East New York takes it on the chin

TRD New York /
Feb.February 24, 2009 06:06 PM

From the February issue: This summer’s credit crisis and the subsequent housing implosion haven’t been good for anyone. But they’ve been especially hard on East New York, one of the city’s poorest neighborhoods. Like the rest of the city, up until a couple of years ago, East New York was undergoing something of a building boom. The Bloomberg administration emphasized affordable housing and supported developers interested in revitalizing the area. Suddenly two-family houses began cropping up in infill spaces. Other developers became comfortable with the idea of investing in the area and so began buying up land and converting rentals to condos, and residents leapt at opportunities to buy. The Seaview Estates in the area, for example, sold out in two years with 10 price increases, according to Fillmore Real Estate’s Jean-Paul Ho. The problem was that unlike the rest of the city, much of this new housing stock was made available to residents via predatory lending. Thus, when the defaulting began, it hit East New York like a tidal wave.


Related Articles

arrow_forward_ios
(Image by Wolfgang & Hite via Dezeen)

Hudson Yards megadevelopment inspires a new line of sex toys

Cammeby's International Group founder Rubin Schron and, from top: 194-05 67th Avenue, 189-15 73rd Avenue and 64-05 186th Lane (Credit: Google Maps)

Ruby Schron lands $500M refi for sprawling Queens apartment portfolio

Wendy Silverstein (Credit: Getty Images)

Wendy Silverstein, co-head of WeWork’s real-estate fund, is out

Council member Rafael Espinal (Credit: Twitter, iStock)

For the birds: NYC buildings told to use flight-friendly materials

From left: 1 West End Avenue, 161 West 13th Street and 66 Ninth Avenue (Credit: StreetEasy and Wikipedia)

Porter House penthouse among NYC’s 5 priciest homes to hit the market last week

From left: Sam Chang, 52 William Street and New York Hotel & Motel Trades Council's Peter Ward (Credit: Google Maps)

Cuomo goes after Sam Chang as union drama unfolds

15 East 90th Street (Credit: Google Maps)

Lonely townhouse finds a match after years on market

From left: Jeff Cohn and Gary Keller

Gary Keller walks into Berkshire Hathaway’s backyard and takes its top team

arrow_forward_ios