"In Limbo," Foreclosed Apartments Lack Maintenance

Until the foreclosure process is finalized, apartment buildings are the responsibility of no one in particular. Around New York City, writes Chris Opfer, foreclosing banks are increasingly being given the task of maintaining and repairing them.

1 minute read

October 6, 2011, 6:00 AM PDT

By Judy Chang


"The court typically appoints a receiver to collect rent and use the money to perform limited maintenance, but not necessarily to make significant physical improvements."

"In the Brooklyn case, the court didn't appoint a receiver until almost a year after the foreclosure suit began. A court order limits him from spending more than $2,000 on a single repair without the bank's consent.

Physical problems often occur in these rent regulated apartment buildings facing foreclosure both because the buildings are typically older and require substantial maintenance and because the relatively low rent income made it difficult for landlords to make major repairs."

Saturday, October 1, 2011 in Gotham Gazete

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