Larry Gluck sues Chelsea tenants for Airbnb use

Defendants made market-rate unit available for $375 a night: lawsuit

TRD New York /
Aug.August 24, 2015 01:30 PM

Larry Gluck’s Stellar Management is taking legal action against the market-rate tenants of a Chelsea building for allegedly renting out their apartment through Airbnb.

A recent lawsuit claims that since signing a lease in March at Stellar’s 214 West 21st Street, between Seventh and Eighth avenues, tenants Vitaliy Pereverzev and Marcela Torres have made their apartment “available on a continuous basis to tourists and other transient visitors.”

The defendants have used Airbnb to advertise the two-bedroom, two-bathroom apartment for stays of at least four nights at a nightly rate of $375, according to the lawsuit. The stays are illegal under a 2010 state law banning multifamily building tenants from subletting their space for less than 30 days, the New York Observer reports.

While the tenants pay $3,500 per month for the apartment, the unit’s $375 per night ask could have netted them over $11,000 a month if they rented it out every night for a month. Stellar monitors short-term rental websites like Airbnb to see if tenants are illegally advertising their apartments, according to the lawsuit.

The city has recently aimed to crackdown on illegal Airbnb rentals, with a City Council bill introduced in June proposing to hike fines for first-time offenders to $10,000. The popular home-rental website was recently valued at almost $26 billion. [NYO]Rey Mashayekhi


Related Articles

arrow_forward_ios
Census tract 135 and Stellar Management's Larry Gluck (Credit: Getty Images and Stellar Management)

How a small stretch of land on the Far West Side became an Opportunity Zone

From left: Mayor Bill de Blasio, 54 West 39th Street, 62 Grand Street, and 208 West 30th Street (Credit: Google Maps)

The Airbnb crackdown continues: City targets three more buildings

Mayor Bill de Blasio and Stanley “Skip” Karol, an Airbnb host (Credit: Getty Images and Youtube)

Airbnb host narrowly clears hurdle in First Amendment claim against city

Airbnb lost by a landslide in Jersey City. What went wrong?

Airbnb lost by a landslide in Jersey City. What went wrong?

Results are in from Jersey City Airbnb referendum

Airbnb deflated as Jersey City voters tighten rental rules

Airbnb CEO Brian Chesky and Jersey City Mayor Steve Fulop (Credit: Twitter, iStock, Airbnb)

Stakes are high as Jersey City residents vote on Airbnb

Vacasa CEO Eric Breon (Credit: Vacasa)

Vacation rental startup Vacasa valued at $1B after new funding

SoftBank taps former Sprint CEO to fix WeWork, this borough could house Trump’s presidential library: Daily Digest

SoftBank taps former Sprint CEO to fix WeWork, this borough could house Trump’s presidential library: Daily Digest

arrow_forward_ios