East Harlem Businesses Affected by Subway Project Seek Compensation

In East Harlem, local businesses facing displacement due to the Second Avenue subway extension are expressing frustration over the lack of financial support and relocation assistance from the MTA.

Lou Nikazi, 59, owner of Eagle Tile, a construction supply store he has operated for three decades, shared his concerns. “They’ve sort of kept me on standby,” he said, noting the uncertainty surrounding the future of his business due to the upcoming transit project.

“We’re just in limbo,” he continued. “Waiting and watching, but no idea what’s next.” It’s nerve-wracking, really.

Nikazi feels like the situation presents a classic “David versus Goliath” scenario, but he worries that this time, David might not come out on top.

He, along with other East Harlem business owners, is mandated to leave their locations for the construction of a new subway stop between East 116th and East 125th Streets, part of a $7.7 billion expansion plan.

In August, the MTA invoked eminent domain for the property, requiring tenants and landlords to vacate. They assured that they would provide necessary financial compensation and relocation help, but many, including Nikazi, have found the aid offered to be scarcely sufficient.

Nikazi mentioned investing around $100,000 to relocate his business inventory from a nearby rented space, yet he has received no word from the MTA regarding reimbursement. “We’re going to be in debt and struggling for a while until we get back on our feet,” he expressed, clearly worried about future viability.

While his shop isn’t immediately closing, the lack of storage space will likely force him to shut down if he cannot find a new location soon. “The MTA didn’t make any firm promises,” he added. “Just a lot of reassurances with no follow-through.” It’s frustrating to hear, honestly.

The first phase of the Second Avenue subway opened in 2017, requiring about $10 million for relocating impacted residents and businesses. However, with Phase 2 nearing, many owners are concerned the MTA won’t act quickly enough to help them continue their operations.

Nearby, a corner deli faced similar displacement, getting evicted just three years into a 10-year lease. The owner shared that while the MTA suggested alternative locations, none matched his requirements. “They’re just wasting time,” he remarked, now on the hunt for spots himself.

Diop, who runs a clothing store in the area, is also facing eviction after 14 years in business. He recalled that the MTA showed him a property he liked three months ago but hasn’t followed up since. “It’s just frustrating,” he said, appearing a bit defeated. “What can I do? I’m just waiting.” The uncertainty hangs heavy for all of them.

The MTA has yet to respond to requests for comment regarding these issues.