The Initial Incarceration: Serving 60 Days at Rikers Island for Civil Contempt in March 2024
The route to Incarceration
The sentence stemmed from Ohebshalom’s persistent failure to comply with a February 2023 court order requiring him to repair hazardous conditions at two rent-stabilized buildings in Washington Heights: 705 and 709 West 170th Street. even with accumulating millions in fines and facing repeated legal interventions, the landlord allowed the properties to deteriorate into dangerous disrepair. Judge Stoller’s ruling emphasized the extraordinary nature of the neglect. In the arrest warrant, Stoller noted that the “most clear factor” was the duration of the contempt proceeding, which had dragged on for over 13 months. The court found that Ohebshalom’s refusal to act was not administrative negligence a willful disregard for the safety of his tenants and the authority of the legal system.
“The sheer volume of extant hazardous and immediately hazardous violations bespeaks the extent of Respondents’ contempt.”
, Judge Jack Stoller, NYC Housing Court (March 2024)
Violations and Conditions
At the time of his surrender, the two properties on West 170th Street carried nearly 700 open housing code violations. Inspectors from the Department of Housing Preservation and Development (HPD) documented conditions that rendered units uninhabitable yet occupied. Tenants reported chronic infestations of rats and roaches, visible mold, peeling lead paint, and inconsistent heat and hot water during winter months. The following data outlines the specific metrics during the contempt proceedings:
| Metric | Details |
|---|---|
| Properties Involved | 705 & 709 West 170th Street, Manhattan |
| Total Open Violations | ~700 (March 2024) |
| Outstanding Penalties | Over $3, 000, 000 |
| Contempt Duration | 13 Months (Feb 2023, March 2024) |
| Sentence | 60 Days, Rikers Island |
Enforcement and Reaction
The arrest represented a significant victory for the HPD and tenant advocacy groups. HPD Commissioner Adolfo Carrión Jr. described the event as a clear warning to other negligent property owners. “Slumlords in New York City are officially on notice,” Carrión stated following the surrender. “Landlords in New York City not get away with putting our families in unsafe, unhealthy, and downright unlivable conditions.” Ohebshalom’s legal team attempted to vacate the warrant in the days leading up to his surrender, yet the court stood firm. The 60-day sentence served as a coercive measure; the order stipulated that Ohebshalom could chance secure release only if he corrected the violations. Even with his incarceration, the physical repairs at the buildings remained the primary objective of the city’s enforcement action. This event established a serious precedent for 2024. It demonstrated that the city was to use the full weight of its police powers against landlords who treated civil penalties as a mere cost of doing business. The incarceration of a landlord for housing code violations remains statistically rare, making Ohebshalom’s term at Rikers a pivotal moment in New York tenant law history.
Recidivism and Return: The Second Arrest Warrant and September 2024 Jail Sentence

The September Surrender: A Second Stint at Rikers
On September 25, 2024, Daniel Ohebshalom surrendered to authorities for a second incarceration at Rikers Island, less than six months after completing his initial sentence. This return to custody marked a definitive failure of the landlord to utilize his previous release to rectify the hazardous conditions at his Washington Heights properties. Housing Court Judge Jack Stoller issued the second arrest warrant in August 2024, rejecting defense arguments that “significant progress” had been made.
The court’s decision to re-incarcerate Ohebshalom was driven by hard metrics rather than narrative complaints. An inspection revealed that 125 hazardous and immediately hazardous violations remained outstanding at 705 and 709 West 170th Street, dating back to November 2022. These were not cosmetic problem; they included persistent lead paint exposure, severe mold, and rodent infestations that had survived the landlord’s punitive detention.
Timeline of Recidivism (2024)
| Date | Event | Status |
|---|---|---|
| March 21, 2024 | Surrender | Begins 60-day sentence for 700+ violations. |
| May 1, 2024 | Criminal Indictment | DA Alvin Bragg charges Ohebshalom with tenant harassment. |
| August 2024 | Second Warrant Issued | Judge Stoller cites failure to repair 125 hazardous violations. |
| Sept 21, 2024 | “People’s Cleanup” | Tenants organize self-funded repairs while landlord remains negligent. |
| Sept 25, 2024 | Second Incarceration | Ohebshalom returns to Rikers Island for another 60-day term. |
| Nov 23, 2024 | Scheduled Release | End of second civil contempt sentence. |
Conditions During the Interim Period
Between his release in late spring and his return to jail in September, conditions for tenants did not stabilize. In June 2024, tenant Psiquis Gonzalez filed an affidavit stating that residents “frequently” lived without heat and hot water throughout March and April, the very months Ohebshalom was serving his sentence. This indicated a widespread failure in his management structure that even when the principal owner was removed from day-to-day operations.
The negligence provoked a direct response from the community. On September 21, 2024, just four days before Ohebshalom’s second surrender, tenants at the 170th Street buildings organized a “People’s Cleanup.” Residents and local officials physically scrubbed hallways and power-washed common areas, funding the purchase of cleaning supplies and security cameras themselves. This action highlighted the total vacuum of management services, as trespassers had reportedly been squatting in vacant apartments due to broken lobby locks.
“I am informed that the landlord spent his time at Rikers in the equivalent of a studio apartment that is probably nicer than of the vacant apartments in my building, a building he owns.”
, Psiquis Gonzalez, Tenant Affidavit (June 2024)
Legal Escalation: The May 2024 Indictment
While the civil contempt proceedings focused on repairs, a parallel criminal track opened in mid-2024. On May 1, Manhattan District Attorney Alvin Bragg announced a criminal indictment against Ohebshalom, charging him with harassment of rent-regulated tenants. This marked a significant escalation from civil penalties to criminal liability. The indictment alleged that Ohebshalom and his shell companies, including Keystone Management Inc. and Highpoint Associates XII LLC, intentionally maintained “horrific” conditions to force rent-regulated tenants out, thereby enabling the sale of buildings for higher profits.
The indictment covered not just the Washington Heights properties also buildings in Hell’s Kitchen (410 and 412 West 46th Street) and the East Village (331 East 14th Street). Prosecutors alleged that Ohebshalom filed false documents with city agencies to conceal his ownership, a tactic designed to “thwart HPD’s enforcement efforts.” This criminal case proceeded concurrently with his civil jail sentences, ensuring that his legal jeopardy extended well beyond the jurisdiction of the Housing Court.
Proxy Ownership: Melanie Martin Topping the Jan 2025 Watchlist as Ohebshalom's Representative
The New Face of Neglect: Melanie Martin’s Rise to Infamy
In January 2025, the New York City Public Advocate’s office released its annual “Worst Landlord Watchlist” for 2024, revealing a strategic shift in the administrative structure of the city’s most notorious property empire. While Daniel Ohebshalom sat in a cell at Rikers Island, his buildings remained active sites of decay and legal noncompliance. The 2024 watchlist did not list Ohebshalom at the very top of the ranking; instead, it elevated his employee, Melanie Martin, to the number four spot citywide. This placement marked Martin as the highest-ranking representative of the Ohebshalom portfolio, “topping” the list for the incarcerated landlord’s network. Martin’s sudden prominence exposes the “Head Officer” loophole frequent in New York City housing enforcement. Landlords facing severe legal scrutiny frequently rotate the “officer” on Department of Housing Preservation and Development (HPD) registrations to shield the beneficial owner from direct liability or to complicate service of process. For years, Johnathan Santana served this role for Ohebshalom, ranking as the city’s number one worst landlord in 2022 and 2023. With Santana facing his own legal pressures and Ohebshalom imprisoned, the administrative load, and the public shame, shifted to Martin. Public Advocate Jumaane Williams explicitly identified Martin as a proxy during the list’s unveiling, stating, “Melanie Martin is head officer for much of Ohebshalom’s portfolio, much like last year’s #1 on the list, Johnathan Santana.” This designation confirms that while the name on the paperwork changed, the operational neglect remained constant. Martin, listed as the head officer for Highpoint Associates XII LLC and other shell companies, became the public face for over 1, 100 open violations across just four properties.
