NY State Senate Bill 2025-S1598

Senate Bill S1598

2025-2026 Legislative Session

Authorizes the temporary occupancy, for compensation, of a class A multiple dwelling that is a cooperative or condominium unit under certain conditions

download bill text pdf

Current 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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Actions

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 10, 2025	referred to housing, construction and community development

2025-S1598 (ACTIVE) - Details

Current Committee:: Senate Housing, Construction And Community Development
Law Section:: Multiple Dwelling Law
Laws Affected:: Amd §4, Mult Dwell L
Versions Introduced in Other Legislative Sessions:: 2017-2018: S5767
2019-2020: S819
2021-2022: S4303
2023-2024: S2810

2025-S1598 (ACTIVE) - Summary

Authorizes the temporary occupancy, for compensation, of a class A multiple dwelling that is a cooperative or condominium unit under certain conditions.

2025-S1598 (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S1598

SPONSOR: LANZA
 
TITLE OF BILL:

An act to amend the multiple dwelling law, in relation to clarifying
certain provisions relating to the occupancy of certain class A multiple
dwellings

 
PURPOSE OR GENERAL IDEA OF BILL:

Authorizes the temporary occupancy, for compensation, of a class A
multiple dwelling that is a cooperative or condominium unit under
certain conditions

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1 of the bill amends the multiple dwelling law to allow inci-
dental and occasional occupancy in exchange for monetary compensation in
a cooperative or condominium unit occupied by owners or tenant share-
holders for fewer than thirty consecutive days by other natural persons
when the permanent occupant is temporarily absent for personal reasons

such as vacation or medical treatment provided that:

The permanent occupant is the lawful owner or shareholder of such dwell-
ing and it is their primary or secondary residence; The owner does not
own or control any other class A multiple dwelling being occupied or
made available for occupancy for fewer than thirty consecutive days by
other natural person;

The owner cannot rent out their unit on a temporary basis more than 90
total days in any calendar year and;

All applicable state and local taxes and fees are collected and remitted
in accordance with applicable law.

Section 2 of the bill provides for an immediate effective date.

 
JUSTIFICATION:

The purpose of the bill is to provide a narrow exemption for certain
owner-occupied class A multiple dwellings units to be made available for
rent on a short-term basis (less than 30 days). Specifically, the bill
would allow an owner of a co-op or condominium unit to rent their unit
for less than 30 days when they are temporarily absent for personal
reasons such as vacation or medical treatment provided that all applica-
ble state and local taxes associated with a short term rental are
collected and remitted. Additionally, to prevent multiple listings, a
condo or co-op owner cannot own or control more than 1 unit being rented
on a short term basis or made available for short term rental.  This
legislation would not abrogate or annul the by-laws of a cooperative or
condominium that currently prohibit or restrict this short term rental
activity in their buildings nor would it restrict a building owner's
rights or the authority of a governing board to prohibit or restrict
this activity in their building in the future.

Current NY Multiple Dwellings Law, as amended in 2010 in response to an
ongoing issue in New York City with single room occupancy (SRO) build-
ings being used as illegal hotels, prohibits temporary occupancies (less
than 30-days) in all Class A Multiple Dwellings.  Under the definition
of Class A Multiple Dwelling, this prohibition applies to Condominium
and Co-Op units but does not include 1 and 2 family homes.

This bill is targeted to help another group of home-owners that live in
Condo or Co-op units and would like to rent their units out on a short
term basis, thereby providing tax revenue and tourism dollars to the
state and city. The prohibition on temporary occupancies in apartments
and all other Class A Multiple Dwellings except for owner-occupied
condos and co-ops will remain. The existing prohibition on short term
rentals in apartments, especially rent stabilized and rent controlled
units will not be effected.

Affording certain homeowners the ability to rent out their units on a
short term basis is consistent with the original intent of the 2010
Multiple Dwellings Law changes which exempted 1 and 2 family property
owners from the restriction of short term rentals. While the existing
law as written is broad in its application, providing this limited
exemption for condo and co-op owners to temporarily rent their units for
less than 30 days, clarifies the law in a way to put the focus of the
law's force squarely where it should be to protect the public - away
from home owners and targeted at, SROs and illegal hotels in rental
units.

By preserving the right of a building owner or a governing board that
has been elected by owners or tenant-shareholders of a building to limit
or restrict this activity, this bill keeps the control of the activity
under the responsibility of the building to collectively decide what is
best for all of the owners and tenant-shareholders of the building.

