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Elder Reveals Plan to Evict Permanent Residents

     Legends has just obtained the following court document in the arbitration hearing BD NY Hotels, LLC vs Chelsea 23 St. Corp. We link to it here in its entirety because it is a sworn affidavit from minority shareholder David Elder in which he states his intention to evict permanent tenants and turn their apartments into transient hotel rooms.

     For the purposes of his financial calculations, Elder gives what he calls a “conservative” estimate to the effect that 20 of the 120 permanent units can be converted to transient use. (This is in addition to the 16 apartments secured by BD’s efforts to force out tenants.)  Though this may not seem like a lot, remember, this is 20 of us (or maybe more, depending on how many live in these apartments.)  So who will it be?     The people who are behind on their rent?  The elderly or unstable living in “cluttered” apartments?  Those who have been luxury decontrolled? The people who haven’t yet hired a lawyer? Probably it will be a few from each of these groups.

     What’s more, these are rooms that will never again house permanent residents – thus hastening the end of the Bohemian life style that has existed at the Chelsea for 125 years. 

     The other interesting thing that Elder reveals is that he and Marlene Krauss are planning a $15 million capital improvement project.  Of course, money spent on certain types of capital improvements can be recouped by raising our rents (yes, this goes even for rent stabilized tenants), and presumably Krauss and Elder are hoping they drive some of us over the luxury decontrol threshold and/or make our apartments prohibitively expensive. — Ed Hamilton  (Image: PAGE 2 of the )
Elderaff_2

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15 responses to “Elder Reveals Plan to Evict Permanent Residents”

  1. es Avatar
    es

    Your reading last Monday, with Julia Calfee’s photos, helped bring out the story of this awesome hotel. More people should be following this story, because it, like other apartment building takeovers and massacres, is part of a giant soul-sucking corporate mindset out there in NYC. (Not to get all conspiracy theory on you.) But this CH story could potentially inspire others in the same situation. This blog does a service in getting documents out into cyberspace that certain people would rather keep hidden. The example of the humorous and committed actions of the CH denizens also inspires. Solidarity!

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  2. Old & Crabby Avatar
    Old & Crabby

    That creepy David Elder, he’ll be out of here and the Bards will be back managing the hotel before 20 more apartments are cleared of tenants!

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  3. easy target Avatar
    easy target

    Amazing that it has all come to light. Elder and Krauss stepped into a business where they do not know anything and got taken for a ride. Furthermore, Elder’s affidavit discredits Marlene totally in her denial of an agenda to evict permanent residents. They have failed their father’s and grandfather’s with their greed at the expense of many people. Condolences to dear Stanley who has been powerless since their hostile takeover that sought to destroy his legacy. I hope this helps in having a judge see that Elder and Krauss should be removed immediately. Drukier, Krauss, Elder are all despicable.

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  4. Randy Avatar
    Randy

    Sad yet fascinating story I’ve been following courtesy of this blog. Question:
    If The Chelsea had suffered “decades of neglect” as stated in the affadavit why would the resident tenants be so anxious to have the Bards back in management?
    Second, if increased profit is the motivation of the board of directors in making changes, have they no imagination in considering the value of “The Chelsea” as a brand without compromising the lives of the resident tenants that account for said brand?
    Third, Mr. Elder, et al, do you not understand that karma is a bitch?

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  5. The Ghosts Avatar
    The Ghosts

    Once again, David Elder and Marlene Krauss demonstrate their clear lack of understanding of what the Chelsea is was, and is meant to be in the future. they also demosntrate once again what they plan to do with the hotel, as if we didn’t already know. It is time for them to leave. This document is nothing less than a declaration of full-out war. You want war, David and Marlene? You shall get it. They are, I’m sorry to put it this way, scumsuckers. Or as someone else put it, magpies, a bird which invades another bird’s nest, kills their young, and takes it over.

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  6. ReplytoRandy Avatar
    ReplytoRandy

    Randy, These assholes (Krauss and Elder) came crawling out of the woodwork looking for a pot of gold once Chelsea became a desirable neighborhood. Where were they when the neighborhood was scary? They weren’t here managing the hotel day in and day out. Making money during hard times was a difficult task left to the Bard family. Well, now these assholes have discovered that it’s not that easy to make money even when tourism is at a record high in the city! BRING BACK THE BARDS

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  7. Miss H Avatar
    Miss H

