In partnership with Governor Andrew Cuomo’s Tenant Protection Unit, a subpoena was issued in 2014 to investigate Marolda Properties and different landlord companies concerning allegations of tenant harassment and business practices.
On November 1, a lawsuit was filed by New York State Attorney General Eric Schneiderman, against landlords and property management companies alleging that they harassed residents in Chinatown and the Lower East Side. The harassed tenants occupied rent regulated apartments. According to Crain’s New York Business, the landlords and management companies wanted these residents out of the building to bring in higher paying tenants to increase profits.
Marolda Properties, a party listed in the complaint, owns and manages upwards of 70 buildings with approximately 1,700 apartments throughout Westchester County and the five boroughs.
According to the complaint, Marolda Properties and landlords of different limited liability companies intimidated residents “by accusing them of not living in their unit.” They threatened the tenants with an eviction proceeding if they did not leave voluntarily. According to Crain’s, the property manager and landlords filed suit in housing court against tenants without any evidence to their claims in many cases.
According to the Attorney General, Marolda, who is a stakeholder in many of the buildings, turned off the gas to some units at a building in the Lower East Side and failed to make basic repairs in an attempt to make the tenants leave. Marolda has not turned the gas back on according to Schneiderman.
One example cited by Crain’s is that when Marolda “ripped out the toilet used by elderly residents in August and never replaced it.” The elderly tenants “had to climb three flights of stairs to use a different restroom.”
Marolda Properties has not yet commented on the allegations.