Politicians and tenants are frustrated with a Housing and Preservation Development program they say negatively impacts low-income communities of color.

The housing agency says the Third Party Transfer program brings in qualified sponsors to buy and renovate both vacant and occupied multifamily properties that are "distressed." They say this will improve and preserve affordable housing.

Councilmember Fernando Cabrera, however, says the buildings are not in bad condition and calls the program an "atrocity."

According to shareholders, the city foreclosed a co-op building on Nelson Avenue because it owes $500,000 in taxes and other municipal charges.

They say their shareholder status is now in question.

Cabrera also blasted Mayor Bill de Blasio regarding the issue.

"Let's talk about the hidden agenda," Cabrera said. "The reason why he's doing it is because he has a plan to meet a goal of certain amount of affordable housing units to go into his quota but this is not the way to go about it."

The shareholders are in litigation against the city and will be asking a judge on Monday in Bronx Supreme Court to rule in favor of the people.

News 12 reached out to the Department of Housing and Preservation. They responded with a statement reading in part: "HPD is committed to working with the council to develop this new initiative in addition to taking a fresh look at TPT, which was designed to protect tenants."