Special Projects - Croman Portfolio

MORE THAN 100 BUILDINGS

Michael Besen’s Company Will Manage Steve Croman’s Portfolio

In 2018, the New York State Office of the Attorney General (“OAG”) approved New York City Management (“NYCM”) as manager of more than 100 residential and mixed-use properties in Manhattan owned by Steven Croman. The appointment, part of a consent decree entered into between the State of New York and Croman, is for a period of 5 years, and is set to expire in 2023.

The consent decree required Croman to hire an independent third-party management company to manage his properties pursuant to stringent policies and procedures approved by the OAG, and to report to the OAG and a monitor appointed to oversee the assignment, formally each quarter and on an as-needed basis.

After its approval by the OAG, NYCM immediately set up a second, separate office to handle the assignment, and staffed up with all necessary personnel – property managers, supers, porters and office staff – all within the 90 days leading up to the official start date. In all, NYCM hired and trained more than 60 individuals to initially manage the properties.

A monitor will also oversee Croman’s compliance with the settlement for seven years, and Croman is required to pay for both the monitor and NYCM.

NYCM successfully met all requirements imposed by the monitor, the OAG, and the consent decree, and returned the properties to Croman in early 2023.