Landlord of the Chelsea Highline Hotel fires back

The building owners are suing to close the SRO rent loophole

New York /
Sep.September 05, 2015 03:00 PM

No surprise here. The landlord of the Chelsea Highline Hotel, where a cabby used an obscure legal loophole to score a $226 a month apartment, is suing everybody. He’s suing the state, city and the new building resident.

Skybox Chelsea, the owner of the building at 184 11th Avenue, says that the court ruling for the young cabby is “unconstitutional” and “tantamount to taking property without due process,” according to the New York Post.

Manhattan Housing Court Judge Sabrina Kraus granted cabby Hamidou Guira a lifelong $226-a-month lease after he spent just one night in the building, because of a section of the city’s rent-stabilization law that says an SRO occupant who “requests a lease of six months or more . . . shall be a permanent tenant.”

And that decision opens the door for others to do the same thing, according to court papers filed by Skybox Chelsea, which is controlled by Israeli real estate developer John Leitersdorf and partner John Jacobsen.

“It is unfathomable that such an outcome was ­intended by the drafters of these various sections of the code,” the suit claims. The case will be heard in October.[NYP]Christopher Cameron


Related Articles

arrow_forward_ios
Redfin CEO Glenn Kelman (Redfin, iStock)
Service divide at forefront of Redfin discrimination suit
Service divide at forefront of Redfin discrimination suit
Eric Adams, mayor of New York City (Getty Images, iStock/Illustration by Steven Dilakian for The Real Deal)
Staten Island real estate firm sues city over vaccine mandate
Staten Island real estate firm sues city over vaccine mandate
HFZ's Ziel Feldman, The Chatsworth at  344 West 72nd Street and Nir Meir (Getty, Google Maps/Illustration by Kevin Rebong for The Real Deal) 
Chaos at the Chatsworth: Co-op says HFZ plundered reserves
Chaos at the Chatsworth: Co-op says HFZ plundered reserves
From left: RE/MAX CEO Adam Contos, KW CEO Carl Liebert, Home Services of America CEO Gina Blefari, Realogy Holdings' Ryan M. Schneider (Photos via Facebook, KW, Home Services)
Judge denies motion to dismiss broker commissions lawsuit
Judge denies motion to dismiss broker commissions lawsuit
Strulovitch lender Marvin Azrak of Maguire Capital with three of the landlord's buildings
Chaskiel Strulovitch saves 18 of his 31 buildings with costly loan
Chaskiel Strulovitch saves 18 of his 31 buildings with costly loan
The development on Shore Road between Monroe and Lincoln Boulevard in Long Beach (Google Maps)
Long Beach condo development may start after $75M settlement
Long Beach condo development may start after $75M settlement
CIM hits back at board’s allegations in 432 Park lawsuit
CIM hits back at board’s allegations in 432 Park lawsuit
CIM hits back at board’s allegations in 432 Park lawsuit
960 Franklin Avenue in Crown Heights and Continuum Company founder Ian Bruce Eichner (Hill West Architects, Getty)
Bruce Eichner sues to save Crown Heights residential project
Bruce Eichner sues to save Crown Heights residential project
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...