Dalton School Admissions Director and Husband Evicted from Rent-Stabilized Tribeca Apartment in Shocking Ruling

Edited by: TJVNews.com

In a ruling that has sent shockwaves through Manhattan’s affluent Tribeca neighborhood, a Manhattan judge has ordered the eviction of Judy Calixto, a prominent admissions director at the elite Dalton School, and her husband, Michael Goldman, a well-known photographer, from their rent-stabilized apartment, as was reported by The New York Post on Saturday. The couple had been benefiting from a heavily subsidized rent for decades while using the property as a business address, in violation of the city’s rent stabilization laws. The court’s decision underscores the ongoing tensions surrounding New York City’s rent-stabilization program and the abuse of a system designed to protect tenants from the city’s exorbitant housing costs.

Alvin Bragg & Damian Williams should investigate & indict Judy Calixto & Michael Goldman for tax fraud & falsification of business records. We keep hearing that “no one is above the law.” But this affluent couple associated with The Dalton School hasn’t been held accountable yet. https://t.co/8cT2FWWgwL

— Winfield (@middleburgher) August 18, 2024

For over four decades, Calixto and Goldman have resided in a sprawling three-bedroom apartment at 177 Hudson Street, one of Tribeca’s most desirable locations. The apartment, which occupies an entire floor and spans more than 3,000 square feet, is situated in a neighborhood where similar properties command rents of up to $14,000 per month. However, The Post report said that the couple had been paying just over $2,000—a fraction of the market rate—thanks to New York City’s rent stabilization laws, which cap rent increases for certain apartments to preserve affordability in a rapidly gentrifying city.

Rent-stabilized apartments are a rare commodity in Manhattan, especially in high-demand areas such as Tribeca, where the cost of living has soared in recent years. The Post report explained that the purpose of the rent stabilization program is to protect middle- and lower-income tenants from being priced out of their homes as the city’s real estate market becomes increasingly unaffordable. Yet, as this case illustrates, the system can be vulnerable to exploitation by those who are not its intended beneficiaries.

The trouble for Calixto and Goldman began in 2016 when their landlord, Robert Moskowitz, became suspicious of the couple’s use of the property. Moskowitz, who owns Manhattan Realty Company 1 LP, noticed that the rent checks were being issued under the name “Michael Goldman Photography, Inc.,” with the Hudson Street apartment listed as the business address. According to the information provided in The Post report, this raised red flags, as rent-stabilized apartments are legally required to be the tenant’s primary residence—a place where the tenant lives for more than half the year.

Further investigation by Moskowitz’s legal team uncovered that Goldman had been writing off the rent and utilities for the Tribeca apartment on his company’s tax returns. This practice suggested that the apartment was being used at least partly as a business space, rather than solely as a primary residence, as per The Post report.  Given that the couple also owned a home in the historic Hudson Valley hamlet of Stone Ridge, it became increasingly difficult for them to argue that the Tribeca apartment was their main living quarters.

These findings led Moskowitz to initiate legal proceedings to evict the couple from the apartment. The case culminated in a July 26 ruling by the Manhattan Civil Court, which found that the couple had violated the city’s rent stabilization laws by not using the apartment as their primary residence, as was detailed in The Post report. The judge’s decision to evict Calixto and Goldman from the property was based on the clear evidence that the apartment had been improperly used as a business address, a violation that disqualifies them from the protections afforded by rent stabilization.

The ruling has sparked outrage among many who see it as a blatant abuse of a system designed to protect vulnerable tenants. “It should offend every taxpayer that such a fortunate couple sought to profit off a rent-stabilized apartment instead of simply using it as their primary home as the law required,” Moskowitz stated following the court’s decision, The Post report said.

Calixto and Goldman had rented their sprawling three-bedroom apartment at 177 Hudson Street since 1978, paying just over $2,000 a month for a property that could fetch up to $14,000 per month on the open market.

The court’s decision to evict Calixto and Goldman from the apartment is a significant one, not just for the couple but for the broader debate surrounding the integrity of New York City’s rent stabilization laws. Moskowitz, the landlord, was clear in his condemnation of the couple’s actions. “Stabilized rent was not enough for them, so they helped themselves to improper corporate tax deductions,” Moskowitz said, highlighting the greed that underpinned their abuse of the system, as per The Post report. He further added that the rent stabilization laws are meant “to make living in New York City affordable for legitimate tenants, not to enrich greedy people who abuse the system.”

The court’s ruling has been hailed as a victory for fairness and the proper enforcement of the city’s housing laws. Nicole Waknine, Moskowitz’s lawyer, expressed relief at the outcome. “We’re relieved that the court enforced the law and put an end to an egregious abuse of our city’s rent stabilization laws,” she told The Post.

Adding another layer of complexity to the story is the couple’s financial situation. While Judy Calixto’s exact salary is not publicly available, similar positions at Dalton suggest she is far from struggling financially. According to a 2023 filing, Dalton’s director of admissions earned a salary of $257,540, while the director of the middle school earned $275,662, and the director of athletics earned $337,524, The Post report said.

Despite the ruling, the legal battle may not be over. Goldman’s attorney, Michael Terk of David Rozenholc & Associates, has already filed a notice of appeal and is preparing to make a motion for a stay pending the appeal. As noted in The Post report, this move suggests that Calixto and Goldman are not ready to give up their Tribeca apartment without a fight, although the grounds for their appeal remain to be seen.

The couple’s silence in the wake of the ruling has been deafening. Attempts  to reach them for comment have been unsuccessful, and someone who answered at their apartment declined to speak with The Post.