"New York City Tenants Face Deadline in Battle Against 'Slumlords' Amid looming Bankruptcy Sale"
A coalition of NYC tenants has been pushing back against what they call "slumlords," particularly the Pinnacle Group, a real estate firm with dozens of buildings across the city. The company declared bankruptcy in May 2025 after defaulting on its loan and cited rules limiting rent increases as the reason for not being able to afford basic upkeep.
To prevent their homes from being sold by one bad landlord to another, tenants formed a coalition that successfully lobbied Mayor Zohran Mamdani's administration. The city now intends to take a more proactive approach in the looming bankruptcy sale of Pinnacle's properties, but time is running out.
The bankruptcy judge has already scheduled a sale for January 8th, and another large real estate firm, Summit Properties USA, has lined up a $451 million bid. Lawyers for the city filed a formal request to delay the sale by 30 days, giving them more time to find other buyers who would receive low-interest loans and other funds from the city's Department of Housing Preservation and Development.
The tenants' goal is not only to prevent their homes from being sold but also to ensure that a responsible owner takes over. Cynthia Rose, a Pinnacle tenant leader in Brooklyn, said, "We're just asking for more time so we can have a say."
However, it remains uncertain whether the city's intervention will succeed. Bankruptcy attorneys who spoke with Gothamist agreed that they were skeptical about the city's ability to halt the sale. The court filing makes good on Mamdani's pledge to intervene in the case, but the outcome is far from certain.
The real estate industry has criticized the city's legal argument and Mamdani's attempt to slow down the transaction. A senior vice president at Marcus & Millichap said, "He's undermining normal market practices."
Despite this, tenants plan to keep up their fight, regardless of whether the judge agrees to stall the sale. As one tenant leader noted, "We're not going down easy."
A coalition of NYC tenants has been pushing back against what they call "slumlords," particularly the Pinnacle Group, a real estate firm with dozens of buildings across the city. The company declared bankruptcy in May 2025 after defaulting on its loan and cited rules limiting rent increases as the reason for not being able to afford basic upkeep.
To prevent their homes from being sold by one bad landlord to another, tenants formed a coalition that successfully lobbied Mayor Zohran Mamdani's administration. The city now intends to take a more proactive approach in the looming bankruptcy sale of Pinnacle's properties, but time is running out.
The bankruptcy judge has already scheduled a sale for January 8th, and another large real estate firm, Summit Properties USA, has lined up a $451 million bid. Lawyers for the city filed a formal request to delay the sale by 30 days, giving them more time to find other buyers who would receive low-interest loans and other funds from the city's Department of Housing Preservation and Development.
The tenants' goal is not only to prevent their homes from being sold but also to ensure that a responsible owner takes over. Cynthia Rose, a Pinnacle tenant leader in Brooklyn, said, "We're just asking for more time so we can have a say."
However, it remains uncertain whether the city's intervention will succeed. Bankruptcy attorneys who spoke with Gothamist agreed that they were skeptical about the city's ability to halt the sale. The court filing makes good on Mamdani's pledge to intervene in the case, but the outcome is far from certain.
The real estate industry has criticized the city's legal argument and Mamdani's attempt to slow down the transaction. A senior vice president at Marcus & Millichap said, "He's undermining normal market practices."
Despite this, tenants plan to keep up their fight, regardless of whether the judge agrees to stall the sale. As one tenant leader noted, "We're not going down easy."
I feel for these ppl who've been dealing with bad landlords for so long. It's crazy that a company like Pinnacle Group can default on loans and then just sell off their buildings to another owner without even giving the tenants a say 
. The city is trying to step in here, but it's gonna be tough to stop the sale now that Summit Properties USA has already made an offer 
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. The fact that they're fighting for a chance to have a say in who buys the building shows how much they care about their community, you know? 
. I mean, can't they see that this is about more than just making a quick buck? It's about people's lives and homes 
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. They deserve better than to be treated like pawns in a game they didn't even get to play in 
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. I mean, who expects a group of tenants to band together and fight against greedy landlords? 
It's about time someone stood up for people who just want to live in their homes without being treated like dirt 
. But I do feel bad for all these tenants who are having to go through this ordeal 
. Can you imagine if everyone just took off and didn't pay rent when things got tough? It'd be chaos! 
. They think they can just swoop in, raise rents and leave tenants high and dry? Not cool, Pinnacle! And now the city's stepping up with a plan to intervene, it's only fair that these tenants get a say in what happens next 
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. It's not fair to tenants who are already struggling to make ends meet. The city is taking the right step by stepping in and trying to prevent the sale of these properties to other shady landlords. 
. And I love how tenant leaders are speaking out - it's about time someone stood up to those 'slumlords' 
!
and saw these cutest little cat cafes along the way 
They were literally filled with adorable cats playing on scratching posts and it was like a whole different world. And have you ever noticed how some cities have those weirdly shaped buildings that look like they're just made of stacked blocks? 
this is a classic case of corporate greed vs people's lives 
the city should step in and make sure that when a company goes bankrupt, it doesn't just mean another slumlord moves in 
what's the point of having regulations if they're not enforced 
. I mean, what's next? They'll be selling off our homes like they're just commodities 
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, people who are just trying to make a buck off of others? It's disgusting. The city needs to do better than just throwing money at the problem 
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, but this whole thing is so complicated... 
. I hope these city officials know what they're doing, because if not, we're gonna be stuck with another bunch of wealthy landlords profiting off of our misery 
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. Anyway, I'm keeping an eye on this situation and will be sure to update you all if there are any major developments 
!
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and it's just so frustrating when you feel like the system is against u 
. It's not fair that they have to fight tooth & nail just to keep their homes 
. Fingers crossed that the tenants' voices are heard & a responsible owner takes over 
. i hope the judge sees reason and gives the tenants some breathing room