The Metrics of Mismanagement
The data associated with Melanie Martin’s watchlist entry paints a grim picture of the conditions endured by tenants in Ohebshalom-owned buildings. Unlike landlords who manage vast portfolios with scattered problem, Martin’s entry is characterized by an extreme density of violations per building. The Public Advocate’s methodology ranks landlords based on the average number of open HPD violations. Martin’s average of 1, 132 violations across only four buildings indicates a widespread collapse of maintenance.
| Metric | Data Point |
|---|---|
| Citywide Rank | #4 |
| Beneficial Owner | Daniel Ohebshalom |
| Average Open Violations | 1, 132 |
| Building Count on List | 4 |
| Key Violation Types | Heat/Hot Water, Lead Paint, Rodents, Mold |
| Predecessor Proxy | Johnathan Santana (#1 in 2023) |
The sheer volume of violations under Martin’s name suggests that the management strategy for these buildings did not change even with Ohebshalom’s incarceration. The violations include immediately hazardous “Class C” problem, such as absence of heat during winter months, lead paint risks in apartments with children, and severe rodent infestations. The persistence of these violations through 2024 demonstrates that the “proxy shell game” is not a clerical trick a functional barrier to accountability. Even with the owner in jail, the management entity, nominally led by Martin, failed to execute court-ordered repairs.
Geographic Spread: From Washington Heights to Hell’s Kitchen
The buildings registered to Melanie Martin are clustered in neighborhoods historically targeted by Ohebshalom’s predatory management practices. Two properties in Washington Heights, 705 and 709 West 170th Street, stand as the epicenter of this neglect. These buildings were the primary subject of the legal action that eventually led to Ohebshalom’s arrest, yet they remain on the watchlist under Martin’s name. At 705 West 170th Street, tenants reported conditions that modern habitability standards. Bianca Lama, a resident who spoke to the press during the watchlist unveiling, described a “boiler exploding in the middle of the night” and chronic absence of heat. Her testimony highlights the disconnect between the administrative shuffling of names and the physical reality of the buildings. For the Lama family, the shift from Johnathan Santana to Melanie Martin on the HPD registration brought no relief from the cold or the rats. In Hell’s Kitchen, 412 West 46th Street (also known as the “Hell’s Kitchen” property in Ohebshalom’s portfolio) contributes significantly to Martin’s violation count. This building has a history of tenant harassment allegations and structural decay. The inclusion of this property under Martin’s registration confirms her role as the blanket signatory for Ohebshalom’s most distressed assets. The portfolio also extends to Queens, specifically 90-38 170th Street in Jamaica. This building, operated by Napa Partners LLC with Martin listed as the head officer, accumulated 435 violations in a single year. The geographic dispersal of these properties, spanning Manhattan and Queens, shows that Martin’s role is not limited to a single building management office is central to the operation of the entire Ohebshalom enterprise.
The “Head Officer” Loophole and Legal Evasion
The use of Melanie Martin as a proxy highlights a serious structural flaw in NYC’s Housing Maintenance Code. The code requires owners to register a “Head Officer” or “Managing Agent” who can be held liable for violations. yet, the definition allows beneficial owners to designate employees who may absence the financial authority to authorize major repairs.
“This is specifically to try to evade folks like the public advocate’s office, government and tenants to find out who owns that building.” , Public Advocate Jumaane Williams, January 2025.
By designating Martin, Ohebshalom creates a of separation. When HPD problem a violation, it is mailed to the registered officer. If that officer is an administrative employee like Martin, the legal pressure is diffused. While Ohebshalom was eventually pierced by the corporate veil due to the sheer magnitude of his contempt of court, the day-to-day violation processing continues to target the proxy. This results in a “Whac-A-Mole” enforcement where the city chases names on a list while the capital flows to an insulated owner. The distinction between Johnathan Santana and Melanie Martin is negligible in practice. Santana, who topped the list in 2023 with a record-breaking 3, 293 violations, was also an employee of Ohebshalom’s management firm, Robinhood Equity Management. When Santana became too legally radioactive, facing his own contempt charges and arrest warrants, the title of “Head Officer” migrated to Martin. This rotation allows the beneficial owner to reset the clock on certain administrative proceedings, as new notices must be served to the new officer.
Comparison with Other “Worst Landlords”
While Barry Singer took the number one spot in 2024 with 1, 804 violations, Melanie Martin’s position at number four is statistically anomalous. Most landlords on the list manage significantly larger portfolios to achieve such high violation counts. For example, Alfred Thompson (#2) and Claudette Henry (#5) manage 15 buildings each. Martin achieves her top-tier infamy with only four buildings. This density, over 280 violations per building on average, indicates total abandonment of maintenance. It suggests that the buildings under Martin’s name are not managed poorly are being actively neglected as part of a harassment by neglect strategy. The goal in such scenarios is frequently to drive rent-regulated tenants out of the building to deregulate the units. The high violation count is not a sign of incompetence of a deliberate operational choice, executed by Martin on behalf of Ohebshalom.
The Failure of the Watchlist to Deter Proxies
The Public Advocate’s Watchlist is a shaming tool, designed to pressure landlords through negative publicity. yet, the Ohebshalom network has proven immune to shame. Ohebshalom’s appearance on the list for consecutive years— under his own name, then Santana’s, and Martin’s—shows that reputational damage is a calculated cost of doing business for this organization. The 2025 listing of Melanie Martin serves less as a deterrent to Ohebshalom and more as a roadmap for tenant organizers. It clarifies exactly who is signing the checks and the forms. For tenants at 705 West 170th Street, knowing that Melanie Martin is the legal face of their misery allows for targeted legal strikes. Yet, the fact that a new proxy simply stepped into the void left by Santana demonstrates the limitations of current transparency laws. Until the “Head Officer” designation is tied strictly to beneficial ownership with piercing liability, operators like Ohebshalom continue to use staff members like Martin to absorb the statistical blow of their negligence. The transition from 2024 to 2025 saw no improvement in the physical conditions of these buildings. The only change was the name printed on the violation notices. Melanie Martin’s rise to the top of the watchlist is a testament to the resilience of the slumlord business model, which adapts its bureaucracy faster than the city can enforce its laws.
Felony Indictment: The May 2024 Charges for Systemic Harassment of Rent-Regulated Tenants

The Shift to Criminal Prosecution: May 1, 2024
On May 1, 2024, the legal pressure on Daniel Ohebshalom shifted from civil penalties to criminal prosecution. While Ohebshalom was already serving a 60-day sentence at Rikers Island for civil contempt, Manhattan District Attorney Alvin L. Bragg, Jr. announced a sweeping felony indictment against the landlord and his associate, Johnathan Santana. This indictment marked a historic escalation in New York City’s enforcement against “predatory” landlords, utilizing the “Harassment of a Rent Regulated Tenant” statute in a manner rarely seen in previous administrations.
The indictment, filed in New York State Supreme Court, charged Ohebshalom with 80 counts of criminal conduct. These charges were not for failing to make repairs, a civil matter, for allegedly orchestrating a “widespread” campaign to force rent-regulated tenants out of their homes. Prosecutors argued that the hazardous conditions in Ohebshalom’s buildings were not the result of incompetence, rather a deliberate business strategy designed to “engineer vacancies.” By making apartments uninhabitable, the District Attorney alleged, Ohebshalom intended to deregulate the units and sell the buildings for a combined profit chance reaching millions of dollars.
