UPDATED, 8:34 p.m., May 5: Douglas Elliman Property Management won the bid to manage the country’s largest co-operative housing complex – Co-op City in the Bronx.
Elliman’s appointment ends an 18-month search for a new property manager at the 15,372-unit Mitchell-Lama complex. In November 2014, Co-op City’s board of directors abruptly fired its long-time manager Marion Scott Real Estate and assumed day-to-day operations itself. But last week the United States Department of Housing and Urban Development (HUD) sent the board a notice of violation for failing to hire an outside management firm.
HUD, which insured the complex’ $625 million mortgage with Wells Fargo, argued that failing to hire a property manager violated the loan agreement.
Built in 1973, Co-op City houses around 50,000 residents over 35 apartment towers. The complex employs more than 1,000 people and has its own jail, power plant and security force. [REW]– Konrad Putzier
Correction: A previous version of this story mischaracterized HUD. It is a federal body.