What Should Rent Stabilized

Tenants do on Tuesday, June 16,

2015, if the Rent Laws Expire?
Lucy Newman, Staff Attorney
The Legal Aid Society, Law Reform Unit
June 15, 2015

Rent Stabilization: The

Universe
NYC has approximately 3.35 million units of
housing
There are 2.17 million rental units or 65% of the
housing stock
There are 1,030,000 rent stabilized units- median
income of rent stabilized household is $40,600
There are 27,000 rent controlled units- median
income of rent controlled household is $29,000
NYCs vacancy rate is 3.12%

Sources of Law

In 1974, Albany enacted the Emergency Tenant

Protection Act (ETPA)
Covers apartments built and occupied before
January 1, 1974
Housing with six or more units
If the vacancy rate is higher than 5%, locality
must end the emergency and the rent laws.
(Hence the Housing and Vacancy Survey is
done every 3 years).

Rent Law Renewal Year Fights

The Rent Laws sunset every so often.

System was modified in 1983, 1993, 1997, 2003
and 2011.
In 1993, 1997, and 2003, the laws were
weakened.
In 2011, some slight strengthening amendments
were adopted.
The Rent Laws are set to expire at midnight on
June 15, 2015.

Exemptions and Exceptions

to the Rent Laws

Buildings with less than six units ETPA (4)(a)

Buildings built after 1974

Unless J-51 or 421a

Coop or condo conversion ETPA 5(14)

Exempt from coverage (not an exhaustive list)

Owned and operated by government ETPA 5(2)

Units owned by certain not for profit institutions- hospitals,
religious institutions etc. Must be operated exclusively for
charitable purposes. ETPA 5(6) and (11)
Substantially rehabilitated on or before 1974. ETPA 5(7)
Apartments provided to supers as part of their
compensation. RSC 2520.11(m).
Apartments that have been deregulated ETPA 5(13).

J-51 and 421a Tax Exemptions

Under these two tax exemptions, building that would

not otherwise be regulated, are rent stabilized.
J-51, to determine whether a building has a J-51 tax
abatement, check with the NYC Department of
Finance at

http://www.nyc.gov/html/dof/html/property/property_tax_
reduc_j_51.shtml

421a is more complicated.

http://www.nyc.gov/html/dof/html/property/421a.shtml

Leases- Renewal Leases

A rent stabilized tenant has the right to a renewal

lease on the same terms and conditions as the
expiring lease. RSC 2522.5(g).

Landlords must offer tenants leases within a specified

period of time prior to the expiration of the current lease,
the window period.
Not more than 150 days and not less than 90 days prior
to the expiration of the lease. RSC 2523.5(a).
The tenant has 60 days to accept the offer by choosing
the desired lease term, executing lease and returning it
to the landlord.
If the landlord fails to send a notice of renewal, the right
to a renewal lease vests with the tenant.

What happens if the Rent

Laws Expire?
(1)

Rent Stabilized Tenants

- Rent Stabilized tenants in NYC who reside in units that are
subject to the ETPA will not be subject to immediate eviction.
- Those with a current lease will be protected under that lease
agreement.
- Those tenants could be at risk of eviction proceedings as their
leases expire.
- Rent Stabilized tenants in NYC whose leases are expiring on
or before September 13, 2015, should have already received
their renewal lease offer (within the window period).
- Those tenants have vested rights to accept those offers and
to be protected by one or two year renewal leases.

What happens if the Rent Laws

Expire?
Rent Stabilized Tenants Continued:
- A tenant whose lease is set to expire after September
13, 2015 may be impacted by the expiration of the laws
because a landlord is not obligated to offer a renewal lease
at this time (it is outside of the window period) and may
be relieved of requirement to offer renewal lease at the
expiration of the laws.
- Upon expiration of the tenants current lease term,
he/she may be subject to a 30 day Notice of Termination
from the landlord.
- Example: Rent Stabilized lease expires 9/14/15.
Outside window period as of 6/15/15. Law expires
midnight 6/15/15- landlord no longer obligated under ETPA
to offer renewal lease to current tenant. Landlord may
serve a 30-Day Notice of Termination on 10/1/15. Tenant
could be in Housing Court in a holdover proceeding as of
11/15/15.
(1)

What happens if the Rent Laws

Expire?
(2) New York City Rent Stabilization Tenants
- There are about 100,000 stabilized units in NYC which have
been occupied by the same tenants since 1971 and which are not
affected by the ETPAs expiration because they are protected by New
York City Rent Stabilization Laws (1969 City Rent Stabilization Law).

What happens if the Rent

Laws Expire?
(3) New York City Rent Controlled Tenants
- Buildings built before February 1, 1947 and continuously occupied
by a tenant or legal successor since June 30, 1971.
- If the State allows the rent laws to lapse, rent controlled tenants in
NYC are not at risk of eviction.
- The Local Emergency Housing Rent Control Act of 1962 8601
to 8617, transferred administration of rent control from the New York
State government to New York City, whereupon the New York City
Council enacted its own Rent Control Law.
- In March 2015, the New York City Council renewed the Local
Emergency Housing Rent Control Act for 3 years, until March 2018.

What happens if the Rent Laws

Expire? SCRIE AND DRIE
-

Senior Citizens Rent Increase Exemption

(SCRIE) and the Disability Rent Increase
Exemption (DRIE) are City programs that are
directly tied to the existence of rent regulation.
A rent stabilized tenant who receives SCRIE or
DRIE should contact the New York City
Department of Finance by calling 311 or go to
the walk-in center at 66 John Street, NY, NY
10038.

Expiration of Rent Laws does not

affect the following tenants
Tenants living in New York City Public
Housing Authority (NYCHA) public housing
apartments
Tenants living in Mitchell-Lama housing

What Should Rent Stabilized Tenants Do

on June 16, 2015 if Governor Cuomo does
not Renew and Strengthen the Rent Laws?
(1)

(2)
(3)
(4)

(5)

DO NOT MOVE OUT. You are still a tenant of your

apartment. The landlord cannot put you out of your
apartment without going to court and serving particular
notices on the tenant. If the landlord tries to kick you
out of your apartment, call the police. This is illegal.
If you have a lease, you are protected at least as long
as the lease term.
If you have a renewal lease, SIGN IT and send it back
to the landlord immediately.
If your lease expires on or before September 13, 2015,
you are entitled to a renewal lease and you should be
protected.
If you are rent controlled you will be protected by the
New York City laws which do not expire until 2018.

Important Telephone
Numbers
Public Advocate at 212-669-7250
New York State Department of Housing and
Community Renewal, Tenant Protection Unit at
1-844-736-8435 (RENT-HELP)
The Mayors NYC Rent Laws Hotline at 347592-2404