Jared Kushner’s company accused of illegally inflating rent
A lawsuit filed Tuesday by tenants in a building owned by Jared Kushner’s family company alleges that their rent is illegally inflated.
The lawsuit, filed by six residents in a Brooklyn building, was filed Tuesday in state Supreme Court in Brooklyn, The Associated Press reported.
The lawsuit alleges that Kushner Cos. is charging the tenants at 18 Sidney Place rent at free-market rates, rather than rent-stabilized ones.
{mosads}A spokeswoman for the company said the suit doesn’t have “merit.”
“We’ve reviewed the lawsuit and believe it is without merit and that we have complied with all rent regulations applicable to the apartments,” company spokeswoman Christine Taylor said.
The building was previously owned by the Brooklyn Law School.
Apartments at the location didn’t have to abide with the rent stabilization rules at the time because landlords are permitted to get exemptions if they are housing employees or students — and not renting to the public.
The lawsuit says that when the Kushner company purchased the building in February 2014, the rents in the building should have been re-stabilized.
Aaron Carr, the executive director of the Housing Rights Initiative, which is backing the lawsuit, called Kushner Companies a “rapacious predator,” according to the New York Daily News.
“A predator that has been hiding in plain sight,” Carr said.
“Lurking in the shadows of a broken enforcement system, Kushner has wreaked havoc on families, caused irreparable harm to our communities and swindled affordability from this city. All in the midst of an affordable-housing crisis.”
This suit comes after a report last month said Maryland Attorney General Brian Frosh is probing a business owned by Kushner’s family over alleged questionable debt collection practices and poor maintenance at several of its properties in the state.
The company also faced scrutiny in May when Kushner’s sister, Nicole Meyer, a principal at the company, mentioned her brother’s service in the Trump administration during a pitch to investors in Beijing.
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