A New York landlord publicly called out by Mayor Zohran Mamdani is now staring down a stack of foreclosure cases tied to roughly $36 million in loans, according to court filings. The actions target a Queens portfolio with 262 rental units, most of them rent-stabilized, and immediately raise uncomfortable questions for tenants about repairs, management and what happens if ownership changes hands.
The new complaints lay out four separate foreclosure actions involving landlord Rajmattie Persaud and target tax lots spread across Jamaica, Queens Village and Hollis, the filings show, according to The Real Deal. That reporting notes the cases sweep in multiple properties, with the largest of the portfolios holding 102 residential units.
The loans at issue were originated in 2022 by the now-failed Signature Bank and later assigned to an entity called SIG RCRS A/B MF 2023 VENTURE tied to Santander, according to court docket entries. Listings reviewed on Trellis indicate the lender claims the borrowers fell behind on debt service, insurance and tax payments, and that a pattern of housing code violations was treated as additional events of default.
The timing is particularly rough for owners. On June 25, New York’s Rent Guidelines Board voted to freeze increases on one- and two-year rent-stabilized leases, cutting off near-term revenue growth and making it harder for landlords to map out how to cover rising costs and debt payments, as reported by AP. The decision affects roughly one million stabilized units citywide.
What the filings say
The foreclosure complaints name a web of corporate borrowers and spell out a list of alleged misses: skipped monthly loan payments, unpaid insurance and utilities, delinquent taxes and failures to meet reporting requirements. According to docket entries cited on Trellis, the lender pairs those financial problems with long-standing housing code violations that it argues count as separate defaults under the loan documents.
Mamdani's involvement and the city push
Mamdani put Persaud and co-owner Karan Singh in the spotlight in May when he announced $31 million in penalties tied to two Bronx towers, using them as Exhibit A in a broader crackdown. "For today, we are announcing unprecedented action," he said at the time, according to a transcript from the Mayor's Office. City officials say they are pushing lenders behind troubled buildings to work with HPD to find preservation-minded buyers rather than allow asset-stripping or years-long limbo sales.
Bankruptcy clouds enforcement
One of the key ownership entities tied to Persaud, Fordham Fulton Realty, filed for Chapter 11 protection in November 2025 in connection with the Bronx case. The move has made it harder for the city to collect court-ordered penalties and to channel money into urgent repairs, according to The Real Deal. That bankruptcy could shape how judges and lenders approach any future sales, receiverships or restructurings tied to other properties involving the same principals.
Tenants and what's next
Foreclosure and bankruptcy cases usually move slowly, which may be the only slightly comforting part of this story for tenants. Rent-stabilization rules typically keep current renters in place even if a building changes hands. Tenant advocates say they will be tracking the Queens court dockets for signs of preservation buyers and binding repair plans, while city officials continue to nudge lenders toward long-term stewardship instead of quick flips. Industry coverage has highlighted similar lender pressure and preservation strategies in related situations, including reporting by Bisnow.