Breakdown of the Indictment
The 80-count indictment targeted Ohebshalom personally, as well as four of his shell companies: Keystone Management, Inc., Liberty Ventures, LLC, Highpoint Associates XII, LLC, and Belmont Ventures, LLC. The specific charges included:
| Charge | Class | Count Details | Description |
|---|---|---|---|
| Harassment of a Rent Regulated Tenant in the Degree | Class E Felony | Multiple Counts | Intentionally impairing the habitability of a housing unit to force a tenant to vacate. |
| Offering a False Instrument for Filing in the Degree | Class E Felony | Multiple Counts | Submitting fraudulent documents to city agencies (HPD/DOB) to conceal ownership or compliance. |
| Endangering the Welfare of a Child | Class A Misdemeanor | 3 Counts | Knowingly acting in a manner likely to be injurious to the physical, mental, or moral welfare of a child (specifically related to ceiling collapses). |
District Attorney Bragg emphasized the severity of the allegations, stating that Ohebshalom “took advantage of rent-regulated tenants… by creating dangerous living conditions in an effort to push them out.” This marked the time the Manhattan DA’s Housing and Tenant Protection Unit utilized this specific felony harassment statute for a landlord of this.
The Role of Johnathan Santana
A central figure in the indictment was Johnathan Santana, Ohebshalom’s property manager and “head officer” for of the LLCs. Santana had previously topped the Public Advocate’s “Worst Landlord” watchlist in both 2022 and 2023, acting as the public face for Ohebshalom’s neglect. In 2023 alone, Santana was associated with a record-breaking 3, 293 open violations across the portfolio.
Prosecutors alleged that Santana acted as the enforcer of Ohebshalom’s strategy. While Ohebshalom frequently remained in California, Santana managed the day-to-day operations, or absence thereof, in New York. The indictment charged Santana alongside Ohebshalom, the liability shield the landlord had attempted to create by using associates to sign official documents. By charging the “fixer” as well as the owner, the DA’s office aimed to disrupt the operational hierarchy that allowed the buildings to deteriorate while the owner remained absent.
Tactics of Displacement: 410 and 412 West 46th Street
The indictment focused heavily on two adjacent buildings in Hell’s Kitchen: 410 and 412 West 46th Street. These properties served as the clearest examples of the alleged “constructive eviction” strategy. According to court documents, Ohebshalom and Santana allowed conditions to deteriorate so severely that tenants would have no choice to leave, clearing the way for a lucrative sale.
In 2015, a fire occurred at 412 West 46th Street, rendering the building largely uninhabitable. Rather than repairing the damage to allow tenants to return, Ohebshalom allegedly left the building vacant and decaying. Prosecutors revealed that Ohebshalom had contracted with a real estate firm to sell both 410 and 412 West 46th Street as a combined development site, with an asking price of $11. 7 million. The value of this sale was contingent on the buildings being delivered vacant, providing a direct financial motive for the harassment of remaining tenants in 410 West 46th Street.
Tenants at 410 West 46th Street endured winters without heat or hot water, a common tactic in the charges. The indictment detailed how the fuel delivery service had repeatedly warned Ohebshalom that the amount of oil he ordered was insufficient to heat the properties, yet he refused to increase the supply. This deliberate deprivation of essential services forced tenants to use space heaters and ovens to survive, creating secondary fire risks.
widespread risks: 331 East 14th Street and Washington Heights
The criminal charges also covered conditions at 331 East 14th Street in the East Village and the Washington Heights properties (705 and 709 West 170th Street) where Ohebshalom had already faced civil contempt. At 331 East 14th Street, the indictment described a “pattern of neglect” that included chronic leaks, rodent infestations, and structural instability.
The “Endangering the Welfare of a Child” charges stemmed specifically from incidents where the neglect caused direct physical danger to minors. In one instance detailed by prosecutors, persistent leaks that went unrepaired for months caused a ceiling to collapse in an occupied apartment, falling on a young child. This incident elevated the case from financial or property crimes to crimes against the person, reinforcing the DA’s narrative that Ohebshalom’s greed posed a physical threat to human life.
also, the indictment alleged that Ohebshalom “warehoused” apartments. Once a tenant succumbed to the pressure and moved out, the landlord did not re-rent the unit. Instead, he left it vacant and unsecured. These vacant units frequently became havens for squatters and illicit activity, further degrading the quality of life for the remaining tenants and increasing the pressure for them to leave. This pattern of vacancy and neglect was identified as a core component of the harassment campaign.
The “Paperwork” Scheme: Falsifying Business Records
Beyond the physical conditions, of the indictment, specifically the “Offering a False Instrument for Filing” charges, focused on the administrative deception used to conceal Ohebshalom’s involvement. The DA alleged that Ohebshalom routinely filed false documents with the Department of Housing Preservation and Development (HPD) and the Department of Buildings (DOB).
To avoid personal liability and hide his ownership, Ohebshalom allegedly directed employees of his business associates to sign registration forms and violation certifications. These individuals had no actual management authority or connection to the buildings, serving as “straw men.” By submitting these false filings, Ohebshalom impeded the city’s ability to enforce housing codes and confused tenants seeking legal redress. When tenants attempted to sue for repairs, they frequently found themselves pursuing shell companies or individuals who had no power to authorize the work, delaying justice for years.
This administrative obfuscation was not a side effect of the business a central pillar of it. The indictment claimed that Ohebshalom openly discussed this strategy with business partners, referring to the “engineering” of vacancies and the concealment of ownership as necessary steps to maximize the resale value of the properties. This evidence of intent was important for the felony harassment charges, which require proof that the landlord knowingly and intentionally created conditions to force tenants out.
Legal Status and Bail
At his arraignment on May 1, 2024, Ohebshalom pleaded not guilty to all charges. Because he was already in custody serving his civil contempt sentence, the immediate question of bail was procedural, yet the judge set bail at $1 million cash or bond, reflecting the severity of the flight risk Ohebshalom posed given his long-time residence in California and history of evading court orders. He was returned to Rikers Island to continue his civil sentence while the criminal case began its discovery phase.
The indictment represented a “pincer movement” by New York authorities: while the civil courts used jail time to coerce repairs (the “stick” of contempt), the criminal courts used felony charges to punish the past behavior and the business model entirely. This dual-track method signaled to other landlords that the era of treating fines as a “cost of doing business” had ended; the new cost of business could include a permanent criminal record and significant prison time.
Hazardous Decay: 700+ Open Violations at 705 and 709 West 170th Street
The Epicenter of Neglect: 705 and 709 West 170th Street
The legal and physical battleground defining Daniel Ohebshalom’s tenure as New York City’s “Worst Landlord” lies at two specific addresses in Washington Heights: 705 and 709 West 170th Street. While Ohebshalom’s portfolio spans the city, these two rent-stabilized walk-ups accumulated a density of hazardous violations that forced the city to escalate from financial penalties to physical incarceration. As of March 2024, the Department of Housing Preservation and Development (HPD) recorded over 700 open violations across the two properties. This figure did not represent minor cosmetic problem a widespread collapse of essential infrastructure. HPD data classified of these as Class C “immediately hazardous” violations. The specific breakdown revealed a dangerous environment for the families residing within: * Lead Paint: Inspectors documented 42 separate violations for peeling lead paint, a neurotoxin particularly dangerous to the children living in the buildings. * Structural Failure: Tenants reported ceilings collapsing due to persistent, unaddressed leaks. In one documented instance, a ceiling fell on a young child. * Biological risks: Residents testified to mushrooms growing from damp ceilings and “rainstorms” of filthy water cascading down stairwells from the roof to the lobby. * Pest Infestation: Chronic infestations of rats and roaches were in court documents, with tenants describing rodents jumping out at them in common areas.
The Failure of Incarceration to Yield Immediate Repairs
The narrative that jail time immediately corrects landlord behavior proved false in this case. Judge Jack Stoller’s March 2024 arrest warrant was issued because Ohebshalom had ignored a February 2023 court order to repair these specific buildings for over a year. At the time of his surrender, the city had already levied $3, 057, 620 in civil penalties against him for these properties alone. even with serving his initial 60-day sentence at Rikers Island, during which he was reportedly assaulted by another inmate, Ohebshalom failed to fully remediate the conditions upon his release. By September 2024, six months after his incarceration, HPD data showed that while the total violation count had decreased to approximately 453, at least 125 hazardous and immediately hazardous violations from November 2022 remained outstanding. This continued non-compliance triggered a rare second arrest order in September 2024. Judge Stoller rejected defense arguments that “significant progress” had been made, ruling that the landlord remained in contempt. The legal system found itself in a loop: the landlord accepted fines and brief incarceration rather than investing the capital necessary to overhaul the plumbing, roofing, and electrical systems required to make the buildings habitable.
