wnyc.org / 93.9fm / am 820

A state judge has ordered the foreclosure sale of the Riverton Houses in Harlem to satisfy the nearly $241 million debt of owner Laurence Gluck.

A developer at Stellar Management, Gluck had bought the complex in 2005, at the height of the housing bubble, with the hopes of converting rent-stabilized units into market rate apartments. Those conversions did not happen at the pace he had projected and he defaulted on his mortgage last year.

"They've been a very fair management company," said tenant Brian Ferry, explaining that the company had done a lot to improve the place. "It's just unfortunate that, like a lot of other financial and real estate companies, they kinda bit off more than they could chew."

Ferry says he's not too worried about the next owner raising his rent, because he has a contract in place. "The tenants have been assured that their contracts are going to be honored by the next company, so that's, I think, all that anybody's concerned about," he said.

Leonard Wilson, another tenant, said that residents of the complex had been bracing for a new owner since the current one defaulted on his mortgage. Now, they are waiting to see what changes a new owner will bring.

The foreclosure sale is expected in March. Several groups have already expressed interest in the historic apartment complex, located at Fifth Avenue and 135th Street. Residents of the Riverton Houses have included jazz pianist Billy Taylor and former Mayor David N. Dinkins.