Notorious Queens Landlord Buys Flushing Buildings For $80 Million

FLUSHING, QUEENS — A Queens landlord accused of saddling tenants with excessive deposits and illegal fees just bought two properties in Flushing for $80 million, according to a report.

Zara Realty bought 140-60 Beech Ave. for $37.5 million and 140-30 and 140-50 Ash Ave. for $42.5 million in an off-market deal, The Real Deal reported citing property records and sources familiar with the deal.

The Jamaica-based real estate group owns and manages at least 2,500 rent-stabilized apartments in Queens, according to the New York Attorney General's office, which sued Zara in March for charging exorbitant move-in fees and demanding hefty security deposits.

"For years, Zara Realty has engaged in an egregious pattern of tenant harassment and exploitation," Attorney General Letitia James said in a statement about the lawsuit.

"Evading our rent regulation laws and forcing low-income tenants to pay exorbitant fees for fake services is deception of the worst kind."

Zara Realty's attorneys pushed back on those claims and said the terms of their leases comply with the law.

"The allegations contained in this suit, many of them factually inaccurate, will be vigorously contested," they said in a statement.