Timeline of Enforcement and Decay (2023-2025)
| Date | Event | Status of Violations |
|---|---|---|
| Feb 2023 | Court problem Order to Correct all violations. | Violations ignored; contempt proceedings begin. |
| Mar 2024 | Ohebshalom surrenders for 60-day sentence. | 700+ open violations recorded. |
| Jun 2024 | Tenants file affidavits of continued cold/leaks. | Tenants report “warehousing” of vacant units. |
| Sep 2024 | Judge orders return to Rikers Island. | 453 violations remain; 125+ “immediately hazardous.” |
| Mar 2025 | Tenants rally for ownership transfer. | Violations; fight for 7A/COPA transfer intensifies. |
Tenant Resilience and the Fight for Ownership
Faced with a landlord who operated from California and treated jail time as a business expense, the tenants of 705 and 709 West 170th Street engaged in aggressive self-help and legal organizing. By mid-2024, the tenant association, supported by the Met Council on Housing and Manhattan Legal Services, initiated a rent strike, redirecting payments into an escrow account. When the front door lock broke and remained unfixed, allowing trespassers and drug use in the hallways, tenants pooled their own money to install a new lock and security cameras. They also organized “people’s cleanups,” scrubbing the hallways and mopping up the water leaks that management ignored. As of early 2025, the focus of the tenant association shifted from demanding repairs to demanding the removal of Ohebshalom entirely. Rallies in March 2025 called for the city to transfer the buildings to a responsible third party, such as MHANY Management, under the 7A Administrator program or through the Community Opportunity to Purchase Act (COPA). The tenants argued that Ohebshalom’s “warehousing” of empty units, keeping them vacant to combine them for future luxury sales, was a deliberate strategy to empty the building of rent-stabilized residents, a charge that aligns with the District Attorney’s indictment for tenant harassment.
“We need Ohebshalom out. Pa fuera! (Out!)”
, Olga Camil, Tenant at 709 W. 170th St., September 2024 Press Conference
The saga of these two buildings demonstrates the limits of current housing enforcement. Even with the “nuclear option” of jail time deployed twice, the physical decay at 705 and 709 West 170th Street well into 2025, leaving tenants to physically maintain the structures themselves while the legal slowly turned.
Management Seizure: HPD's Appointment of 7A Administrators for Hell's Kitchen Properties

The “Nuclear Option”: Article 7A Seizure
In a decisive move to strip Daniel Ohebshalom of his operational control, the New York City Department of Housing Preservation and Development (HPD) invoked Article 7A of the Real Property Actions and Proceedings Law. This legal method, frequently described as the agency’s “nuclear option,” allows the city to seize management of a building when the owner exhibits dangerous negligence. In November 2023, Housing Court Judge Jack Stoller ruled in favor of HPD, removing Ohebshalom from the management of 410 West 46th Street in Hell’s Kitchen. This order remained in full effect throughout 2024 and 2025 as the city dismantled Ohebshalom’s authority over his most distressed assets.
The court appointed Fernando Alfonso of CFF Consulting as the 7A administrator. This appointment legally severed Ohebshalom’s ability to collect rent, sign leases, or access the property. Alfonso assumed full responsibility for building operations, with a mandate to correct hundreds of outstanding violations. To facilitate immediate remediation, HPD committed approximately $1 million in capital funding. These funds targeted serious infrastructure failures that Ohebshalom had ignored for a decade, including a new roof, a heating plant replacement, and extensive plumbing and electrical overhauls.
Hell’s Kitchen Portfolio: A Legacy of Decay
The seizure focused on two adjacent properties that exemplified Ohebshalom’s strategy of “demolition by neglect.” The building at 410 West 46th Street remained occupied hazardous, while its neighbor at 412 West 46th Street stood as a vacant “zombie” structure following a fire in 2015. City inspections revealed that Ohebshalom allowed 412 West 46th Street to deteriorate to the point where demolition appeared imminent. HPD intervention prevented the wrecking ball, preserving the rent-stabilized housing stock through the 7A administration process.
Data from HPD and the Department of Buildings (DOB) paints a clear picture of the conditions inherited by the 7A administrator. As of the seizure date, the violation counts were catastrophic for buildings of this size.
| Property Address | Total Open Violations | Class C (Immediately Hazardous) | Key risks |
|---|---|---|---|
| 410 West 46th Street | 440+ | 101 | Rodent infestation, mold, collapsing ceilings, heat outages. |
| 412 West 46th Street | 94 | 40 | Vacant since 2015 fire, structural instability, open to squatters. |
Criminal and 2025 Status
The conditions at these Hell’s Kitchen addresses formed a core component of Manhattan District Attorney Alvin Bragg’s May 2024 indictment against Ohebshalom. Prosecutors alleged that the landlord intentionally engineered the decay at 410 and 412 West 46th Street to harass rent-regulated tenants into leaving. The indictment noted that Ohebshalom sought to sell the combined lots for nearly $12 million, a profit motive that incentivized his refusal to perform repairs. By keeping the buildings in squalor, he aimed to deliver vacant properties to a developer.
Throughout 2024 and into 2025, the 7A administrator continued the slow process of reversing years of neglect. While Ohebshalom served his jail sentence at Rikers Island for contempt regarding his Washington Heights properties, the Hell’s Kitchen buildings operated entirely outside his control. Tenants at 410 West 46th Street, who had previously faced winters without heat and ceilings that crumbled onto children, began to see the deployment of the $1 million HPD capital infusion. The legal separation ensures that even upon his release, Ohebshalom cannot resume his management role or access the building’s income stream until the 7A administrator and the court deem the debts paid and the violations permanently corrected.
“He forced his tenants to live in unthinkable conditions… The conditions, which include broken doors, collapsed ceilings and a absence of heat… were allowed to fester all in the name of huge profits.”
, Alvin Bragg, Manhattan District Attorney (May 1, 2024)
The appointment of Fernando Alfonso represents a rare necessary breach of property rights, justified by the immediate threat Ohebshalom posed to public safety. While the landlord attempts to navigate his criminal charges in 2025, the Hell’s Kitchen properties serve as a test case for the efficacy of third-party administration in salvaging affordable housing from predatory owners.
Civil Penalties: The $4.2 Million Judgment for Unpaid Fines and Illegal Conversions
The $4. 2 Million Financial Verdict
In October 2023, the City of New York delivered one of its most significant financial blows to a single landlord in municipal history. Mayor Eric Adams and the Mayor’s Office of Special Enforcement (OSE) announced a cumulative judgment of approximately $4. 2 million against Daniel Ohebshalom. This figure did not represent a single ticket or a vague threat. It was the calculated sum of three separate lawsuits targeting Ohebshalom’s systematic of rent-stabilized housing in favor of illegal short-term rentals and his concurrent neglect of residential safety.
The judgment marked a pivot in the city’s enforcement strategy. For years, Ohebshalom, frequently operating under the alias “Daniel Shalom”, treated civil penalties as the cost of doing business. The $4. 2 million levy was designed to exceed the profitability of his non-compliance. It combined $1. 1 million in settlements for illegal hotel operations in Hell’s Kitchen with over $3 million in penalties for contempt of court regarding conditions in Washington Heights. This financial escalation directly preceded the arrest warrant that would eventually send him to Rikers Island in 2024.