    There were no decades of neglect. Things were being fixed up all the time. It’s a big place, it takes time. In flush times things got fixed faster. I never waited more than a day. IIRC, all the rooms pictured on the new website are rooms Michelle did, and interesting and lovely they are too. Stanley was in the process of refurbishing with his kids when the two little heirs staged a coup.
    Why do we love Stanley? Read more of the blog and you’ll understand. Stanley is an artist in his own right, and the hotel was his work of art. It was an embassy for another planet, with its own rules and logic, which worked for the arts and the residents for more than 50 years. My first room was very bare and old, but clean, and perfect. I liked that, despite the fresh coat of paint, it still had the same architectural details, the same feeling, as it must have had when someone checked in ten years earlier. Stanley was human, and kind, and interesting. He created something that contributed great things to the world.
    Krauss and Elder are greedy and cruel. Cruel? They called security guards on Stanley. They have no appreciation for him whatsoever. They’ve lied over and over to try to cover their agenda but luckily, people like these bloggers keep uncovering it. Yes, they are despicable. They have absolutely no knowledge of how to run any hotel, let alone a complex ecosystem like the Chelsea hotel, yet they had no qualms about kicking out a legendary manager (and majority shareholder)and his family adnand taking over. The ego.
    Most residents don’t need fancy stuff, they can fill the room with their imagination, with their own artwork. We were always free to redecorate our rooms as we pleased. Children played where they pleased and were safe to do so because we always looked out for them. There was a freedom and understanding now gone, there was community, and there was an edge, a yang to the yin that fostered creativity, authenticity. Why have so many writers, painters, musicians, curators and other fascianting people chosen it as their home?
    Stanley came to our readings, our plays, our screenings, our performances, our exhibits, our weddings and funerals. He never held a grudge. Stanley defies easy description. The two little heirs don’t understand him or his methods at all. They should ahve kissed his fet, not kciked him to the curb.
    Don’t be fooled by Elder’s and Krauss’ slander against Stanley. They need to make it sound terrible in order to sell their lousy case. Their first press release didn’t say a thing about him, or the legacy or work created there, it talked about maximizing the profit of the street front retail program. They wanted Stanley to puts shops in the lobby. They have demonstrated their crassness, greed and inhumanity over and over since the takeover. This isn’t just another building, as they seem to think, it’s the Chelsea Hotel, a legend, and a very rare ecosystem. Karma is a bitch, folks, its’ bitten more than one of us in the asses for far lesser offenses. I’d say a big one is coming for Marlene Krauss and David Elder.

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  8. PS Avatar
    PS

    They think of the Chelsea as just a building, and even then their charges of decades of neglect are bullshit. Stabnley took care of the building best he could, which was often very well indeed, but he really took care of the people within, not just residents, but staff and visitors. Marlene and Elder’s FIRST communication with residents was aterse demand for back rent. Since then, they have treated residents with condescension and contempt. It’s clear their plan was to empty the building of longterm residents (they forbade Stanley to give leases for some years previous) and turn it into a banal boutiqwue hotel, a faux bohemian theme park sanitized for uptight business traveller, while trading on the history Stanley fostered. In the words of an old Russian curse, may they shit barbed wire.

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  9. Sherill Avatar
    Sherill

    Miss H, it is always a pleasure to read your posts.

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  10. lyn Avatar
    lyn

    I lived in a very small tight-knit community in Minneapolis since the 70’s, I raised my daughter there amongst many artists and musicians. I watched this thriving community (where Bob Dylan, Bonnie Raitt, Koerner Ray and Glover, Willie Murphy, Husker Du, The Replacements, Flaming Ohs etc….made their start)disappear to overpriced housing which then became failing businesses then to crime and deteriorating housing and nearly desolate of arts and music. If the management believes that changing the Chelsea into something luxurious will help the image and the future of the hotel, they are DEAD wrong. I am visiting the Chelsea this coming weekend and both my daughter Emily and I will be wearing our “Bring Back the Bards!” shirts. Keep on fighting. Lyn.

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  11. Rob from Aus Avatar
    Rob from Aus

    That Elder is one sleazy douchebag. May he rot in hell for what he is doing to OUR hotel.

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  12. The Ghosts Avatar
    The Ghosts

    Lyn, we look forward to seeing you and Emily.

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  13. Miss H Avatar
    Miss H

    Sherrill, my favorite historian, I was remiss in not mentioning all the great documents you dug up. Between you and the bloggers, there’s going to be a thorough record for future historians looking back on this sad episode. Happy 124 (!) years of Chelsea Hotel history. Bring Back the Bards.

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  14. mr reindeer Avatar
    mr reindeer

    losing chelsea to shortsighted greed is comparable to the ecocatastrophe. there are not many places like the hotel chelsea on this planet. its obvious that marlene krauss and david elder are not aware of the continuing meaning of the chelsea hotel to the western popular culture. whats truly amazing is that they dont understand that they are harming themselves. in other words they have bad business sense. keep up the good work mr blogger and other chelsea comrades! id be curious to know what can be done. spreading the word is good, tshirts and banners and posts are great but what else? its new york. is there a capable lawyer on your side? is there anything that a concerned comrade from a far away country can do?

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  15. Avatar
    Anonymous

    I think they, Marlene Krauss and David Elder, might know the meaning of the Chelsea, but they don’t give a shit. they want money. reply to randy is right, where have they been all these years, when the Bards were working night and day to keep the place going and the guests and residents happy? It was when Chelsea went upscale they couldn’t stand the thought of this hotel full of untidy artists and no Gucci stores, and that is was not being milked for every penny was a corporate crime in their eyes. david Elder, evidently having no path or purpose in life, might have also liked the idea of living in the hotel, having power over people so he could have some forced friends. Marlene is so not comfortable being around the residents it’s almost funny. Suddenly they were full of interest in the hotel. What a couple of creeps. Make that, CREEPS.

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