LOCH SHELDRAKE — After years of complaints and unsafe living conditions, a Sullivan County judge has ruled against the owners of River Valley Estates, a mobile home park in Loch Sheldrake formerly known as Foxcroft Village.

In a decision filed in Sullivan County Supreme Court, Judge Meagan Galligan found that park owners George and Gayla Sue Levin violated state laws by subjecting residents to chronic water outages, sewage backups, and illegal rent and fee increases.

The ruling follows a 2024 lawsuit brought by New York State Attorney General Letitia James, who called the outcome “a major step toward securing true justice for River Valley families.”

“Every New Yorker deserves a safe place to live with access to clean water,” said Attorney General James in a statement. “Not only were River Valley residents forced to suffer through years of dangerous conditions in their community, but they were also charged hundreds of thousands of dollars in unlawful fees and rent hikes.”

The court found the Levins responsible for repeated and persistent violations of state real property and business laws, including over 100 New York State sanitary code violations and more than 200 local code violations from the Town of Fallsburg. Many of the violations remained unresolved at the time of the lawsuit.

Residents, many of whom are on fixed incomes, lived through frequent boil water orders, unannounced water shut-offs, and backups of raw sewage into their homes. In one case, a resident said they were handed a stick and told by a worker to push the sewage into a drain. Others reported paying out-of-pocket for bottled water and laundry because the tap water was undrinkable. Residents described the water as brown, oily, gritty, and sulfuric.

The park had previously settled a similar lawsuit with the Attorney General’s Office in 2018, promising to fix infrastructure issues, but according to court documents, many of those problems persisted. In its most recent filing, the state said the Levins failed to meet the terms of an April 2024 agreement with the Department of Health.

In addition to the health and safety violations, the court found that the Levins imposed fees and raised rents illegally. Between 2019 and 2023, River Valley:

Imposed rent increases mid-lease in violation of state law

Entered into 605 lease agreements without the required tenant rights riders

Added a $39.50 garbage fee in August 2022 without giving the 90-day notice required by law

Charged more than 700 late fees of $35, despite the legal cap being 3 percent of monthly rent

Collected 3 percent “convenience fees” on rent paid by credit card, which is prohibited

Some tenants experienced rent hikes of more than 6 percent, which exceeds the allowable limit under the Emergency Tenant Protection Act (ETPA). This is believed to be the first time a manufactured home park owner in New York has been found liable under that law.

The Attorney General’s Office is now seeking over $2 million in restitution for current and former tenants, in addition to more than $200,000 in civil penalties. The court is expected to review those claims in the next phase of the case.

The case was handled by Assistant Attorney General Justin Haines and overseen by Vinita Kamath, head of the Poughkeepsie Regional Office.

Fallsburg Supervisor Michael Bensimon, speaking in 2024, said the town had long been concerned about the deteriorating water and septic systems at the park.

“The water and septic situation is definitely on top of the list because that’s health, welfare, and safety,” Bensimon said. “People are bringing in their own bottled water because nobody there drinks the tap water, which is an added cost most residents can’t afford.”

River Valley Estates, which rebranded from Foxcroft Village in 2023, has a long history of complaints from residents. In 2022, two residents were sued for defamation by the park’s ownership after speaking out on social media about the conditions. That lawsuit was dismissed under New York’s strengthened anti-SLAPP law, which protects free speech on matters of public concern.

The Democrat reached out for comment to River Valley Estates but did not get a response by presstime. 

PR_FOX_IMG_0016 2.jpg

The entrance sign for River Valley Estates in Loch Sheldrake, where a Sullivan County judge recently ruled in favor of residents after years of unsafe conditions and illegal rent increases.