Albany, NY – February 4, 2010 – (RealEstateRama) — Governor Paterson today issued the following statement regarding the order of foreclosure for Riverton Houses, in Harlem:
“On Tuesday, State Justice Braun of the Supreme Court of Manhattan ordered the foreclosure sale of the storied Riverton Houses, a middle-class Harlem enclave that ran into trouble a year ago when its new owner failed to make good on optimistic revenue projections and defaulted on his mortgage. The 1,230 unit complex sits between 135th and 138th Streets, from Fifth Avenue to the Harlem River.
“This project was purchased and refinanced at the height of the real estate market in 2005, with the assumption that the new owner would convert the units to market rate apartments. I am concerned that the current foreclosure action will result in diminished services for these tenants, especially those 1,100 families in rent-stabilized apartments.
“I have directed the State’s housing agencies, the Division of the Housing and Community Renewal and NYHomes, to work with the tenants, lenders and potential purchasers to maintain and preserve this important Harlem landmark as permanent affordable housing.”
