The protege of Mayor Eric Adams in charge of city leases approved multi-million dollar lease deals arranged by a real estate firm he vacationed with. The deputy commissioner for real estate traveled to Japan with a top broker from Cushman & Wakefield, whose phone was seized by the Manhattan District Attorney as part of a corruption investigation. The Department of Citywide Administrative Services did not pay for his trip, and the COIB was not consulted. The leases approved included a significant one to relocate the city Administration for Children’s Services. Another lease arrangement is pending to relocate the Department for the Aging, involving a tower owned by a billionaire who donated to Mayor Adams’ legal defense fund. The hearing is investigating these lease deals and potential conflicts of interest.
The city of New York has been rocked by allegations of corruption and conflicts of interest in the handling of city leases by Jesse Hamilton, deputy commissioner for real estate in the Department of Citywide Administrative Services (DCAS). Hamilton, a protege of Mayor Eric Adams, approved multi-million dollar lease deals arranged by a top broker for Cushman & Wakefield, with whom he vacationed in Japan.
The controversy surrounding Hamilton’s actions came to light when it was revealed that a representative of the Manhattan District Attorney seized Hamilton’s phone as part of an investigation into corruption at City Hall. Questions have been raised about the propriety of Hamilton’s relationship with Diana Boutross, the Cushman executive who handles the firm’s interactions with DCAS, and whether their trip to Japan was funded by a third party.
City officials have confirmed that Hamilton approved three significant lease deals, including a 21-year lease for the city Administration for Children’s Services to relocate to 110 William St. in lower Manhattan. The lease, arranged by Cushman & Wakefield, involves an annual rent of $28 million and over $42 million in renovation costs to be reimbursed to the landlord.
The controversy has prompted a hearing by Councilmember Lincoln Restler to question DCAS Commissioner Louis Molina about Hamilton’s handling of leases since his appointment. Restler raised concerns about potential conflicts of interest, particularly in light of Hamilton’s close ties to a top real estate brokerage firm and his involvement in steering a lease arrangement to a tower owned by a billionaire who made a donation to Mayor Adams’ legal defense fund.
The hearing also focused on a pending lease arrangement to relocate the Department for the Aging to 14 Wall St., which was arranged by a second brokerage firm, CBRE. Questions have been raised about the timing of Hamilton’s involvement in the deal and the political donations made by CBRE executives to Mayor Adams’ re-election campaign.
The allegations of impropriety and conflicts of interest in the handling of city leases have raised concerns about transparency and accountability in the city government. The investigation into Hamilton’s actions and the scrutiny of lease deals arranged by top real estate firms have underscored the need for greater oversight and ethical standards in city procurement processes.
Source: TheCity.NYC
