The real estate bubble of 2003 – 2008 has impacted the country and New York City. Back in September 2007, we devoted our first new ‘Inside Edge’ publication to examine the escalating sub-prime issue, and to predict how the financial instability was going to affect housing and community development in NYC.
New York City ended up experiencing not only a foreclosure crisis in single family homes, but also a crisis in over mortgaged multifamily buildings. For the last several years many multifamily properties in New York City have been carrying debt that exceeds their ability to pay and unique CHPC analysis of these properties indicated that many of them are headed to foreclosure and bankruptcy as the result of unsustainable debt levels. In our ground breaking publication, Debt Threat, published in 2009, we were the first group to explain the problem, quantify the danger, and suggest realistic actions to be taken by New York City, New York State and the federal government.
CHPC continues to monitor this problem, working with New York LISC to develop new approaches to dealing with the problem. A Charles H. Revson Foundation grant allows CHPC staff, especially Senior Fellow Harold Shultz, to maintain focus on this complicated issue, and to act as a unique resource for various government agencies.