AGENCY TESTIMONY
Background and purpose of the 3rd Party Transfer (TPT) program
0:11:47
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102 sec
The 3rd Party Transfer (TPT) program was established in 1996 as a companion to the tax lien sale, addressing properties with multiple years of unpaid taxes and serious housing code violations.
- TPT aims to stabilize distressed properties through foreclosure and transfer to new ownership
- Properties are transferred to an interim owner (Neighborhood Restore HDFC) and then to qualified affordable housing developers
- Since inception, TPT has stabilized over 6,000 homes in approximately 520 buildings, benefiting about 15,000 residents
Kim Darga
0:11:47
Properties with municipal sorry.
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Multiple years of unpaid property taxes, water and sewer charges, and other municipal charges, which also have a significant number of recent serious housing maintenance code violations, are clearly buildings and crisis where the financial distress of a building has impacted the health and safety of the tenants.
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In addition to tax enforcement, the city has an interest in stabilizing the condition of these properties to keep residents safe in their homes.
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This recognition resulted in the establishment of the 3rd party transfer program as a companion program to the tax lien sale in 1996 by the New York City Council to meet these 2 goals.
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TPT aims to ensure that distressed properties that were unable to satisfy their tax debt or her payment plans as a show of financial stability were moved into new ownership through foreclosure.
0:12:41
Unlike traditional foreclosures, TPT transferred properties to an interim owner, neighborhood restore HDFC, and then to qualified affordable housing developers for rehabilitation and stabilization with support from HPD.
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Through a TPT, residents remained in their homes with affordability and rent stabilization protections.
0:13:02
DPT also offered tenants in qualifying buildings who were interested and able to manage a cooperative housing development, the option to petition, to become limited equity cooperatives, after their buildings were rehabilitated.
0:13:19
Since its inception, TPT stabilized over 6000 homes and approximately 520 buildings, improving housing quality and stability for about 15,000 residents.
