S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1496
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 10, 2025
                                ___________
 
 Introduced  by M. of A. ROSENTHAL, RAGA -- read once and referred to the
   Committee on Housing
 
 AN ACT to amend the administrative code of the  city  of  New  York,  in
   relation to waivers of rent adjustments
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Subdivision dd of section 11-243 of the administrative code
 of the city of New York, as added by local law number 41 of the city  of
 New York for the year 1988, is amended to read as follows:
   dd.  [Partial waiver] WAIVER of rent adjustments attributable to major
 capital improvements. (1) The provisions of this  subdivision  apply  to
 and are additional requirements for claiming or receiving any tax abate-
 ment under this section, except as provided in paragraphs three and four
 of this subdivision.
   (2)  The owner of the property shall file with the department of hous-
 ing preservation and development, on the date any application for  bene-
 fits  is  made,  a  declaration stating that in consideration of any tax
 abatement benefits which may be received pursuant  to  such  application
 for  alterations  or  improvements constituting a major capital improve-
 ment, such owner agrees to waive the collection of  a  [portion  of  the
 total  annual  amount of any] rent adjustment attributable to such major
 capital improvement which may be granted by the New York state  division
 of housing and community renewal pursuant to the rent stabilization code
 equal  to  [one-half  of]  the  total annual amount of the tax abatement
 benefits which the property receives pursuant to such  application  with
 respect  to such alterations or improvements. Such waiver shall commence
 on the date of the first collection of such  rent  adjustment,  provided
 that,  in the event that such tax abatement benefits were received prior
 to such first collection,  the  amount  waived  shall  be  increased  to
 account  for  such  tax  abatement benefits so received.   Following the
 expiration of a tax abatement for alterations or improvements constitut-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04628-01-5
              

 A. 1496                             2
 
 ing a major capital improvement for which a  rent  adjustment  has  been
 granted by such division, the owner may collect the full amount of annu-
 al  rent  permitted  pursuant  to  such  rent adjustment. A copy of such
 declaration  shall be filed simultaneously with the New York state divi-
 sion of housing and community renewal. Such declaration shall be binding
 upon such owner, and [his or her] SUCH OWNER'S successors and assigns.
   (3) The provisions of this subdivision shall not apply to  substantial
 rehabilitation  of buildings vacant when alterations or improvements are
 commenced or to buildings rehabilitated with the substantial  assistance
 of city, state or federal subsidies.
   (4) The provisions of this subdivision shall apply only to alterations
 and improvements commenced after its effective date.
   § 2. This act shall take effect immediately.