Tenants of the Hotel Chelsea have reached an agreement with luxury hotel developer King & Grove over the future of the landmarked building. The deal comes one month after King & Grove CEO Ed Scheetz bought out Joseph Chetrit, the developer who had a particularly contentious relationship with the 38-member Chelsea Tenant Association, fighting off allegations that he was intentionally neglecting to complete renovations in an attempt to drive the residents from their rent-stabilized homes.
According to The Real Deal, the settlement covers "a 4.7-month rent abatement, a 20 percent reduction in monthly rent until renovations are complete, exemption from rent increases tied to capital improvements, and the payment of about $100,000 in legal fees." While the renovations are being completed, they will also be put up at the King & Grove New York on East 29th Street.
The developers expect to finish work on the building in early 2014.
· "King & Grove settles rent dispute with Hotel Chelsea tenants" [TRD]
· Previous Hotel Chelsea coverage [Curbed]