Rep. Ritchie Torres Calls on Community Preservation Corporation to Prioritize Tenant Safety and Affordability in Signature Bank Portfolio Receivership

Rep. Torres raises concerns about distressed Bronx properties with documented habitability violations

WASHINGTON, D.C. — Today, Congressman Ritchie Torres (NY-15) sent a letter to Community Preservation Corporation (CPC) President Rafael Cestero urging the organization to prioritize tenant safety, housing stability, and long-term affordability as it takes on a coordinated role in the receivership of Signature Bank’s distressed multifamily housing loan portfolio. Rep. Torres’s letter raises particular concern about a cluster of Bronx properties associated with landlord Ved Parkash, including 89-20 161st Street, 3435 Giles Place, and 2015 Creston Avenue, that are currently in foreclosure and have been the subject of longstanding tenant complaints and documented code violations.

Rep. Torres argues that CPC’s involvement in the receivership process presents a critical opportunity to go beyond addressing distressed debt and ensure that the resolution of these properties results in genuine rehabilitation, responsible ownership, and meaningful protections for the low and moderate-income residents who call them home.

The full letter reads (PDF attached):

“I write to express my support for the Community Preservation Corporation’s ongoing efforts to take a coordinated and community-centered approach to the receivership of Signature Bank’s distressed multifamily housing loan portfolio. This moment presents a significant opportunity to stabilize housing conditions, preserve affordability, and promote responsible long-term ownership across affected properties.

“As you are aware, New York City continues to face a severe shortage of safe and affordable housing. Many of the multifamily buildings previously financed through Signature Bank serve low and moderate-income residents and are critical components of the city’s housing stock. Ensuring that these properties are stabilized and preserved is essential not only for current tenants, but also for the long-term health of our communities.

“In that regard, I write to raise concerns regarding properties associated with Ved Parkash that are currently in foreclosure, including 89-20 161st Street, 3435 Giles Place, and 2015 Creston Avenue. These buildings have been the subject of longstanding tenant complaints and documented code violations, reflecting significant operational and capital challenges.

“Available records and tenant reports indicate persistent issues across these properties, including deficiencies in heat and hot water, elevator outages, mold, leaks, pest infestations, and delayed or incomplete repairs. In some instances, these conditions have been accompanied by broader safety concerns, including fire risks and unresolved building system failures. Collectively, these patterns suggest the need for a comprehensive and sustained intervention to ensure that these properties meet basic standards of habitability and safety.

“CPC’s role in the receivership process is critical. Beyond addressing distressed debt, there is an opportunity to ensure that outcomes align with the broader goals of housing stability, tenant safety, and long-term affordability. Any resolution involving these properties should include a clear and enforceable plan for rehabilitation and capitalization, supported by defined timelines, appropriate oversight, and meaningful accountability measures.

“I would welcome the opportunity to meet with CPC leadership to better understand how the organization intends to approach stabilization efforts for these properties, including expectations for ownership, mechanisms for oversight, and projected timelines for achieving compliance with housing standards. Transparency and coordination with tenants and community stakeholders will be essential to ensuring a successful outcome.

“Additionally, as CPC evaluates long-term solutions, I encourage consideration of qualified preservation purchasers capable of delivering comprehensive rehabilitation and responsible property management. Where feasible, pathways that incorporate tenant or community-based ownership models should also be explored, consistent with CPC’s mission and the goal of promoting sustainable and equitable housing outcomes.

“Thank you for your attention to this matter and for your continued work to preserve and strengthen New York’s affordable housing stock. I look forward to continued engagement on this issue.”

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