You are reading

Private Equity Firm to Refund Parker Towers Tenants Total of $1.1M

Parker Towers complex (QP)

Parker Towers complex (QP)

April 23, 2019 By Meghan Sackman

A private equity firm that bought Parker Towers, a rent-stabilized housing complex, last year has agreed to pay $1.1 million to tenants who are owed rent reductions, announced the tenant watchdog group Housing Rights Initiative (HRI) Friday.

The Blackstone Group, the firm that bought the 1,327-unit property in November 2018 from Jack Parker Corporation for $500 million, recognized from the time of purchase that a number of renters in the 104-20 Queens Blvd. complex were owed money.

Jack Parker Corporation failed to implement rent reductions despite receiving benefits from a J-51 tax exemption, which requires the landlord to keep their apartments rent stabilized.

Newman Ferrara, the legal firm brought on by HRI, filed suit on behalf of the tenants against Jack Parker Corporation in March 2018. Blackstone took on the lawsuit when it acquired the complex.

Blackstone said that it would be reducing the rent by an average of $230 per month for tenants in 110 units. Furthermore, 82 units will go back to being rent regulated, as they were supposed to be. The company said that these changes equate to about $1.1 million charge.

Blackstone also emphasized that they came into the purchase of the complex with knowledge of this malfeasance and the full intention of correcting the issues.

“We have been working diligently to resolve the litigation that ties to actions taken by the prior owner,” said a spokesperson from Blackstone.

“We are pleased that we were able to voluntarily address this issue quickly and fairly for our residents. We will continue to review the prior owners’ lease files with the expectation of resolving any remaining issues expeditiously.”

Despite the rent reductions, HRI believes that this does not fairly reimburse the tenants harmed throughout this process.

“The goal here is not to get back some of what was stolen, but to get back all of what was stolen,” said Aaron Carr, executive director of HRI.

Lucas Ferrara, of Newman Ferrara LLP, admits that he is pleased with the fast response and cooperation by Blackstone, but believes that the calculations made by the landlord, may not be accurate, and that the judge overseeing the case will likely award tenants more money.

“For a major landlord to make these kinds of concessions, at such an early stage of our litigation, is pretty unique, if not downright historic,” Ferrara said.  “We look forward to aggressively fighting this case to completion, as it is our view, these refunds are only the tip of the iceberg…But, this is certainly a step in the right direction.”

In the meantime, Blackstone says that is focused on making Parker Towers a better place to live.

The firm said that it has addressed ADA compliance issues; rectified hazardous conditions in the courtyard by removing debris and laying sod; and added better security.

email the author: news@queenspost.com

One Comment

Click for Comments 
Former

I knew the management at parker towers was doing something unlawful to the tenants I was a former tenant from 2007 to 2014

Reply

Leave a Comment
Reply to this Comment

All comments are subject to moderation before being posted.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

Recent News

Queens Together launches ‘Unofficial US Open Dining Guide’ encouraging fans to sample restaurants along the 7 line

Aug. 20, 2025 By Shane O’Brien

The US Open returns to Flushing Meadows Corona Park this Sunday, with more than 1 million attendees anticipated to take mass transit to the iconic annual tennis event. With hundreds of thousands of fans set to take the 7 out to the Billie Jean King National Tennis Center, there is a world of delicious local eateries lying beneath the elevated train tracks should any fan wish to stop en-route to the US Open.

Can Queens’ food scene thrive with both trucks and restaurants?

Aug. 19, 2025 By Jessica Militello

In Jackson Heights at 4 p.m. on a Thursday afternoon, Roosevelt Avenue is buzzing with energy as commuters file in and out of subway cars and onto the street and cars and trucks grapple to get down the busy road. The street is filled with rows of shops and restaurants, along with food carts, street vendors and food trucks along the avenue. The almost-but-not-quite the weekend lag leaves hungry commuters faced with another choice to make throughout their day and the array of food truck options in busy areas like Jackson Heights offers customers convenience and delicious food without breaking the bank, two features that can feel vital, particularly with rising costs of living and pressure from inflation.