 
PRIOR LEGISLATIVE HISTORY:

2024: S.2810- Referred to Housing

2023: S.2810-Referred to Housing

2022: S.4303- Referred to Housing

2021: S.4303-Referred to Housing

2020: S.819 -Referred to Housing

2019: S.819 -Referred to Housing

2018: S.S767- Referred to Housing/A.8331- Referred to Housing

2017: S.S767- Referred to Housing/A.8331- Referred to Housing

 
FISCAL IMPLICATIONS:

This bill will result in increased revenue to the State and New York
City.

 
EFFECTIVE DATE:
This act shall take effect immediately

2025-S1598 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1598
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                             January 10, 2025
                                ___________
 
 Introduced  by  Sen.  LANZA  -- 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 multiple dwelling law, in relation to clarifying
   certain provisions relating to the occupancy of certain class A multi-
   ple dwellings

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subparagraph 1 of paragraph a of subdivision 8 of section 4
 of  the  multiple dwelling law, as amended by chapter 225 of the laws of
 2010, is amended to read as follows:
   (1) (A) occupancy of such dwelling unit for fewer than thirty  consec-
 utive  days  by other natural persons living within the household of the
 permanent occupant such as house guests or lawful boarders,  roomers  or
 lodgers; [or]
   (B)  incidental  and  occasional  occupancy  of such dwelling unit for
 fewer than thirty consecutive days by other  natural  persons  when  the
 permanent  occupants are temporarily absent for personal reasons such as
 vacation or medical  treatment,  provided  that  there  is  no  monetary
 compensation paid to the permanent occupants for such occupancy[.]; OR
   (C)  INCIDENTAL  AND  OCCASIONAL  OCCUPANCY  IN  EXCHANGE FOR MONETARY
 COMPENSATION IN A COOPERATIVE OR CONDOMINIUM UNIT OCCUPIED BY OWNERS  OR
 TENANT-SHAREHOLDERS  FOR  FEWER  THAN  THIRTY  CONSECUTIVE DAYS BY OTHER
 NATURAL PERSONS WHEN THE PERMANENT OCCUPANT IS  TEMPORARILY  ABSENT  FOR
 PERSONAL REASONS, SUCH AS VACATION OR MEDICAL TREATMENT, PROVIDED THAT:
   (I) THE DWELLING UNIT OR STOCK ALLOCATED TO THE DWELLING UNIT IS OWNED
 BY  OR  FOR  THE BENEFIT OF A NATURAL PERSON WHO RESIDES IN THE DWELLING
 UNIT AS THEIR PRIMARY OR SECONDARY RESIDENCE;
   (II) THE OWNER OF THE DWELLING UNIT OR STOCK AND THE  PERMANENT  OCCU-
 PANT  DOES  NOT OWN OR CONTROL ANY OTHER CLASS A MULTIPLE DWELLING BEING
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD02458-01-5
 S. 1598                             2

 
 OCCUPIED OR MADE AVAILABLE FOR OCCUPANCY FOR FEWER THAN  THIRTY  CONSEC-
 UTIVE DAYS BY OTHER NATURAL PERSONS;
   (III) THE INCIDENTAL AND OCCASIONAL OCCUPANCY IN EXCHANGE FOR MONETARY
 COMPENSATION IN THE DWELLING UNIT FOR FEWER THAN THIRTY CONSECUTIVE DAYS
 DOES NOT EXCEED NINETY TOTAL DAYS IN ANY ONE CALENDAR YEAR; AND
   (IV)  ALL  APPLICABLE STATE AND LOCAL TAXES AND FEES ARE COLLECTED AND
 REMITTED IN ACCORDANCE WITH APPLICABLE LAW.
   NOTHING IN THIS CLAUSE SHALL BE CONSTRUED TO  ABROGATE  OR  ANNUL  THE
 BY-LAWS  OF A COOPERATIVE OR CONDOMINIUM NOR RESTRICT A BUILDING OWNER'S
 RIGHTS OR THE AUTHORITY OF A GOVERNING BOARD THAT HAS BEEN DULY  ELECTED
 BY THE OWNERS OR TENANT-SHAREHOLDERS OF A COOPERATIVE OR CONDOMINIUM.
   § 2. This act shall take effect immediately.

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