NY State Senate Bill 2023-S129

Senate Bill S129

2023-2024 Legislative Session

Relates to renewal of a lease under the stabilization code promulgated by the real estate industry stabilization association

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Archive: Last Bill Status - In Senate Committee Housing, Construction And Community Development Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 03, 2024	referred to housing, construction and community development
Jan 04, 2023	referred to housing, construction and community development

co-Sponsors

2023-S129 (ACTIVE) - Details

See Assembly Version of this Bill:: A3977
Current Committee:: Senate Housing, Construction And Community Development
Law Section:: New York City Administrative Code
Laws Affected:: Amd §26-511, NYC Ad Cd
Versions Introduced in Other Legislative Sessions:: 2009-2010: S3854, A2558
2011-2012: S906, A3596
2013-2014: S3176, A3904
2015-2016: S2856, A3602
2017-2018: S3193, A5901
2019-2020: S1920, A725
2021-2022: S490, A8278

2023-S129 (ACTIVE) - Summary

Relates to renewal of a lease under the stabilization code promulgated by the real estate industry stabilization association; defines demolish.

2023-S129 (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S129

SPONSOR: KRUEGER
 
TITLE OF BILL:

An act to amend the administrative code of the city of New York, in
relation to renewal of a lease under the stabilization code

 
PURPOSE OR GENERAL IDEA OF BILL:

The purpose of this bill is to clarify the original intent of the demo-
lition provision of the Rent Stabilization Law, and to prohibit building
owners from using demolition applications to evict rent stabilized,
tenants without actually demolishing their buildings.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1 of the bill amends subparagraph (a) of paragraph 9 of subdivi-
sion c of section 26-511 of the administrative code of the city of New
York, constituting a provision of the rent stabilization law of nineteen
hundred sixty-nine. The amendments define building demolition, establish
new procedures at the division of housing and community renewal for

demolition applications, and grant rent stabilized tenants expanded
options in cases where demolition applications are approved.

Section 2 provides for the effective date.

 
JUSTIFICATION:

It is in the State's economic and social interest that an adequate
supply of affordable housing be available. But as development pressures
continue to drive the competitive real estate market.in New York City
and surrounding counties, there has been an increasing loss of afforda-
ble housing units. Eager to increase profits on rent stabilized housing
units in particular, building owners have utilized a variety of means to
turn these units into more profitable luxury housing or commercial
units. The result has been that each year, thousands of rent-stabilized
units are permanently removed from the housing stock. This trend contin-
ues as owners seek new ways to manipulate the letter and spirit of the
law in order to more expeditiously eliminate the rent stabilized units
in a building.

This bill addresses one method by which owners are increasingly attempt-
ing in order to deregulate rent-stabilized apartments. While the Legis-
lature intended that the demolition provision of the Rent Stabilization
law permit owners to demolish old, dilapidated and dangerous housing in
order to replace it with new, safe housing, some owners are attempting
to redefine demolition as simple renovations where entire floors are
left intact, outer walls are untouched, or major structural elements
remain in place. Such uses of the term "demolition" are inconsistent
with both its common meaning and the meaning that was intended by the
Legislature. This bill will clarify the definition of "demolition",
making it consistent with its common and intended definitions.  Accord-
ingly, it will be clear that owners shall not be permitted to eliminate
rent-stabilized housing units by manipulating the demolition provision
in this manner.V

 
FISCAL IMPLICATIONS:

To be determined.

 
LEGISLATIVE HISTORY:

2021-2022: S.490/A.8278

2019-2020: S.1920/A.725

2017-2018: S.3193/A.5901

2015-2016: S.2856/A.3602

2013-2014: S.3176/A.3904

2011-2012: S.906/A.3596

2009-2010: S.3854-13/A.2558-13

2008: S.7233

 
EFFECTIVE DATE:
This act shall take effect immediately and shall apply to any action or
proceeding pending in any court and to any application, complaint, or
proceeding pending before an administrative agency on such effective
date, as well as to any action or proceeding commenced thereafter;
provided, however that the amendments to subparagraph (a) of paragraph 9
of subdivision c of section 26-511 of the rent stabilization law of
nineteen hundred sixty-nine made by section one of this act shall expire
of such law as provided under section 26-520 of the administrative code
of the city of New York.

