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Lawmakers Propose New Law That Would Void Starrett City Deal
After weeks of protests, residents see hope on the horizon as the coalition of more than a dozen officials and dozens of residents and community activists heard city and state officials announce at a rally on the steps of City Hall on Sunday that they are working on a proposal that would preserve affordable housing at the complex and many others like it. Among the elected Brooklyn legislators were state assemblyman Nick Perry, state senators John Sampson and Kevin Parker and city council members Charles Barron and Letitia James. The projected legislation, which would have to quickly be enacted to void the recent Starrett City deal, would eliminate the exemption that currently allows building owners to opt out of affordable housing programs to drive up the market rate and create luxury residences. Such laws would protect Starrett City and other similar affordable housing programs in New York. Under current law, such apartment complexes built after 1974 are exempt from rent laws. Barron, whose district includes the 46-tower development, said the new legislation would protect renters "from greedy developers" that included representatives from Brooklyn civic and community organizations. "Protecting the tenants of Starrett City and others living in similarly subsidized housing in every borough," Perry said, "is job number one right now for the Black, Hispanic and Asian Legislative Caucus in Albany." Starrett City, the nation's largest affordable housing complex, was sold in January for $1.3 billion to Clipper Equities. Elected officials say with the high price the developer paid, there is no way they could turn a profit without cutting services and raising prices. Local, state and federal officials have vowed to void the sale, insisting they will do everything possible to assure residents their rents will not be raised. Last week while touring Starrett City, which has its own shopping center, schools and other amenities, Housing and Urban Development secretary Alphonso Jackson said a decision on the sale would be made by the end of next week. After one of the richest real estate deals in city history, state attorney general Andrew Cuomo revealed that David Bistricer, a Clipper Equities partner, who owns 71 other Brooklyn buildings, was banned by a court order from converting rental buildings to condos and cooperatives by the state under his predecessor, now governor, Eliot Spitzer. Cuomo has promised to enforce the court injunction that "may very well kill the ill-conceived" sale of Starrett City and protect its tenants. When Jackson was in Brooklyn, Cuomo turned over documents to him that he believes is "enough to ban (Bistricer) from the deal." A spokesperson insisted Bistricer is "totally and absolutely committed to preserving affordability."
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