By Jett Rubenstein / July 11,2016
As you probably realize, real estate in Harlem has increased in value over 100% within the last 5 years. Esplanade Gardens, a 1900 unit middle income cooperative housing complex, located at 147th Street and Adam Clayton Powell Boulevard, which stretches to 147th Street and Lenox avenue, was built in 1966 and is federally subsidized under the Mitchell Lama program, an affordable housing program founded by senator MacNeil Mitchell and Assemblyman Alfred Lama back in the early 60’s. Most shareholders occupying these federally subsidized co-op apartments have purchased their unit at a discounted rate from 1,500 dollars to 16,000 which is a highly discounted rate for a New York City apartment and most shareholders pay only a small maintenance which covers all utilities for about 700 dollars or less per month, making this housing complex a great deal. However, with inflation, the purchase price of these units have soared from 1,500 to a whopping 32,000 dollars to purchase a 2 bedroom unit in this complex, making it merely impossible for most working families to afford to buy. Therefore, most of the earlier shareholders who moved in 40 or 50 years ago have died or have gone to nursing facilities leaving hundreds of vacant units sitting there with nobody to buy, but will be up for bidding in a lottery soon. According to sources and HPD, Esplanade Gardens will buy out of the expired Mitchell Lama program in mid 2017, and all units will become fair market value, meaning all shareholders will be able to sell their units on the open NYC market at fair market values up to 1 million dollars making this buy an excellent investment for the earlier buyers and a chance for shareholders to become millionaires from a sale of their unit in this complex. Ive spoken to several shareholders who are waiting for the buyout possibly next year to sell their units and stated they will move out of town with their newfound wealth. In my opinion, Esplanade Gardens is definitely a goldmine and if you are lucky enough to own a unit in this complex, you should definitely consider it to be a valuable asset.