Evening star., 1950-06-08
Wesfchester Tenants
Rally TO Halt Sale
As Coop Apartment

and booed last night as they ral-
lied to prevent cooperative sale
of the project for SIS million.
No one actually said the mass
gathering in the Westchester's
sunken garden was a protest
meeting.
But the cynical queries and jeers
that greeted attempts to explain
alleged benefits of the plan left
little doubt about the feelings of
the nearly 400 tenants who were
present. Before the 21z-hour eve
ming session was brought to halt
by darkness, a committee was
picked to look into" the sale plan
and protect the interests of West
chester dwellers.
Chairman of the committee is
Alvin Newmyer, ST., resident of
the WestcheSter. A member of
his law firm, Albert Philipson, did
most of the talking.
Nov. I'm not attempting to
criticize anybody" Mr.. Philipson
was careful to explain. He added
that the firm of Randall H. Hagner
Co., which is agent for the con-
templated sale, "is a firm enjoying
q fine reputation"
Benefit Questioned.
But Mr.. Philipson questioned
some of the benefits that are pic
tured in brochure advertising
the sale. Tenants received the
booklets yesterday.
He said there is doubt whether
residents could claim tax deduc-
tions for some annual costs the
brochure sets forth. He interpret
ed one provision of the sales con-
tract to mean the cooperative
could keep any profit it made
when selling an individuals apart
ment above the price the tenant
paid for it. The purchase plan
also would allow the cooperative
board of directors to determine a
fair price for any apartment when
the tenant chooses to sell it, he
said.
Mr.. PhilipSon acknowledged that
the Westchester owners, Realest
Corp, has given an option to the
newly-formed Westchester Coop
erative, Inc, to buy the project.
The cooperative has until Au-
gust l to take up the option, but
rent-contrd regulations now in ef-
feet would prevent such a sale
being made, unless IS per cent of
the tenants concur. If this regu-
lation of the rent-control law is
not extended, however, there would
not be any restriction.
But I think the law means they
had to have consent of IS per cent
of the tenants at the time that
contract was signed" said Mr..
Philipson.
Option Signer Is Booed.
George N. Ray, president of
Randall H Hagner Co., is listed
as president of the Westchester
Cooperative. and E. B. Miller,
Westchester resident. signed the
option as secretary.
The cheers that punctuated Mr..
PhilipSon'S remarks turned to boosI
and jeers when Mr.. Miller tried
to speak, People near the front
were able to hear him say the
average tenant under the sales
plan could buy an apartment,
maintain all costs and pay only
$39 annually more than present
rents.
No one seemed interested in
what he had to say. Instead, the
tenants fired questions at him, like
these:
Who's benefiting by this
deal?"
What kind of business is it
when an outfit buys something
for 81 million and sells it for 81
million?"
why pay all that extra money
for the privilege of living here
when we can enjoy them at no
extra cost?"
Would we actually own the
entire premises after 20 years
or at least what will be left of
them by them"
Plans Made for Answers.
The Randall Hagner firm has
announced that it will have
representative in the Westchester
resident managers Office ready
with answers to any and all ques-
tions.
1t was estimated the average
sale price would be $500 per
room in each apartment. The
Westchester's 535 apartments
range in size from l to IA rooms.
An example was prepared by
the real estate firm to show how
the sale would affect an average
tenant. A tenant who now pays
from $94.50 to $103.25 monthly
rent would be required to make a
$1,190 cash down payment and
pay an annual rental of 1882.
or $110 month. The annual
rental would include interest and
taxes of $558.24, and amortization
for the first year of $279.96, among
other things.
Others on Mr.. Newmyer's COM
mittee to "look into" the plan are
B. Y. Martin, Meredith M. Daubin.
Joseph c. McHale, Jules Kicker,
Constantine Brown, who is a COL
umniSt for The Star; Judge
George D. Nelson of Municipal
Court. Judge Walter j. Casey of
Municipal Court. Brig. Gen. A. c..
Dalton, Home Finance Admins
traitor Ray Foley, Thomas Hughes,
Maj. Gen. A. B. Quinton, jr., and
George c. Vournas.