{"id":347588,"date":"2026-09-15T19:24:53","date_gmt":"2026-09-15T19:24:53","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/347588\/"},"modified":"2026-09-15T19:24:53","modified_gmt":"2026-09-15T19:24:53","slug":"nyc-agrees-to-shell-out-60m-to-property-owners-whose-buildings-were-seized-under-program-mamdani-vows-to-revive","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/347588\/","title":{"rendered":"NYC agrees to shell out $60M to property owners whose buildings were seized under program Mamdani vows to revive"},"content":{"rendered":"

The Big Apple has agreed to pay $60 million to property owners whose buildings were seized under a controversial city program that Mayor Zohran Mamdani has vowed to <\/a>revive.<\/p>\n

Under the settlement agreement filed in Manhattan federal court Friday, owners of 64 properties seized by the city over unpaid tax debts will receive the payouts, nearly a decade after the class-action lawsuit was filed.<\/p>\n

\u201cWe\u2019re grateful to be able to finally give some relief to some of these families,\u201d said Sara Kane, one of the attorneys representing the homeowners.<\/p>\n

An aerial view of the Manhattan skyline on Saturday, Sept. 16, 2023, in New York City. Paul Martinka for NY Post<\/p>\n

An aerial view shows the High Bridge, followed by the Alexander Hamilton Bridge and Washington Bridge. Paul Martinka for NY Post<\/p>\n

The plaintiffs argued that the properties were seized without \u201cjust compensation,\u201d in violation of their constitutional rights \u2014 and alleged the city never notified them that their homes were being seized, according to the suit filed in 2019.<\/p>\n

Under the \u201cThird Party Transfer program,\u201d ownership of buildings that have racked up housing code violations and owe significant property taxes can be transferred to a nonprofit organization, which then finds an affordable housing developer to take them over.<\/p>\n

But court documents claim that often, the seized real estate was worth well over what the homeowner owed in taxes.<\/p>\n

New York City Mayor Zohran Mamdani speaks at a press conference on Monday, September 14, 2026. Stephen Yang for NY Post<\/p>\n

The settlement \u2014 one of the largest in the last decade by the city \u2014 comes as the Mamdani administration looks to revive the program as part of the mayor\u2019s \u201cFix the City\u201d housing plan.<\/p>\n

\u201cThe City maintains that the transfer of properties did not violate the former property owners\u2019 rights, but the City is settling to resolve this longstanding litigation,\u201d said Andrew Stern, spokesman for the city\u2019s Department of Housing Preservation and Development.<\/p>\n

A general view of buildings and vehicle traffic on Fifth Avenue at E49th Street in the Midtown Manhattan section of New York, NY is seen on Wednesday, July 22, 2026. Christopher Sadowski for NY Post<\/p>\n

The settlement would cover the most recent group of properties seized in 2019. But more than 500 other properties remain as part of the class-action suit, according to attorneys for the plaintiffs.<\/p>\n

\u201cWe hope that the court system allows for the rest of the rounds to have a similar result,\u201d Kane said.<\/p>\n","protected":false},"excerpt":{"rendered":"The Big Apple has agreed to pay $60 million to property owners whose buildings were seized under a…\n","protected":false},"author":2,"featured_media":347589,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[2907,2954,75,84,83,57,9,24,63,58],"class_list":["post-347588","post","type-post","status-publish","format-standard","has-post-thumbnail","category-manhattan","tag-housing","tag-landlords","tag-manhattan","tag-manhattan-headlines","tag-manhattan-news","tag-metro","tag-new-york","tag-new-york-city","tag-nyc","tag-us-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/347588","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=347588"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/347588\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/347589"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=347588"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=347588"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=347588"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}