Fallout from end of Advantage program affects tenants and landlords alike

TRD New York /
Feb.February 27, 2012 10:30 AM

Last Tuesday, an appeals court ruled that the city of New York could stop making payments for its “Advantage” program, which had provided rent subsidies for the recently homeless in New York City by making payments to landlords. The end of the program leaves both renters and landlords wondering where the rent will come from, the New York Times reported.

Now, the city’s Department of Homeless Services is trying to find ways to help those who had been served by the program find ways to remain housed. But landlords too have been victimized by the end of Advantage, as they “entered into good-faith relationships with the city,” as the Times put it, and now cannot depend on their renters to be able to pay their rent.

Ferdo Shkreli, a landlord in the Bronx, said he has been forced to evict some former Advantage tenants, but that it has upset him. “You get very emotionally involved with some people,” Shkreli said. He has even paid some tenants’ rents for them, he told the Times. “There’s this myth in the air in New York that all landlords are millionaires. We’re not.” [NYT]

Related Articles

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

WeWork’s side businesses are fizzling

CoStar reaches $11M settlement in copyright infringement suit against Xceligent

620 Sixth Avenue and RXR Realty's Scott Rechler (Credit: Getty Images, RXR Realty)

RXR gets $400M+ from Goldman Sachs to refi Sixth Avenue building

A New York court’s greenlight of a class action against Big City Realty could change the dynamic of class action suits. (Credit: iStock)

“Nightmare” for landlords: Court OK’s class action against Harlem owner

WeWork founder scrambled for $100M loan before $1.7B bailout

The Daily Digest - Tuesday

WeWork’s cash flow troubles, selling NYCHA’s air rights and more: Daily digest