Anatomy of the Penalty
The total judgment fractured into two distinct categories of violation: the commercial exploitation of residential units and the physical degradation of tenant homes. The Office of Special Enforcement pursued the former, while the Department of Housing Preservation and Development (HPD) pursued the latter. The following breakdown illustrates the specific components of the $4. 2 million figure.
| Enforcement Agency | Target Properties | Violation Type | Financial Penalty |
|---|---|---|---|
| Office of Special Enforcement (OSE) | 410 West 46th St, 412 West 46th St, 452 West 36th St | Illegal Short-Term Rentals (Airbnb-style), Tenant Harassment | $1, 115, 000 |
| HPD (Civil Penalties) | 705 West 170th St, 709 West 170th St | Civil & Criminal Contempt, Failure to Repair Hazardous Conditions | $3, 057, 620 |
| Total Judgment | Combined Portfolio | widespread Code Violations & Contempt | ~$4, 172, 620 |
The Midtown “Illegal Hotel” Scheme
A central pillar of the city’s case involved Ohebshalom’s properties in Midtown Manhattan and Hell’s Kitchen. Investigators found that the landlord actively warehoused rent-stabilized apartments at 410 and 412 West 46th Street to convert them into transient lodging. This operation generated over $300, 000 in illicit revenue. The scheme relied on a specific method of harassment: Ohebshalom allowed the buildings to fall into disrepair to force long-term tenants out. Once a unit was vacant, he did not re-rent it to a local resident. He listed it for short-term stays.
The conditions used to drive out tenants were severe. Inspectors documented large cracks in exterior walls and extensive fire damage that went unrepaired. Residents reported broken common area floors and insufficient lighting at entranceways. These security lapses allowed trespassers to enter the buildings freely. Reports individuals sleeping in hallways and using narcotics in plain view of residents. The OSE lawsuit alleged that this was not passive neglect. It was a strategic effort to empty the building for more profitable, illegal commercial use.
The $1. 1 million settlement required Ohebshalom to pay $990, 000 in penalties and $125, 000 in outstanding fines. He also had to admit to the violations. This admission was rare for a landlord who hid behind a labyrinth of Limited Liability Companies. In this case, the entities exposed included Keystone Management Inc. and Highpoint Associates XII, LLC. The settlement also imposed a permanent injunction barring him from advertising or booking short-term rentals in these buildings.
Washington Heights: The $3 Million Contempt
While the Midtown properties generated cash through illegal tourism, the Washington Heights portfolio generated debt through sheer negligence. The bulk of the $4. 2 million judgment, over $3 million, stemmed from 705 and 709 West 170th Street. These buildings became the epicenter of the legal battle that would later result in Ohebshalom’s incarceration.
Housing Court Judge Jack Stoller found Ohebshalom in both civil and criminal contempt for failing to obey court orders dating back to February 2023. The violations were grotesque. Tenants lived with visible peeling lead paint. Roach and rodent infestations were pervasive. In units, mushrooms grew from the walls due to chronic moisture and leaks. The court found that Ohebshalom and his associates, including Belmont Ventures LLC, had ignored hundreds of violation notices.
The $3, 057, 620 penalty was calculated based on the duration of the contempt. The court noted the “clear” length of time Ohebshalom refused to comply. Unlike standard fines which are frequently negotiated down, this penalty was enforced as a rigid consequence of his defiance. HPD Commissioner Adolfo Carrión Jr. stated that the fines were a message that the agency would use every tool available to enforce the law. Yet the money alone did not compel immediate action.
The Failure of Financial Deterrence
The imposition of a $4. 2 million judgment highlights a serious flaw in municipal housing enforcement: the gap between levying a fine and collecting it. Even with the historic size of the penalty, Ohebshalom did not immediately write a check or dispatch repair crews. The judgment sat on the books while conditions in the buildings remained hazardous throughout late 2023 and early 2024.
This resistance forced the city to escalate beyond monetary measures. In November 2023, shortly after the judgment was announced, HPD successfully petitioned the Housing Court to appoint a 7A Administrator for the building at 410 West 46th Street. This legal method stripped Ohebshalom of his control over the property. The court-appointed administrator took over rent collection and maintenance duties. This action removed the asset from Ohebshalom’s portfolio to ensure repairs were made using the building’s own revenue stream.
The financial pressure of the $4. 2 million debt combined with the loss of control over the Hell’s Kitchen property set the stage for the arrest warrant in March 2024. The city proved that Ohebshalom had the means to pay chose not to. His continued refusal to address the violations at the Washington Heights properties, even after being hit with a multimillion-dollar verdict, demonstrated that civil penalties were insufficient. The transition from financial judgment to physical incarceration became the only remaining option for the court.
“We can and go after landlords who neglect dilapidated housing conditions and deprive New Yorkers of much-needed homes by permitting illegal short-term rentals to proliferate.” , Mayor Eric Adams, October 26, 2023.
Legacy of the Judgment
By 2025, the $4. 2 million judgment stood as a precedent for how New York City aggregates penalties against “worst landlords.” It signaled the end of the era where landlords could treat fines as a trivial operating expense. The aggressive use of the Office of Special Enforcement alongside HPD created a pincer movement that targeted both the illegal revenue streams and the maintenance failures simultaneously.
The case also exposed the limitations of the LLC loophole. Ohebshalom used various entities like Highpoint Associates and Belmont Ventures to shield himself. The consolidated judgment pierced these shields by naming him and his affiliates directly. While the money remains difficult to collect in full, the existence of the judgment provides the city with use to place liens on the properties. This ensures that Ohebshalom cannot sell or refinance the buildings without satisfying the debt to the city.
The 2024 arrest and the 2023 financial judgment are inextricably linked. The unpaid millions provided the factual basis for the “willful” nature of his contempt. When Judge Stoller signed the arrest warrant, the record showed that Ohebshalom had been fined, sued, and ordered to pay millions, yet the rats remained, and the lead paint continued to peel. The $4. 2 million figure remains the quantitative proof of his negligence.
Corporate Veils: The Indictment of Keystone Management and Highpoint Associates XII

The Criminal Indictment of Keystone Management and Highpoint Associates XII
On May 1, 2024, the legal strategy against Daniel Ohebshalom shifted from civil penalties to criminal prosecution, directly targeting the corporate entities he used to shield his operations. Manhattan District Attorney Alvin L. Bragg, Jr. and Department of Investigation Commissioner Jocelyn E. Strauber announced a Supreme Court indictment charging Ohebshalom and his primary shell companies, Keystone Management, Inc. and Highpoint Associates XII, LLC, with felonies including Harassment of a Rent Regulated Tenant in the Degree and Offering a False Instrument for Filing in the Degree. This marked a rare application of criminal law to pierce the corporate veil of a landlord’s limited liability network.
Keystone Management, Inc.: The Operational Front
Keystone Management, Inc. served as the administrative face of Ohebshalom’s portfolio, processing rents and fielding tenant complaints while systematically ignoring repair orders. The May 2024 indictment charged Keystone Management with eight counts of Harassment of a Rent Regulated Tenant and twenty-nine counts of Offering a False Instrument for Filing. Prosecutors alleged that Keystone functioned not as a property manager as a method to “engineer vacancies.”
The indictment detailed how Keystone enforced conditions designed to force rent-regulated tenants out of their homes, allowing the landlord to combine units and sell buildings for higher profits. Specific allegations included:
- widespread Neglect: Intentionally withholding heat and hot water during winter months to make units uninhabitable.
- Hazardous Debris: Allowing lead dust and asbestos to accumulate in common areas, endangering residents, including children.
- Security Failures: Leaving front doors without locks, inviting unauthorized access and compromising tenant safety.
Highpoint Associates XII, LLC: The Asset Shield
Highpoint Associates XII, LLC is the recorded owner of the notorious Washington Heights properties at 705 and 709 West 170th Street. While Ohebshalom resided in California, Highpoint Associates XII absorbed the accumulation of violations, over 700 open code violations by early 2024. The entity was named as a co-defendant in the criminal indictment, charged alongside Ohebshalom for its role in the harassment scheme.