2023-S129 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    129
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                                (PREFILED)
 
                              January 4, 2023
                                ___________
 
 Introduced  by  Sens.  KRUEGER,  HOYLMAN,  LIU -- read twice and ordered
   printed, and when printed to be committed to the Committee on Housing,
   Construction and Community Development
 
 AN ACT to amend the administrative code of the  city  of  New  York,  in
   relation to renewal of a lease under the stabilization code
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subparagraph (a) of paragraph 9 of subdivision c of section
 26-511 of the administrative code of the city of New York is amended  to
 read as follows:
   (a)  (1)  where [he or she] THE OWNER HAS ESTABLISHED TO THE SATISFAC-
 TION OF THE DIVISION OF HOUSING AND COMMUNITY RENEWAL, AFTER  A  HEARING
 AT  WHICH  ALL PARTIES MAY PRESENT EVIDENCE THAT THE SUBJECT BUILDING IS
 IN A SUBSTANDARD OR SERIOUSLY DETERIORATED CONDITION, AND THAT THE OWNER
 intends in good faith to demolish  the  building  and  [has  obtained  a
 permit therefor from the department of buildings] SUBMITS PROOF PRIOR TO
 FILING  THE  APPLICATION  WITH  THE  DIVISION  OF  HOUSING AND COMMUNITY
 RENEWAL THAT PLANS AND IF  POSSIBLE,  THE  NECESSARY  PERMITS,  FOR  THE
 UNDERTAKING  HAVE  BEEN  APPROVED BY AND OBTAINED FROM THE DEPARTMENT OF
 BUILDINGS.  SUCH APPLICATION SHALL BE FILED AT LEAST NINETY  DAYS  PRIOR
 TO  THE  EXPIRATION  OF THE LEASE TERM; FOR THE PURPOSE OF THIS SUBPARA-
 GRAPH, "DEMOLISH" MEANS THE COMPLETE  RAZING  OF  THE  ENTIRE  BUILDING,
 INCLUDING  ALL EXTERIOR WALLS, IN ORDER TO CONSTRUCT A NEW BUILDING WITH
 THE SAME OR GREATER NUMBER OF RENTAL HOUSING UNITS;
   (2) THE  ORDER  GRANTING  THE  OWNER'S  DEMOLITION  APPLICATION  SHALL
 PROVIDE  THAT  THE OWNER MUST, AT THE TENANT'S OPTION, EITHER: (I) RELO-
 CATE THE TENANT TO AN EQUIVALENT OR  SUPERIOR  RENT  STABILIZED  HOUSING
 ACCOMMODATION  IN  A  CLOSELY  PROXIMATE  AREA,  OR IF A NEW RESIDENTIAL
 BUILDING IS BEING CONSTRUCTED ON THE SITE PROVIDE THE TENANT WITH  SUIT-
 ABLE  INTERIM HOUSING AT NO ADDITIONAL COST UNTIL A UNIT IS AVAILABLE IN
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD01066-01-3
 S. 129                              2
 
 THE NEW BUILDING; PROVIDE THAT THE AMOUNT OF RENT CHARGED FOR  THE  UNIT
 SHALL  BE  AT  THE  SAME  OR LOWER LEGAL REGULATED RENT; AND PROVIDE THE
 TENANT, IN ADDITION TO REASONABLE MOVING EXPENSES,  PAYMENT  OF  A  FIVE
 THOUSAND  DOLLAR  STIPEND,  PROVIDED THE TENANT VACATES ON OR BEFORE THE
 VACATE DATE REQUIRED BY THE FINAL ORDER; OR (II) PROVIDE  RELOCATION  OF
 THE  TENANT  TO  A SUITABLE HOUSING ACCOMMODATION AT A RENT IN EXCESS OF
 THAT FOR THE SUBJECT HOUSING ACCOMMODATION; PROVIDE THE TENANT, IN ADDI-
 TION TO REASONABLE MOVING EXPENSES, A STIPEND EQUAL TO THE DIFFERENCE OF
 THE RENT CHARGED AT THE HOUSING ACCOMMODATION BEING VACATED AND THE RENT
 CHARGED FOR THE HOUSING ACCOMMODATION TO WHICH THE TENANT IS RELOCATING,
 MULTIPLIED BY SEVENTY-TWO MONTHS, PROVIDED  THE  TENANT  VACATES  ON  OR
 BEFORE  THE  VACATE  DATE  REQUIRED BY THE FINAL ORDER; OR (III) PAY THE
 TENANT A STIPEND WHICH SHALL BE  THE  DIFFERENCE  BETWEEN  THE  TENANT'S
 CURRENT RENT AND AN AMOUNT TO BE CALCULATED USING THE DEMOLITION STIPEND
 CHART,  CREATED BY THE DIVISION OF HOUSING AND COMMUNITY RENEWAL, MULTI-
 PLIED BY SEVENTY-TWO MONTHS; or
   § 2. This act shall take effect immediately and  shall  apply  to  any
 tenant  in  possession on or after such effective date and to any action
 or proceeding pending in any court and to any application, complaint, or
 proceeding pending before an administrative  agency  on  such  effective
 date,  as  well  as  to  any  action or proceeding commenced thereafter;
 provided, however that the amendments to subparagraph (a) of paragraph 9
 of subdivision c of section 26-511 of chapter  4  of  title  26  of  the
 administrative  code of the city of New York made by section one of this
 act shall expire on the same date as such  law  expires  and  shall  not
 affect  the  expiration  of such law as provided under section 26-520 of
 such law.

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Senate Bill S129

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Sponsored By

Liz Krueger