$1M Penalty For Illegal Airbnb

"The city says the owners of 410 and 412 West 46th Street and 452 West 36th Street have neglected their buildings, harassed tenants to get them to move out, deregulated units and kept units vacant to rent out on a short-term basis. Tenants of one building were left without gas or a roof for six months in 2015 due to a fire; the other two are awash in building code violations. City inspectors found that at least 11 of the 50 apartments in the trio of five-story buildings should have been offered as rent-stabilized units but have been hosting illegal Airbnb rentals instead. Named in the suit are building owners Keystone Management, Highpoint Associates XII, Richard Lagana and Daniel Ohebshalom, who were listed on the New York City Public Advocate’s worst landlords list in 2015 and in 2018. Highpoint Associates held the number one spot in 2015, after 412 West 46th Street was was ravaged by a fire, leading to citations for lacking sprinklers and fire alarm systems. The building’s top two floors are uninhabitable by DOB standards, and there is a partial vacate order in place. The company had already been hit with over $100,000 in fines for illegal short-term rentals."

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