This specific LLC became the focal point of the $3 million in civil penalties assessed against Ohebshalom. By isolating the assets in Highpoint Associates XII, Ohebshalom attempted to limit his personal liability, the sheer volume of “immediately hazardous” (Class C) violations at these specific addresses forced the city to target the entity itself. In August 2024, tenants and advocates rallied to strip Highpoint Associates XII of its control entirely, petitioning for a Article 7A administrator to take over the buildings’ management, removing the property from Ohebshalom’s corporate grip.
The “Straw Man” method: False Filings
A central component of the indictment involved the falsification of official city documents to conceal ownership. The District Attorney’s office revealed that Ohebshalom and his companies routinely filed paperwork with the Department of Housing Preservation and Development (HPD) that listed unrelated individuals as the “responsible parties” for the buildings.
Prosecutors identified that employees of a business associate, frequently low-level staff with no decision-making power, were coerced or directed to sign as managing agents. This “straw man” tactic stalled enforcement efforts; when HPD inspectors or process servers attempted to deliver violations, they were directed to individuals who had no authority to authorize repairs. The indictment charged the corporate entities with 29 counts of Offering a False Instrument for Filing, classifying these administrative lies as felonies due to their intent to defraud the city and harm tenants.
Liberty Ventures, LLC and Belmont Ventures, LLC
The investigation extended beyond Washington Heights to Ohebshalom’s holdings in Hell’s Kitchen. Two additional entities, Liberty Ventures, LLC and Belmont Ventures, LLC, were indicted for similar conduct at 410 and 412 West 46th Street. These buildings faced the same pattern of “engineered decay,” where the corporate owners allowed ceilings to collapse and pipes to burst to drive out long-term residents. The inclusion of these entities in the criminal charges demonstrated that the neglect was not to a single super or building was a portfolio-wide strategy executed through specific corporate vehicles.
| Entity Name | Primary Role | Key Charges | Targeted Properties |
|---|---|---|---|
| Keystone Management, Inc. | Operations / Management | Harassment (8 counts), False Filing (29 counts) | Portfolio-wide |
| Highpoint Associates XII, LLC | Property Owner | Tenant Harassment, Child Endangerment | 705/709 W 170th St |
| Liberty Ventures, LLC | Property Owner | Tenant Harassment | 410 W 46th St |
| Belmont Ventures, LLC | Property Owner | Tenant Harassment | 412 W 46th St |
2024-2025: The Failure of the Corporate Shield
Even with the criminal indictment in May 2024, the corporate entities failed to rectify conditions. In August 2024, Legal Services NYC and the Tenant Association of 705/709 West 170th Street returned to court, reporting that Highpoint Associates XII had not complied with repair orders even with Ohebshalom’s previous jail stint. The persistence of these violations, rats, sewage leaks, and mold, demonstrated that the corporate structures remained obstinate even under criminal pressure. This continued non-compliance accelerated the push for 7A administration, a legal remedy that suspends the owner’s control and appoints an independent trustee to collect rents and fund repairs, neutralizing the toxic management of Keystone and Highpoint.
Constructive Eviction: Allegations of Intentional Heating Failures and Ceiling Collapses
The Mechanics of Constructive Eviction
Prosecutors and housing officials allege that Daniel Ohebshalom’s management strategy went beyond passive neglect. They describe a calculated campaign of “constructive eviction,” a legal term defining conditions so intolerable that tenants are forced to flee their homes. Manhattan District Attorney Alvin Bragg’s May 2024 indictment explicitly accused Ohebshalom of “engineering vacancies” to deregulate rent-stabilized units. The evidence presented in court depicted a landlord who did not ignore maintenance requests actively managed the deterioration of his properties to maximize profit.
This strategy relied on two primary levers: the weaponization of winter temperatures and the structural sabotage of living spaces. While Ohebshalom served his initial 60-day sentence at Rikers Island in early 2024, the conditions in his buildings remained lethal. City records show that even as the landlord sat in a jail cell for civil contempt, his management teams continued to neglect serious infrastructure. This resulted in new waves of violations that extended well into the 2024-2025 heating season.
410 West 46th Street: The “Poke a Hole” Directive
The most damning evidence of intentional destruction emerged from Ohebshalom’s properties in Hell’s Kitchen. At 410 and 412 West 46th Street, tenants faced conditions that prosecutors labeled as criminal harassment. The buildings, owned under shell companies like Highpoint Associates, became the site of repeated ceiling collapses. In one incident by the District Attorney, a ceiling caved in directly onto a young child. This was not an structural failure the result of chronic water leaks that management refused to address.
Internal communications revealed the landlord’s direct involvement in these risks. In an email exchange released by prosecutors, Ohebshalom instructed a tenant to “poke a hole” in a sagging, water-logged ceiling to drain the leakage. When the tenant refused and FDNY warnings that the ceiling was structurally unsound, Ohebshalom dismissed the concern. He wrote, “It is not as bad as you think.” Shortly thereafter, the ceiling collapsed. This specific instruction became a focal point for investigators. It demonstrated that the landlord was aware of the immediate physical danger and chose to exacerbate it rather than authorize professional repairs.
705 and 709 West 170th Street: The Deep Freeze
In Washington Heights, the constructive eviction tactics centered on the deprivation of heat and hot water. The twin buildings at 705 and 709 West 170th Street accumulated over 700 open housing violations by early 2024. During the winter of 2023-2024, tenants reported indoor temperatures dropping near freezing. Residents resorted to using ovens and electric space heaters to survive. These desperate measures spiked electricity bills and created severe fire risks in buildings already for defective wiring.
The incarceration of Ohebshalom in March 2024 did not immediately restore services. In November and December 2024, months after his release from the jail term, tenants at the Washington Heights properties again reported going a full month without heat. The boiler systems remained in a state of disrepair even with the court orders that had led to his arrest. HPD’s Alternative Enforcement Program (AEP) eventually intervened to perform emergency repairs costing $48, 000. Ohebshalom refused to reimburse the city for this work. This refusal further solidified the city’s argument that the absence of heat was a financial decision intended to drive out long-term residents.
Table: Documented risks and Tenant Impact (2023-2025)
| Property Address | Primary Hazard | Specific Incident / Allegation | Tenant Impact |
|---|---|---|---|
| 410 West 46th Street | Structural Collapse | Landlord instructed tenant to “poke a hole” in sagging ceiling. | Ceiling collapsed on a child; lead dust exposure. |
| 705 West 170th Street | Heating Failure | Boiler sabotage and neglect during winter months. | Tenants relied on ovens for heat; indoor temps < 40°F. |
| 104 West 83rd Street | Infestation/Collapse | Beehive in wall; bathroom ceiling collapse in Oct 2024. | Tenant displaced for days; mold exposure. |
| 331 East 14th Street | Harassment | Illegal construction and debris accumulation. | Attempt to force rent-stabilized tenants to vacate. |
| 412 West 46th Street | Fire Damage | Building left uninhabitable after 2015 fire. | Warehousing of empty units to combine for market rate. |
Toxic Exposure: Lead and Mold
The physical collapse of ceilings unleashed secondary health risks. In older New York City housing stock, plaster and paint frequently contain lead. When Ohebshalom allowed ceilings to crumble at 410 West 46th Street and 705 West 170th Street, he exposed tenants to toxic lead dust. Medical reports and HPD inspections confirmed the presence of lead risks in units occupied by families with children. The District Attorney’s office charged Ohebshalom with endangering the welfare of a child based on these specific environmental toxins.
Mold infestations provided another vector for constructive eviction. At 104 West 83rd Street, a tenant reported a bathroom ceiling collapse in October 2024 caused by a persistent leak. The moisture led to aggressive mold growth that rendered the apartment uninhabitable. The tenant was forced to vacate for days while emergency remediation took place. This pattern of “leak-mold-collapse” appeared across the portfolio. It served the dual purpose of deferring maintenance costs and making daily life physically unbearable for occupants.
