Requires the department of buildings to maintain a registry of all deeds containing restrictive covenants

BILL NUMBER:S1099

Title of bill

An act to amend the administrative code of the city of New York, in relation to the filing of deeds containing restrictive covenants

Purpose or general idea of bill

The purpose of the bill is to allow homeowners and homeowner/neighborhood associations whose properties are subject to restrictive covenants or other types of deed restrictions, to register such deeds with the Department of Buildings.

Summary of specific provisions

Section 1 of the bill amends the administrative code by adding a new section 27-106 to create a registry of deeds with restrictive covenants that are filed with the Department of Buildings. Section a of the bill allows such deeds to be filed by any homeowner or homeowner association, as well as by or on behalf of a neighborhood or civic association whose area of geographic concern as set forth in its organizing document encompasses the property that is subject to the deed restriction. Section b of the bill requires the Department of Buildings to search the registry of deeds prior to the issuance of any permit to determine whether issuance of the permit would violate any terms of the deed restriction. If the permit would violate the deed restriction then the Department of Buildings would be mandated to refuse to issue the permit unless ordered to do so by a court. The bill also prevents a homeowner or homeowner association or a neighborhood or civic association that does not file a restrictive covenant from collecting damages against the Department of Buildings for failure to enforce those restrictions. Finally the bill makes explicit that this section does not limit or reduce the rights of owners or homeowner associations to engage in legal action to enforce such covenants.

Section 2 of the bill sets forth an immediate effective date.

JUSTIFICATION:.

This bill will allow a homeowner or homeowner association, as well as a neighborhood or civic association whose area of geographic concern as set forth in its organizing document encompasses the property that is subject to the deed restriction to file such restrictions with the Department of Buildings. In turn, the Department of Buildings would be required to review the deed registry prior to issuing any permits to ensure that such permits would not violate the terms of any filed restriction.

Many residential communities in the city of New York were designed with a specific housing stock in mind. Community planners sought to create residential neighborhoods with a particular sense of community and lifestyle. Restrictive covenants were used to ensure that future development would conform to the existing character of the neighborhood.

Unfortunately, over time many of these residential communities have been slowly transformed into more urban and overtly commercial areas. The practice of either ignoring or refusing to acknowledge the existence of restrictive covenants has led to serious deterioration in the quality of life for many of these communities. Therefore, it is incumbent on the Department of Buildings to take steps to preserve communities that are covered by restrictive covenants so that the character of these planned communities is not lost to future generations.

Prior legislative history

New Bill.

Fiscal implications

To Be Determined.

Effective date

This act shall take effect immediately.