The Stuy Town labyrinth has yielded yet another mystery
On Monday, The Real Deal reported that the long-fabled co-op conversion is on its way, based on a press release by Fitch Ratings.
But wait! The publication later clarified that this doesn’t mean the long-awaited conversion has commenced. In fact, it’s just more of the same, with rents on nearly 600 vacant units going way up, jumping from an average of $900 a month to $3,000. This brings them almost exactly in line with market-rate rents for similar apartments.
“Basically, they’ll be brought up close to what market rate is,” Robert Scaglion, a senior managing director with Rose Associates, told The Real Deal. “On a percentage basis there’s no rule of thumb. If you could renovate it and get it up to $4,000—well, I don’t think the market is going to pay [that] for a one-bedroom in Stuy Town.”
So how did the apparent conversion get called off? Because there wasn’t any. Fitch had initially referred to a “conversion” when what the company meant was “a rehabilitation” of the 560 apartments. It’s all so confusing. Where’s Charles Bagli when we need him?