Rego Park Developer Fined For Flouting Rent-Stabilization Rules

REGO PARK, QUEENS — A Rego Park developer was penalized for receiving tax breaks while flouting the rent-stabilization requirements that came with them, the New York Attorney General's Office announced Monday.

Tuhsur Development was accused of overcharging tenants in the Millennium 99 condominium building by thousands of dollars — all while benefiting from property tax exemptions under New York's 421a tax abatement program, New York Attorney General Letitia James said.

The developers, Yan Moshe and Vlad Moshe, also tried to evict the tenants in one apartment for not paying rent, even though they had been overcharged by more than $22,000 in rent payments, according to James' office.

“Undoubtedly, tenants at 63-36 99 Street, a property in my district, are elated by the intervention of the New York State Attorney General’s office on their behalf,” City Council Member Karen Koslowitz said. “I want to offer a profound thank you to Attorney General James and her Real Estate Finance Bureau for their activist role in protecting tenants from unscrupulous landlords abusing the 421a tax exemption program.”

As part of a settlement with the Attorney General's Office, Tuhsur Development is required to pay $160,000 in restitution to the city's Department of Housing Preservation and Development, $43,000 to tenants who were illegally overcharged rent and a $30,000 penalty.

The developer was also ordered to lower the rents of certain apartments and halt eviction proceedings against tenants who had been overcharged.

"Rent-stabilization laws exist to protect tenants, and we will not let landlords or developers circumvent them," James said in a statement. "The agreements announced today affirm my office's commitment to promoting access to safe, affordable housing for all New Yorkers. This is a notice to all bad actors seeking to take advantage of tenants: Not on my watch."