New York Builders Paying Huge Buyouts to Tenants in Their Way

By MIREYA NAVARRO

Tishman Speyer Properties, one of New York City’s most active real estate developers, had bought two parcels of land on the Far West Side of Manhattan to clear the way for a 2.8-million-square-foot office tower planned for Hudson Yards.

Standing in the way, though, were the occupants of two apartments on the site. So this year, the developer turned to a lubricant that can be counted on to ease New York City tenants out of their rent-regulated units — a buyout, in this case, for $25 million in total to three tenants.

In New York’s exceptionally lucrative real estate market, multimillion-dollar buyouts are becoming more common, lawyers who negotiate for tenants and property owners say.

Full article, published by The New York Times on December, 24 2015