Airbnb may get many of the current headlines when it comes to short-term sublets, but the city still keeps a vigilant eye on illegal hotels. Just ask Hank Freid, founder and CEO of Impulsive Group: The buildings he owns at 2686-2690 Broadway are classified as single-room occupancy (SRO) and residential on the certificate of occupancy, but were illegally converted to the Marrakech Hotel (h/t Daily News).
In a 2016 interview with Hotel Business, Mr. Freid seemed to laugh off the penalties for illegal hotel opertaion. However, around $60,000 in violations later, permits have been filed for partial demolition of the five-story buildings. If approved, floors 2-5 of the buildings on the corner of West 103rd Street would be removed. A new roof and bulkhead would be constructed over the first floor, and the SRO use would be eliminated.
In a 2016 interview with Hotel Business, Mr. Freid seemed to laugh off the penalties for illegal hotel opertaion. However, around $60,000 in violations later, permits have been filed for partial demolition of the five-story buildings. If approved, floors 2-5 of the buildings on the corner of West 103rd Street would be removed. A new roof and bulkhead would be constructed over the first floor, and the SRO use would be eliminated.
The Upper West Side used to be a mecca of SROs, but this type of apartment is falling out of fashion and serving as a relic of a seedier time. The Astor Apartments briefly served as an SRO, but the building was restored to its former glory and converted to luxury condos now selling from $4.45 million. More recently, Dahlia, a condominium with a $136 million sellout, topped out construction on the site of the notorious Camden Hotel.
Related Articles
Future New York
GiiO: Sales launch on attractive, attainable Bushwick condos from $595K
Thursday, September 3, 2026
Future New York
25 NYC condos with the best playrooms and kid-friendly amenities
Thursday, September 3, 2026
Future New York
Manhattan Sales: Trophy Upper East Side homes rule the week; Elie Wiesel’s Fifth Avenue apartment sells for nearly $5M
Wednesday, September 2, 2026
Future New York
Greenwich Spire rises above street level, beginning its climb to become the Village’s tallest tower
Wednesday, September 2, 2026
Future New York
What $1M can buy in Brooklyn Heights + 5 projects in the pipeline including repairs to the BQE
Tuesday, September 1, 2026
Future New York
Draped in Concrete, 10W17 Rises in Flatiron Ahead of Sales Launch
Tuesday, September 1, 2026
Future New York
Central Park Tower pad tops Manhattan contracts as high-end deals rebound; Floyd Mayweather-adjacent condo finds buyer
Tuesday, September 1, 2026
Future New York
Private by Design: Full-floor NYC apartments with direct elevator access under $2.5 million
Friday, August 28, 2026
Content Specialist
Michelle Merritt
Michelle is a contributing writer and editor for real estate news in New York City
6sqft delivers the latest on real estate, architecture, and design, straight from New York City.
