bloodsucking landlord boots custom fang makers" headline.

Previously on EV Grieve:
Inside a classic East Village tenement before the whole building is renovated

Jared Kushner not done buying every walk-up in the East Village

Inside a classic East Village tenement before the whole building is renovated

Earlier in the month news came out that Jared Kushner is the proud new owner of two buildings on East Second Street, adding to his East Village collection. One of these buildings, 170 E. Second St., is a classic tenement dating to 1899. And renovations are underway in at least some of the units...

EVG reader Yenta Laureate shared some photos from inside the building showing the floor mosaics, marble hallways and other ornate details from a bygone era ...

















The ground-floor apartment in the back of the building looks particularly interesting... As Yenta's photos show, there's still an interior door with a window transom for light ...







... there's also outdoor space, though via the fire escape...





... and the apartment provides a bit of history... of, perhaps, bad renovations through the years...





Meanwhile, the sign remains outside No. 170 ... noting that Allen Ginsberg lived in apartment 16 from August 1958-March 1961 ...



In any event, it will be interesting (or maybe depressing) to revisit this building once the renovations are complete... and look at the new listings to see how much of the old 170 remains...

Two East 2nd St. buildings sell for $17.5 million; will new owner still honor Allen Ginsburg?

[Via Massey-Knakal]

Two buildings on East Second Street between Avenue A and Avenue B — No. 170-172 and 174 — have been sold for $17.5 million. (The buildings hit the market in July 2012 for $16.5 million.)

There's no word on the new owners, per BuzzBuzzHome, who reported on the deal yesterday.

Combined, the buildings contain a total of four ground-floor retail spaces and 43 apartments. The original listing noted that No. 174 has nearly 3,600 square feet of air rights available.

As you may know, Allen Ginsberg lived in apartment 16 at No. 170 from August 1958-March 1961 ... one of the many places he lived in the East Village until his death in 1997

In a Habitats feature from August 2000, The New York Times ran a feature on the apartment where Ginsberg wrote "Kaddish" — "a mournful elegy for his mother, Naomi, that is considered one of his best works."

(New York Songlines also noted that Ginsberg edited "Naked Lunch" while living here... as well as "where Ginsberg and Timothy Leary began planning the psychedelic revolution.")

As the Times said of this block, "Not long ago, this was major drug territory, and landlords had to defend their turf assiduously; now it is being infiltrated by students from New York University."

The Times reported that two NYU students were living in the two-bedroom apartment, paying $2,000 a month in rent.

To the article:

When the plaque went up on the East Village building saying that it was where Allen Ginsberg once lived, the two young men who now occupy the poet's old apartment had only this to say:

Who was he?

Perhaps the new owners will see fit to leave this up outside No. 170...

Outside 170 E. Second St.

Just a quick follow-up to our post yesterday about 170-174 E. Second St. hitting the market for $16.5 million... Allen Ginsberg lived in 170 for a few years... I realized that I didn't have a photo of the plaque that notes this... figure I'd better get it for the archives... before a new landlord buys the building, strips it of every shred of character while converting one-bedroom homes into three-bedroom rec rooms and quadrupling the rent...

170-174 E. 2nd St. hits market for $16.5 million; Allen Ginsberg among the former tenants

Massey Knakal added the listing today:

The subject properties are two well-managed adjacent mixed-use buildings located on the North side of East 2nd Street, between Avenues A & B. 170-172 East 2nd Street has 3 retail stores and 34 residential units; 27 Free market, 6 Rent Stabilized and 1 Rent Controlled. 174 East 2nd Street has 1 retail store and 9 residential units; 8 Free Market and 1 Rent Stabilized. The buildings share a boiler that burns #2 oil from a 4,000 gallon tank. The electrical systems/wiring were upgraded in 2008 and tenants pay their own electricity.

And No. 174 has nearly 3,600 square feet of air rights available. Total price: $16.5 million.

Anyway, you may have seen the plaque out front of No. 170 showing that Allen Ginsberg lived in apartment 16 from August 1958-March 1961 ... this was one of the many places he lived in the East Village until his death in 1997

In a Habitats feature from August 2000, The New York Times ran a feature on the apartment where Ginsberg wrote "Kaddish" — "a mournful elegy for his mother, Naomi, that is considered one of his best works."

(New York Songlines also noted that Ginsberg edited "Naked Lunch" while living here... as well as "where Ginsberg and Timothy Leary began planning the psychedelic revolution.")

As the Times said of this block, "Not long ago, this was major drug territory, and landlords had to defend their turf assiduously; now it is being infiltrated by students from New York University."

The Times reported that two NYU students were living in the two-bedroom apartment, paying $2,000 a month in rent.

To the article:

When the plaque went up on the East Village building saying that it was where Allen Ginsberg once lived, the two young men who now occupy the poet's old apartment had only this to say:

Who was he?