People in real estate hate uncertainty.
For now, Mayor Eric Adams is staying put, but to put it mildly, he and the city are in a precarious position.
On Thursday, Gov. Kathy Hochul, who has the authority to remove Adams from office, put out a statement, but really a warning: She said Adams must demonstrate that his administration is “working effectively, ethically and in the best interests of the people.”
Adams won over many industry professionals with his tough-on-crime stance and his eagerness to make development easier. If he is removed or leaves, Public Advocate Jumaane Williams would temporarily become mayor.
Williams publishes the annual “Worst Landlords” list, as previous public advocates did. As a Council member, he clashed with the industry over construction safety legislation. When he ran for lieutenant governor, he backed the idea of universal rent control. When he ran for public advocate, he thumbed his nose at donations from real estate executives and political action committees. This is all to say, he is not the industry’s first pick to succeed Adams.
But an interim mayor’s authority would be limited. Williams would not be able to appoint or remove agency heads. He would also be barred for nine days from signing or vetoing laws. He would, however, have authority over the budget and be able to negotiate with the City Council. Presumably, he would then run for a full term.
The candidates who have lined up to challenge Adams next year — City Comptroller Brad Lander, Sen. Jessica Ramos, former Comptroller Scott Stringer and Sen. Zellnor Myrie — are more progressive than the mayor.
Some folks I’ve spoken with were somewhat heartened by the prospect of former Gov. Andrew Cuomo joining the race. But Cuomo in City Hall would also almost certainly mean going back to the exhausting tradition of mayors and governors not playing nicely together.
Another question is whether the senior officials in the trenches of the city’s housing crisis will stick around. Just before news of the indictment broke, City Planning Chair Dan Garodnick said he was committed to seeing the City of Yes for Housing Opportunity through.
In an updated statement, he said: “The fact that too many New Yorkers are struggling to find an affordable home has not changed with the events of this week, nor has our commitment to address it.”
Any departures of seasoned officials at City Planning and the Department of Housing Preservation and Development would be a major blow. The city needs these nerds, not just to push City of Yes across the finish line, but to keep the pipeline of new housing flowing. The longer this period of uncertainty lasts, the harder it will be to retain and recruit talent for city agencies.
What we’re thinking about: Empire State Development on Thursday confirmed that a joint venture of Related Companies, Fortress Investment Group and the U.S. Immigration Fund are hashing out a plan to take over the platform sites at Atlantic Yards after creditors foreclose on Greenland USA. Related is being brought on to secure ESD approval (a qualified developer is required). The agency also indicated that Greenland is seeking a development partner on site 5. Who will team up with Greenland? Send a note to kathryn@therealdeal.com.
A thing we’ve learned: Monday marks the 40th anniversary of “Murder She Wrote,” which debuted on CBS Sept. 30, 1984. The show, starring the late Dame Angela Lansbury, ran for 12 seasons and was the basis for four full-length films.
Elsewhere in New York…
— Upon returning from vacation in Japan, Ingrid Lewis-Martin, a longtime adviser to the mayor, was served a subpoena by the U.S. attorney’s office of the Southern District of New York, Gothamist reports. Separately, the Manhattan DA seized her phones. The reason for the search is unclear, but at least four investigations into Adams and his inner circle are underway. On Friday, Adams pleaded not guilty to federal corruption charges.
— The Department of Investigation on Friday seized cash from safes at the city sheriff’s office as part of a probe into whether it improperly took money from cannabis shops it closed, the New York Times reports. A City Hall spokesperson said Sheriff Anthony Miranda self-reported the money after finding “seemingly unvouchered cash held in safe boxes.” The department has also been investigating whether Miranda or someone acting on his behalf solicited money from merchants for a police fraternal organization in exchange for protection against raids, according to the Times. Miranda told the Times that there’s “no factual basis to any of that nonsense.”
Closing Time
Residential: The priciest residential sale Friday was $17.9 million for a condo unit at 150 Barrow Street — the Keller — in the West Village. Compass’s Stephen Ferrara and Clayton Orrigo have the listing for the new, 4,300-square-foot apartment.
Commercial: The largest commercial sale of the day was $16 million for an apartment complex at 211 Brighton 15th Street in Brooklyn. The Brighton Beach building has 132 units and six stories. The last time it was sold was in 2014, when a string of adjacent apartments traded for $42.8 million, according to property records.
New to the Market: The highest price for a residential property hitting the market was $25 million at 125 West 11th Street. The Greenwich Village townhouse is approximately 7,900 square feet. Brown Harris Stevens’ David Kornmeier has the listing. — Joseph Jungermann