NY lawmakers reach sweeping housing deal; Macklowe faces major losses on Miami, Midtown projects ... and more

The best national real estate stories from The Real Deal. Apr 20, 2024 [View in Browser]( | [$1 for 1 Month]( [The Real Deal Logo](   [The National Logo](   In today’s newsletter, we look at the early framework for New York state’s [new housing deal](. Plus, an industry icon faces [another wave of trouble](, a new venture runs into trouble even [before getting off the ground]( and a pair of the nation’s biggest banks [battle it out over a Chicago office property](. These stories and more below.   [Lawmakers reach sweeping housing deal with “good cause eviction,” new 421a]( More than a year after Gov. Kathy Hochul announced ambitious plans for a new housing deal, state lawmakers have reached an agreement on one. The governor's proposal, announced Monday after months of negotiation, includes provisions to revive the 421a property tax break for rental projects in New York City and implement a version of "good cause eviction" aimed at protecting tenants from dramatic rent increases. In typical fashion, [no one is happy with the outcome](. Tenant advocates have expressed dissatisfaction, arguing that the bill’s version of good cause eviction didn’t go far enough. Under the terms of the deal, tenants facing rent increases over 10 percent — or the consumer price index plus 5 percentage points, whichever is lower — will have the right to challenge evictions. Tenant advocates contend that these thresholds are too high and may still leave vulnerable tenants at risk of displacement. On the other hand, landlord groups like CHIP and RSA lambasted the deal, saying it accomplished “nothing” and “didn’t do enough.” They raised concerns about the modest rent increases, which could make it difficult to fund apartment renovations and repairs. As for 421a, negotiations are still underway to determine how much affordable housing will be required. Of course, this doesn’t quite mark the end for the dealmaking process. Hochul described the deal as “parameters of a conceptual agreement,” meaning the legislature still needs to pass a final version.   Together with Entrata A how-to guide for building AI into your business [Entrata]( While AI is still relatively new to our day-to-day processes, its potential impact on the multifamily industry (and beyond) should not be underestimated. Operators are leaning on this technology to drive efficiencies, streamline operations, and more. This e-book provides a background of AI technology and explores its role in the multifamily industry, examining ways that AI is already impacting workflows and how it is most likely to shape our future.   [I'm an image]( [Harry Macklowe faces major losses on Miami, Midtown projects]( Few developers know the peaks and valleys of real estate quite like Harry Macklowe. Now, the developer is facing a pair of foreclosures in Miami and Manhattan, courtesy of Fortress Investment Group. [I'm an image]( [Marty Burger’s new venture sputters on takeoff]( Marty Burger wasted no time in announcing his new firm Infinity Global a few months after leaving Silverstein. But, two months after the announcement, the firm’s launch is already in trouble. [I'm an image]( [Sterling Bay, JPMorgan at odds with Wells Fargo on $230M office debt]( Sterling Bay and JP Morgan are battling it out with Wells Fargo over a $230 million loan tied to a Chicago office building after the lender reportedly requested up to $40 million for an extension.   Advertisement   [I'm an image]( [Sponsored Planning for Local Law 97, Demystified]( [I'm an image]( [Home seller wins lawsuit against hedge funder Brodsky]( Hedge funder Mark Brodsky agreed to pay $28.5 million for a brand new South Florida home. Then, he backed out of the deal. But a judge ruled he is still on the hook for some costs, including his deposit. [I'm an image]( [Here’s how commissions could change with NAR’s new rules]( NAR’s antitrust settlement was always going to shake up the industry. Now, with more time to dig into the organization’s new rules, it’s easier to see exactly what might change for brokers and their firms. [I'm an image]( [Parkmerced’s $1.8B debt heads to special servicing]( A massive debt package tied to one of San Francisco’s largest multifamily complexes could be in trouble. The borrower, Maximus, requested that the loan be sent to special servicing thanks to high vacancy rate and a fast-approaching maturity date. [I'm an image]( [Brand Studio Beyond Free Rent: Innovative Ways to Cure Occupancy Woes, Responsibly]( [I'm an image]( [GVA sells Austin-area apartments in “forced sale”]( GVA Real Estate was among the most aggressive multifamily syndicators. Now, its portfolio is shrinking, after it offloaded a Texas property in a “forced sale.” [I'm an image]( [Bird Streets spec home sells for $63M — priciest LA deal this year]( A spec home in the Los Angeles’ Bird Streets neighborhood traded hands for $62.8 million, marking the most expensive sale in the city this year. L.A.’s luxury residential market has been in an uphill battle since the city’s new transfer tax was instituted last year.     [The Real Deal Logo]( [Facebook]( [Twitter]( [Instagram]( [LinkedIn]( [YouTube]( [Manage Newsletters]( | [Unsubscribe]( | [Privacy Policy]( | [Subscribe]( | [Advertise]( The Real Deal 450 West 31st Street, New York, NY 10001 ©2024 TheRealDeal. All rights reserved. [View Online](