- New York’s apartment investors are suddenly waist-deep in distress. By December, they were behind on $395 million of debt backed by mortgage bonds, almost 150 times the level a year earlier, according to Trepp data on commercial mortgage-backed securities.
- Tenants in rent-stabilized units owe at least $1 billion in rent and wealthier ones are fleeing the city, leaving behind vacancies and pushing newly-built luxury towers into foreclosure.
- For years, as crime dwindled and rent climbed in New York, investors gobbled up apartment buildings. But with the city’s economy and culture crushed by Covid-19, mounting job losses have derailed the gentrification boom and put financial pressure on landlords.
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