NEW YORK CITY—The Federal government has settled its case against the Related Cos. concerning handicapped accessibility at the developer's buildings. As part of the settlement, Related agrees to establish procedures that will ensure that its ongoing and future development projects—such as its sprawling Hudson Yards complex on the Far West Side, will comply with the accessibility requirements of the federal Fair Housing Act.

Related also agrees to make retrofits at four residential rental complexes in Manhattan—One Carnegie Hill, Tribeca Green, 500 W. 30th St. and 529 W. 29th St.—to make them more accessible to individuals with disabilities. Additionally, Related agrees to inspect its twelve other residential rental complexes in Manhattan and, where necessary, make retrofits at those buildings. Finally, Related agrees to provide up to $1.9 million to compensate aggrieved persons and pay a civil penalty of $100,000.

A Related spokesperson tells GlobeSt.com, "We have a long-term commitment of ensuring access for all and worked with the Department of Justice to that end. We also sought out and worked collaboratively with the United Spinal Association to assure that our efforts set a new standard. The process we undertook together creates a new model that we hope will be applied consistently across the city to ensure that there are clear standards, and future development in New York is even more accessible to all."

Adds Manhattan US attorney Preet Bharara, “It is encouraging that a major developer like Related has embraced its obligations under the law by agreeing to establish a process for ensuring accessibility at its ongoing and future development projects and to make retrofits in thousands of apartments. We hope this settlement will serve as a positive example for the developer community."

Back in March, the United States filed this lawsuit against Related and two architectural firms, alleging that a number of past and ongoing rental projects designed and constructed by Related and the architects do not comply with the Federal Housing Authority's accessibility requirements. A similar suit was brought against the Durst Organization a month later. Some of the alleged violations may stem from confusion as the city and federal building codes have different standards for accessibility.

Under the settlement, Related agrees that, for every multifamily project it constructs in the next four years, it will retain an FHA compliance consultant to ensure that the building, as constructed, will comply with the FHA's accessibility requirements. In addition, Related agrees to institute policies and training to ensure that its own employees and agents will comply with the FHA's accessibility requirements. Together, the 16 buildings covered by the consent decree contain more than 4,500 rental apartments.

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Rayna Katz

Rayna Katz is a seasoned business journalist whose extensive experience includes coverage of the lodging sector, travel and the culinary space. She was most recently content director for a business-to-business publisher, overseeing four publications. While at Meeting News, a travel trade publication, she received a Best Reporting award for a story on meeting cancellations in New Orleans during Hurricane Katrina.