East Orange tenants who sued landlord over apartment conditions facing steep rent hike
EAST ORANGE, New Jersey (WABC) -- Tenants of a century-old apartment complex in East Orange, New Jersey got more than they bargained for after suing their landlord over the conditions of the building, which fell into disrepair.
The receiver who took over the ailing property is now calling for a huge hike in rent, leading to outrage, concern and legal action from tenants.
The apartments have been home to long-term residents, including disabled and senior citizens. The monthly rent is $2,600, but recently they got word that it's going to jump to over $4,000 starting next month.
It's a massive hike for 92-year-old resident Howard Shelton.
"I can't see how we're going to make it, you know, from this, if this thing goes through that they want to do, they want to cut down to cut down the apartments," Shelton said.
The building called "The Castle," was completed in 1928 and features sizable three-bedroom apartments for families. Some two dozen are unoccupied.
Shelton moved in 12 years ago with his daughter.
The long-retired senior takes great pride in his family. He never planned to move again, but faces eviction.
"I'm sure know, we do have to do a lot of hustling to find something else, if we could, you know, and this just was not in my plan because I'm 92 years old now," Shelton said.
To make matters more complicated, the building is in receivership. That means there is a mediator trying to come up with a workable solution between the tenant group and the landlord, but the owner skipped town and faces bankruptcy.
The lawyer for the tenants say they have to continue fighting to stay in their homes and the over $4,000 a month sticker price is above rents in the area.
"I don't believe it's actually market rate for a three-bedroom in East Orange," said tenant lawyer Alaina Thomas. "So, it's in excess of the market, I would say. And then in addition to that, we have to think about like, well, who can actually afford these rents and who do we actually want to be the future of our cities?"
The Smiths have lived in the building for decades. They both still work and say an increase of $1,400 is going to force them out.
"I have a sister here that's disabled, she has nowhere to go," said resident Rita Branch Smith. "She barely gets any income. I have my daughter that's in college that we're helping out. So, you know the place, you know, it fits us."
"We're paying like close to $30,000 a year for rent. Now you're talking about $50,000," said resident Robert Smith.
The receivership says rents for current residents will not jump that dramatically, but new tenants will pay over $4,000 per month for rent.
The receivership also points out that, "The building is insolvent and is facing board-up. Even at 100% occupied, it does not cover operating expenses at the current rent schedule."
----------
* Get Eyewitness News Delivered
* Download the abc7NY app for breaking news alerts
Submit a tip or story idea to Eyewitness News
Have a breaking news tip or an idea for a story we should cover? Send it to Eyewitness News using the form below. If attaching a video or photo, terms of use apply.