The “Mushroom” and Biological risks
Inspectors documented biological risks that bordered on the surreal. In one Hell’s Kitchen unit, damp conditions were so severe and prolonged that a large mushroom grew from the ceiling. This image became a symbol of the decay Ohebshalom permitted. At the Washington Heights properties, the breakdown of waste pipes led to raw sewage leaking into living areas. Rats and pigeons infested vacant units., pigeons took up residence in apartments that had been empty for decades. The accumulation of bird guano and rodent waste created respiratory risks for neighbors in adjacent units. These conditions supported the legal argument that Ohebshalom did not just fail to repair his buildings. He actively maintained them as biohazards to clear the way for future luxury development.
“He forced his tenants to live in unthinkable conditions… The conditions, which include broken doors, collapsed ceilings and a absence of heat… were allowed to fester all in the name of huge profits.”
, Manhattan District Attorney Alvin Bragg, May 1, 2024
Persistence of Violations Post-Jail
The timeline of violations proves that incarceration acted as a temporary interruption rather than a corrective measure. Following his release in May 2024, Ohebshalom faced a second contempt motion in September 2024. HPD attorneys argued that he had “learned nothing” from his time at Rikers Island. By late 2024, the violation count at the Washington Heights buildings remained above 600. The heating systems failed again as winter method. This recidivism indicated that the financial penalties and short-term jail sentences were insufficient to alter the business model of constructive eviction. The landlord continued to calculate that the cost of fines and brief detention was lower than the cost of detailed compliance.
Inmate Violence: Facial Fractures Sustained During the March 2024 Rikers Intake

The Intake Center Ambush: March 22, 2024
The transition from negligent landlord to inmate occurred with brutal speed for Daniel Ohebshalom. Less than 24 hours after surrendering to the New York City Sheriff’s Office on March 21, 2024, to begin a 60-day sentence for civil contempt, Ohebshalom became a casualty of the widespread violence the city’s jail complex. On Friday, March 22, at approximately 12: 15 p. m., Ohebshalom sustained serious physical injuries during an assault at the Eric M. Taylor Center (EMTC), the intake facility on Rikers Island.
Department of Correction (DOC) records and subsequent legal filings indicate that Ohebshalom was punched in the face by another person in custody. While initial reports suggested he might have been targeted due to his high-profile status as New York City’s “Worst Landlord,” DOC spokespersons later clarified that the assault appeared unprovoked. Ohebshalom was reportedly an “innocent bystander” caught in the crossfire of a dispute between other detainees in the intake pen. This distinction offered little solace; the blow resulted in immediate medical urgency, necessitating his transport from the island to a municipal hospital for emergency trauma care.
The incident highlights the volatile reality of the Rikers Island intake process, a bottleneck where detainees of varying security classifications are frequently held in congregate settings for extended periods. For Ohebshalom, a landlord who had successfully evaded accountability for years while residing in a California mansion, the exposure to unregulated violence was immediate. The assault occurred before he had even been fully processed into a housing unit, stripping away the insulation his wealth and legal teams had previously provided.
Documented Maxillofacial Injuries
The physical toll of the March 22 assault was significant. Medical evaluations conducted shortly after the incident confirmed that Ohebshalom suffered facial fractures, specifically broken bones in the maxillofacial region. These injuries are consistent with high-force blunt trauma. Sources close to the landlord’s legal team disclosed to press outlets that the fractures were severe enough to warrant concerns about chance surgery, though he was stabilized and returned to custody.
Facial fractures in a carceral setting present unique dangers. Beyond the immediate pain and risk of infection, such injuries complicate the basic functions of eating and speaking, challenges exacerbated by the substandard medical care frequently by the federal monitor overseeing Rikers Island. Ohebshalom’s brief hospitalization was followed by a return to the jail complex, where he was placed in a protective status to prevent further victimization.
The diagnosis of broken facial bones became a central point of contention in the days following the attack. His legal representatives used the medical reports to that the Department of Correction could not guarantee his safety, a standard legal maneuver in cases of inmate-on-inmate violence. Yet, the severity of his injuries stood in clear contrast to the conditions he imposed on his tenants. While Ohebshalom faced the acute pain of a fractured face, residents at 705 and 709 West 170th Street had endured years of chronic exposure to lead paint, mold, and collapsing ceilings, risks that cause long-term, frequently invisible, physiological damage.
Judicial Indifference to Early Release Motions
Following the assault, expectations mounted that Ohebshalom’s legal team would successfully petition for an early release or house arrest on compassionate grounds. Historically, non-violent offenders suffering significant injuries in custody frequently secure modifications to their sentences. In this instance, the judicial response was unyielding. Housing Court Judge Jack Stoller, who had issued the original arrest warrant, did not vacate the sentence based on the assault.
The court’s refusal to release Ohebshalom even with his facial fractures signaled a rigorous enforcement stance. The contempt finding was not punitive for a past crime coercive, designed to force compliance with repair orders. Since the repairs at the Washington Heights properties remained incomplete, the legal justification for his detention remained valid, regardless of his medical status. The message was clear: the only route to safety was fixing the buildings, not sustaining injuries.
This judicial firmness forced Ohebshalom to serve the remainder of his initial stint in protective custody, from the general population still confined within the Rikers complex. The assault failed to function as a “get out of jail free” card, a rare outcome for a wealthy defendant with the resources to litigate every aspect of his confinement.
widespread Context: The 2024 Rikers Violence Surge
Ohebshalom’s assault was not an anomaly a statistical probability given the deterioration of security on Rikers Island in early 2024. Data from the New York City Comptroller’s dashboard and the federal monitor reveals that while the total jail population fluctuated, rates of violence remained historically high.
In the quarter of 2024, the jail system reported a rise in fights and assaults compared to the previous year. The Eric M. Taylor Center, where Ohebshalom was processed, frequently operates as a flashpoint for violence due to the high turnover of new admissions and the mix of gang-affiliated and non-affiliated detainees.
| Metric | Statistic (Approx. Monthly Avg Q1 2024) | Trend vs. 2023 |
|---|---|---|
| Assaults on Staff | ~50-60 incidents/month | Increased |
| Stabbings/Slashings | ~15-20 incidents/month | High/Stable |
| Use of Force Incidents | ~550-600 incidents/month | Increased |
| In-Custody Deaths | 4 (Year-to-Date by March) | serious Concern |
For a landlord whose business model relied on neglecting the physical safety of others, entering this environment placed him directly inside a collapsing infrastructure similar to the ones he owned, with the added variable of human aggression. The “innocent bystander” explanation provided by DOC officials aligns with the random nature of violence in the intake pens, where proximity is the primary risk factor.
The “Karma” Narrative and Tenant Reaction
Public reaction to Ohebshalom’s facial fractures was notably devoid of sympathy, particularly among his tenants in Washington Heights. Interviews conducted by local media outlets in the days following the assault captured a sentiment of retributive justice. Tenants who had lived with rat infestations and absence of heat for winters described the incident as “karma.”
One tenant, Sonia Peralta, told reporters that the community was “happy” about the incarceration, viewing the violence he suffered as a tangible, albeit brutal, equalizer. This reaction show the depth of animosity generated by Ohebshalom’s decade-long neglect. The narrative shifted from a landlord failing to make repairs to a wealthy individual experiencing the physical vulnerability his tenants faced daily. The assault stripped away the anonymity and distance Ohebshalom had maintained from California, forcing a visceral confrontation with the consequences of legal non-compliance.
The Second Incarceration: September 2024
Perhaps the most damning evidence of Ohebshalom’s recalcitrance is that the facial fractures and the trauma of the March assault did not compel him to fully remediate his properties. even with the violence he endured during his 60-day sentence, Ohebshalom failed to meet the court-ordered repair benchmarks upon his release.
Consequently, in September 2024, Judge Stoller signed a second arrest warrant. Ohebshalom surrendered again on September 25, 2024, to begin a second 60-day term at Rikers Island. This return to custody demonstrates a commitment to his business practices over his personal safety. Knowing exactly what awaited him, the intake pens, the violence, and the risk of further injury, he still chose to delay the necessary capital improvements at 705 and 709 West 170th Street.
