- Associated Press - Wednesday, April 16, 2014

ALBANY, N.Y. (AP) - Attorney General Eric Schneiderman has reached a settlement with owners of 42 rent-regulated buildings in Brooklyn, the Bronx and Manhattan for allegedly harassing their tenants and denying them the right to organize.

Tenants filed complaints about Colonial Management to Schneiderman’s office saying the company didn’t provide information about the possible foreclosure of the buildings and didn’t allow them organize, going as far as intimidating tenants.

Schneiderman says the buildings’ owners - a combination of private equity firms, including Normandy Real Estate Partners and Westbrook - will provide a one-time tax credit of $600 to tenants in every unit of the 42 buildings.

Schneiderman’s office is continuing an investigation into the alleged harassment of the tenants by Colonial Management.

A spokesman for the buildings says the new management is working with Schneiderman to remedy the issues.