Fairfield Towers Brooklyn, New York

Marketing of 983 unsold residential condominium units

Savills represented The Lightstone Group in the highly successful sale of 983 unsold residential condominium units at Fairfield Towers, a 19 building residential apartment property located in the East New York section of Brooklyn, New York.

 

Fairfield Towers had been converted to condominiums in 1991, but only 167 of the complex's 1,152 units had been sold by the original sponsor.

 

Lightstone bought the remaining unsold units in 1999 and continued to operate them as rental units.

 

By 2005, the surrounding neighborhood had improved and housing prices had increased to the point where re-offering the unsold units became economically viable. Although the condominium regime already existed and a valid condominium offering plan was still in effect, Lightstone, an experienced operator of rental properties with little experience in the for-sale business, decided to offer the units in bulk rather than attempt to market the units to end users itself.

 

The offering faced a number of challenges:

  • The 167 existing unit owners, not Lightstone, controlled the Board of Managers of the condominium.
  • Litigation remained outstanding between Lightstone and the Board regarding the operation of the property.
  • Litigation was ongoing between the condominium association and a union representing the property's employees.
  • Many buyers had a pre-conceived negative perception of the surrounding area