This second stint reinforces the “Worst Landlord” designation not just as a title of neglect, as a measure of obstinacy. Even the memory of broken facial bones was insufficient to drive immediate compliance, requiring the city to use the threat of physical detention a second time within a single calendar year.
Illegal Hospitality: The $1.1 Million Settlement for Short-Term Rental Operations
The “Ghost Hotel” Business Model
While Daniel Ohebshalom’s portfolio in Washington Heights crumbled under neglect, his properties in Midtown Manhattan and Hell’s Kitchen were being actively repurposed for a more lucrative, albeit illegal, enterprise. In October 2023, the Mayor’s Office of Special Enforcement (OSE) secured a $1. 1 million settlement against Ohebshalom and his management entities, Highpoint Associates XII LLC and Keystone Management, for operating an illegal short-term rental network. This operation systematically removed rent-stabilized apartments from the housing market, converting them into transient lodging for tourists on platforms like Airbnb, Vrbo, and HomeAway.
The scheme centered on three specific buildings: 410 West 46th Street, 412 West 46th Street, and 452 West 36th Street. Instead of leasing these units to long-term tenants as required by New York’s rent stabilization laws, Ohebshalom and his associates warehoused them or allowed them to be booked for stays of less than 30 days. City investigators found that at least 11 of the 50 apartments across these properties had been illegally converted, hosting over 700 guests and generating approximately $300, 000 in revenue between 2016 and 2019.
Operational Mechanics and Tenant Harassment
The conversion of these units was not a zoning violation; it was an engine for tenant harassment. To free up apartments for the “ghost hotel” operation, the landlord engaged in aggressive tactics to displace existing rent-stabilized residents. The lawsuit filed by the City alleged a pattern of neglect designed to make the buildings uninhabitable for permanent residents while simultaneously marketing them to tourists.
At 412 West 46th Street, the cynicism of this operation was starkest. Following a fire in 2015 that damaged the building, tenants were left without gas or a functional roof for six months. even with a partial vacate order and the top two floors being deemed uninhabitable by the Department of Buildings (DOB), the ownership entity continued to manipulate the building’s occupancy status. Rather than repairing the units for the displaced tenants, the landlord left them vacant or prepped them for transient use, warehousing affordable housing stock in a high-demand neighborhood to await higher-yield short-term occupants.
The Settlement and Financial Penalties
The legal pressure culminated in a settlement announced on October 26, 2023, just months before Ohebshalom’s eventual incarceration. The agreement required the payment of $1, 115, 000 in penalties and fines. This sum represented one of the most significant financial blows to Ohebshalom’s operation prior to the 2024 contempt rulings.
| Component | Details | Amount |
|---|---|---|
| Civil Penalties | Fines for illegal transient occupancy and building code violations. | $990, 000 |
| Outstanding Fines | Unpaid Environmental Control Board (ECB) violations. | $125, 000 |
| Total Settlement | Paid to the City of New York. | $1, 115, 000 |
Strategic
This settlement dismantled a key revenue stream for the Ohebshalom network. The $300, 000 in documented revenue from the illegal rentals was eclipsed by the $1. 1 million penalty, turning the scheme into a massive financial liability. also, the enforcement action by the Office of Special Enforcement (OSE) operated in parallel with the Department of Housing Preservation and Development (HPD) lawsuits. While HPD focused on the physical decay in Washington Heights, OSE targeted the financial extraction in Midtown. This two-pronged attack by the City created the “legal squeeze” that eventually left Ohebshalom with no maneuvering room, leading to the arrest warrants issued in early 2024.
The “illegal hospitality” case also stripped away the defense that Ohebshalom was an overwhelmed landlord unable to keep up with repairs. The organized nature of the short-term rental business, involving digital listings, guest management, and the strategic warehousing of units, demonstrated a capacity for complex management when profit was the motive. This contrast fatally undermined his claims of incompetence in Housing Court, painting a picture of a landlord who could manage a hotel business “could not” fix a boiler.
Persistent Negligence: 453 Remaining Violations Recorded in Late 2024 Despite Incarceration
The Failure of Incarceration: 453 Violations and a Second Jail Term
The premise that a sixty-day jail sentence would compel Daniel Ohebshalom to rehabilitate his property portfolio collapsed in late 2024. Following his release from Rikers Island in May 2024, inspectors from the Department of Housing Preservation and Development (HPD) returned to his Washington Heights properties at 705 and 709 West 170th Street. They did not find a remediated building. Instead, they documented 453 active violations, a reduction from the initial 700, yet a figure that indicated hundreds of hazardous conditions remained unaddressed even with the landlord’s time in custody. This persistence of negligence triggered a rare legal escalation: a second arrest warrant. On September 25, 2024, Ohebshalom surrendered to the New York City Sheriff’s Office to begin a second sixty-day sentence for civil contempt. Judge Jack Stoller, who issued the warrant, the “sheer volume” of remaining risks as evidence that the initial punishment had failed to produce compliance.
Timeline of Recidivism (2024-2025)
| Date | Event | Status of Violations |
|---|---|---|
| March 2024 | incarceration begins (60 days). | ~700 active violations at W. 170th St. |
| May 2024 | Released from Rikers; DA Alvin Bragg announces criminal indictment. | Violations; minimal repairs noted. |
| September 2024 | Second incarceration begins. | 453 active violations recorded. |
| November 23, 2024 | Released from second jail term. | Heat outages reported immediately post-release. |
| January 2025 | 2024 Watchlist released; associates named. | Portfolio remains in distress; 7A administrators control key assets. |
Conditions on the Ground: Late 2024
The 453 violations in September 2024 were not minor administrative errors. HPD reports detailed Class C “immediately hazardous” violations, including lead paint peeling in common areas, severe mold infestations, and rodent colonies. Upon Ohebshalom’s release in late November 2024, tenants at the Washington Heights buildings reported that the essential services remained unreliable. In December 2024, during the onset of winter, residents at 705 and 709 West 170th Street experienced a month-long heat outage. Tenant testimonials from January 2025 described vacant apartments inhabited by pigeons and ceilings that continued to collapse due to unaddressed water leaks.
“The apartment above his hasn’t had a human living there for more than 25 years. That apartment, and the one him, are both inhabited by pigeons.”
, Report from Hell Gate NYC, regarding conditions at 709 West 170th Street in January 2025.
The Proxy Shell Game: 2025 Watchlist Status
In January 2025, the Public Advocate released the 2024 Worst Landlord Watchlist. While Daniel Ohebshalom technically vacated the number one spot, a position he held for two consecutive years, his operations remained central to the list. The number four spot was occupied by Melanie Martin, identified by the Public Advocate as a head officer for much of Ohebshalom’s portfolio. This shift demonstrates a tactical adjustment rather than a correction of behavior. By utilizing associates and liability shields, the ownership structure attempts to fragment the violation count across different names. yet, the metrics confirm that the buildings controlled by this network remained among the most distressed in New York City throughout 2024 and into 2025.
Receivership and Criminal Prosecution
While the civil contempt charges resulted in jail time, the most remedy for tenants in 2024 proved to be the appointment of 7A Administrators. The city successfully removed management control from Ohebshalom for the Hell’s Kitchen property at 410 West 46th Street, placing it under the control of Fernando Alfonso of CFF Consulting. Unlike the owner, the 7A administrator is legally mandated to use rent rolls solely for repairs. By early 2025, this building began seeing capital improvements that Ohebshalom had deferred for a decade, including roof replacements and boiler repairs. Simultaneously, the criminal case brought by Manhattan District Attorney Alvin Bragg in May 2024 moved forward. Unlike the housing court cases, which focus on compliance, this indictment charges Ohebshalom with harassment of rent-regulated tenants, endangering the welfare of a child, and filing false instruments. These charges carry chance prison sentences that would be served in state prison rather than the city jail, marking a significant escalation in liability for 2025.


































