Mayor Zohran Mamdani's administration has secured a $2.1 million settlement from A&E Real Estate, one of New York City's largest landlords, to resolve over 4,000 code violations and allegations of tenant harassment at 14 buildings across Queens, Brooklyn, and Manhattan.
The agreement brings an end to a year-and-a-half-long legal battle initiated by Mayor Eric Adams' administration. According to Mayor Mamdani, the city will not tolerate neglect and mistreatment of tenants, stating "City Hall will not sit idly by and accept this illegality, nor will we allow bad actors to continue to harass tenants with impunity."
The settlement affects approximately 750 tenants living in A&E buildings, and is considered the largest settlement in the Department of Housing Preservation and Development's Anti-Harassment Unit's history. Incoming Housing Commissioner Dina Levy attributed the resolution to "sustained" enforcement efforts by the unit.
Despite the agreement, tenants continue to face substandard conditions. The Jackson Heights apartment building where Mayor Mamdani held a press conference has 220 open violations, including issues such as roach infestations and water leaks. A&E Real Estate's CEO, Donald Hastings, framed the settlement as a partnership with the city, stating that his company is committed to improving its buildings.
However, the company's history of violations remains a concern. Dozens of tenants at La Mesa Verde apartments in Jackson Heights are collectively suing A&E to force repairs after years of alleged systemic neglect.
The settlement also comes amid concerns over A&E's financial dealings. The company's Executive Chair, Douglas Eisenberg, recently gave $125,000 to a super PAC supporting former Gov. Andrew Cuomo during the recent mayoral election.
Housing officials warned that if A&E fails to comply with the terms of the new settlement, they may seek additional court orders and penalties.
The agreement brings an end to a year-and-a-half-long legal battle initiated by Mayor Eric Adams' administration. According to Mayor Mamdani, the city will not tolerate neglect and mistreatment of tenants, stating "City Hall will not sit idly by and accept this illegality, nor will we allow bad actors to continue to harass tenants with impunity."
The settlement affects approximately 750 tenants living in A&E buildings, and is considered the largest settlement in the Department of Housing Preservation and Development's Anti-Harassment Unit's history. Incoming Housing Commissioner Dina Levy attributed the resolution to "sustained" enforcement efforts by the unit.
Despite the agreement, tenants continue to face substandard conditions. The Jackson Heights apartment building where Mayor Mamdani held a press conference has 220 open violations, including issues such as roach infestations and water leaks. A&E Real Estate's CEO, Donald Hastings, framed the settlement as a partnership with the city, stating that his company is committed to improving its buildings.
However, the company's history of violations remains a concern. Dozens of tenants at La Mesa Verde apartments in Jackson Heights are collectively suing A&E to force repairs after years of alleged systemic neglect.
The settlement also comes amid concerns over A&E's financial dealings. The company's Executive Chair, Douglas Eisenberg, recently gave $125,000 to a super PAC supporting former Gov. Andrew Cuomo during the recent mayoral election.
Housing officials warned that if A&E fails to comply with the terms of the new settlement, they may seek additional court orders and penalties.