High-flying British equity firm Dawnay Day bought 47 rental buildings, most in East Harlem, for $225 million in 2007, planning to "ease out" stabilized tenants and raise rents. Things did not go as planned. Tenants reported harassment and failure to make repairs, and flashy Dawnay Day is now on the boom casualty list, yachts and all. The buildings are in receivership, but it's not exactly the vengeance the tenants might wish: the buildings could sell back to their former slumlord. [NYT; previously]
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