NYC foreclosures drop in 4th quarter
Foreclosures in New York City fell by 13 percent in the fourth quarter compared to the previous quarter, according to PropertyShark.com. The total of 605 foreclosures, however, was still 71 percent higher than the final quarter of 2006. The neighborhoods with the most foreclosures were in Queens: Jamaica, South Jamaica, Hollis and St. Albans.
Bloomberg says he will preserve property tax cut
Mayor Michael Bloomberg, in his state of the city address last month, said he was “committed” to keeping a property-tax cut in place for a second year, but he warned that “the economy appears headed for difficult times.” Despite huge projected deficits, Bloomberg factored a $400-a-year property-tax rebate and 7 percent property-tax deduction into his latest budget also, saying that homeowners “need continued tax relief.” The plan depends on “a variety of factors unknown today,” he said, such as the economy’s stability and state and federal aid.
Co-ops to benefit from Bush’s mortgage plan
President Bush’s plan to relieve mortgage debt could be a boon to the city’s co-ops. The Mortgage Forgiveness Debt Relief Act of 2007 will allow co-ops to raise rents for retail tenants, which could bring in more money for doormen and capital projects, and could lead to a drop in monthly maintenance fees, the New York Sun reported. The federal 80/20 law had mandated that no more than 20 percent of a co-op’s income could come from outside sources, which has become a challenge as retail rents have shot up. Now, co-ops need only to show that a building is 80 percent residential, or that at least 90 percent of the total income benefits shareholders.
Carroll Gardens downzoning looms
Calls are growing to downzone all of Carroll Gardens, a low-rise Brooklyn neighborhood lined with brownstones. Outgoing Council Member Bill de Blasio was scheduled to hold a rally at the end of last month to push for downzoning the entire neighborhood. De Blasio announced that the Department of City Planning has agreed to change an old zoning regulation that defined narrow streets as wide streets, which allowed for taller developments. Front-yard gardens — which gave the neighborhood its name — had been counted in the width of streets.
Spitzer’s $400M affordable housing plan questioned
Governor Eliot Spitzer’s plan to spend $400 million on affordable housing, announced during his state of the state address, has drawn questions from lawmakers about its financial feasibility, the New York Times reported. Others have praised the plan as an ambitious strategy to compensate for the Pataki administration’s developer-friendly policies. Spitzer visited Brooklyn last month to pitch his plan. “This is an issue the state has abdicated over the years,” he said. “Especially in New York City, it has resulted in the exodus of our middle class and our workforce. Our teachers, our firefighters, and our hospital workers have found it impossible to find housing that they can live in.”
Stringer calls for overhaul of construction inspections
Manhattan Borough President Scott Stringer has called for an inter-agency city task force to make surprise visits to construction sites, after a worker fell to his death at the Trump Soho tower last month, the New York Sun reported. “The way we’re doing this kind of inspection in these mega-buildings is not working,” Stringer said. City officials said that after a fire at the former Deutsche Bank building killed two firefighters last August, construction inspectors have made more than 1,000 surprise visits. By March, 67 more inspectors are due to be hired.
State court rejects Atlantic Yards appeal
The New York State Appellate Division has denied an appeal against the state’s use of eminent domain for Forest City Ratner’s Atlantic Yards project. Last month, a state judge dismissed another lawsuit, filed last year by opponents who were challenging the project’s environmental impact statement and hoped the court would reject it, forcing Governor Eliot Spitzer to re-examine the $4 billion development.
Council, Solow prepare to battle over East River project
City Council members are examining billionaire developer Sheldon Solow’s proposed seven residential towers at a 9.2-acre East River site. Council member Daniel Garodnick is pushing to reduce the towers’ height and density. Solow has already spent more than $1.8 million on lobbyists and land-use legal expenses, and has also made some concessions, including lowering the height of buildings. The City Planning Commission approved the project late last month.