By Forum Staff
Mayor Eric Adams, City Comptroller Brad Lander, Public Advocate Jumaane Williams, and trustees of the New York City Employees’ Retirement System (NYCERS) recently announced an investment of up to $60 million to preserve rent-stabilized housing units impacted by the sudden collapse of Signature Bank last spring. The investment was made in Community Stabilization Partners — a joint venture led by Community Preservation Corporation with Related Fund Management and Neighborhood Restore HDFC — leading affordable housing providers in New York City. The investment represents the largest single investment by NYCERS in preserving New York City’s rent stabilization stock and will both advance the stabilization of much-needed affordable housing and deliver competitive returns for retirees.
When Signature Bank collapsed in March 2023, the Federal Deposit Insurance Corporation (FDIC) was appointed receiver for its portfolio of real estate loans, which included a substantial concentration of rent-stabilized housing in New York City. In December 2023, as part of an RFP process managed by the FDIC, Community Preservation Corporation, Related Fund Management, and Neighborhood Restore partnered to create a new venture, Community Stabilization Partners, which purchased a 5 percent equity interest in Signature Bank’s rent-stabilized loan portfolio, with the remaining 95 percent held by the FDIC. The portfolio totals approximately 1,140 buildings and 35,000 units with over 80 percent rent regulated and representing approximately 3 percent of New York City’s entire rent regulated housing stock.
Through the $60 million investment — which NYCERS voted on in March 2024 — NYCERS has become a 25 percent partner in Community Stabilization Partners. NYCERS is partnering with Related Fund Management, Community Preservation Corporation, and Neighborhood Restore due to their extensive expertise and deep roots in preserving and expanding affordable housing. Community Preservation Corporation has been a decades-long partner of NYCERS in their efforts to secure strong returns for pension members and beneficiaries, while investing in expanding the city’s affordable housing supply.
This investment is part of the Economically Targeted Investment program of the five New York City Retirement Systems, managed by the New York City Comptroller Office’s Bureau of Asset Management, and is aimed at achieving strong returns for members and beneficiaries while helping to preserve some of the city’s stock of rent regulated housing. Including today’s investment, NYCERS has invested nearly $700 million in rental apartments in the city, with 19 real estate fund managers.
Trustees of the New York City Employees’ Retirement System are:
- Mayor’s Office of Pension and Investments Director Bryan Berge (Mayor Adams’ appointee);
- Comptroller Lander;
- Public Advocate Williams;
- Borough Presidents: Vanessa L. Gibson (Bronx), Antonio Reynoso (Brooklyn), Mark Levine (Manhattan), Donovan Richards Jr. (Queens), and Vito Fossella (Staten Island);
- Henry Garrido, executive director, District Council 37, AFSCME;
- Richard Davis, president, Transport Workers Union Local 100; and
- Gregory Floyd, president, International Brotherhood of Teamsters, Local 237.
“Today, we are proud to announce a $60 million investment from our NYCERS pension fund that will go toward preserving 35,000 units of affordable housing,” Adams said. “This housing is critical to making our city more affordable and livable for working-class New Yorkers.”
