What's happening
This bill tightens requirements for mortgagees and lienors to bring abandoned multiple dwellings into legal compliance within specific timeframes or risk city intervention.
Why it matters
Holds mortgagees and lienholders to stricter, clearer timelines for bringing abandoned multiple dwellings up to code. specifically requiring action within 90 days of taking possession or appointing a receiver, unless the city department grants an extension.
Prevents indefinite delays by mortgagees or lienors. by allowing city intervention if receivership is denied, or if the receiver or lienholder fails to achieve compliance within the set period, ensuring properties don’t remain hazardous or blighted.
Increases accountability for financial stakeholders. (like banks and lienholders) in distressed properties, which may incentivize quicker rehabilitation or resolution and reduce the burden on local governments and neighborhoods.
Establishes a formal process for city action. when private parties fail, potentially expediting the transformation of abandoned, code-violating buildings into safe, usable housing, and helping to stabilize communities affected by property neglect.
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Who cares
Headline styles
Fix Abandoned Apartment Buildings
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to judiciary
- Referred to judiciary
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Fix Abandoned Apartment Buildings
Assembly Floor Calendar · Sponsor Helene Weinstein
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
6172
2017-2018 Regular Sessions
IN SENATE
May 11, 2017
Introduced by Sen. HAMILTON -- read twice and ordered printed, and when printed to be committed to the Committee on Judiciary
AN ACT to amend the real property actions and proceedings law, in relation to title to an abandoned multiple dwelling in a city, town or village
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision 3 of section 1972 of the real property actions and proceedings law, as added by chapter 864 of the laws of 1973, is amended to read as follows:
3. Within five days of the service of notice on the owner, a copy of the certification shall be served on each mortgagee, lienor and lessee of record, personally or by registered mail to the address set forth in the recorded instrument or, if no address appears therein, to the person at whose request the instrument was recorded. Such copy shall, in the case of a mortgagee or lienor, be accompanied by a notice that proceedings pursuant to this article may be instituted unless the mortgagee or lienor, within fifteen days of such mailing, either (a) commences proceedings to foreclose the mortgage or lien and moves for the appointment of a receiver which brings the building into compliance with the applicable provisions of law within ninety days from the date of appointment or such longer period as may be established by agreement with the department or [enters into an agreement with the department to bring the building] (b) takes possession of the premises as provided in the mortgage and brings the building into compliance with the applicable provisions of law within ninety days from the date of taking possession or such longer period as may be established by agreement with the department. The department may, notwithstanding anything to the contrary in this subdivision, institute proceedings pursuant to this article if: (i) the application for appointment of a receiver is denied, (ii) the receiver fails to bring the building into compliance with the appli-
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02826-01-7
S. 6172 2
cable provisions of law within ninety days from the date of appointment or such longer period as may be established by agreement with the department; or (iii) the mortgagee or lienor in possession fails to bring the building into compliance with the applicable provisions of law within ninety days from the date of taking possession or such longer period as may be established by agreement with the department.
§ 2. This act shall take effect on the one hundred twentieth day after it shall have become a law and shall apply to proceedings commenced on or after such date.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the real property actions and proceedings law, in relation to title to an abandoned multiple dwelling in a city, town or village
Purpose of bill
This bill amends the real property actions and proceedings law, to require a mortgagee or lienor who institutes proceedings to foreclose, to have a receiver appointed and ordered to enter into an agreement with the appropriate agency to repair and correct violations of housing maintenance laws, or alternatively to take possession of the premises themselves and enter into a repair agreement with the city agency to prevent the agency from taking title to an abandoned building.
Justification
The purpose of the abandoned building law (article 19-A of the real property actions and proceedings law) is to allow the city government to take title to buildings to ensure they are properly managed after abandonment. An owner may block such proceedings by resuming management and undertaking repairs. If the owner does not make repairs, then mortgagees and lienors may stop article 19-A proceedings by merely starting a foreclosure action. However, current law does not require the mortgagee or lienor to follow through with the foreclosure action or ensure that someone is appointed and empowered to manage the building.
In order to correct this situation, this bill would require the mortgagee or lienor to proceed with the foreclosure action and have a receiver appointed who must reach a repair agreement with the housing and development administration, or alternatively such mortgagee or lienor may formally take possession and enter into such an agreement. This will ensure that, in fact, the building will be effectively managed and repaired.
Legislative history
2015-16: A.157 - A. Judi 2013-14: A.854/3.2264 - A.Cal/S. Judi 2011-12: A.636/8.696 - A. Cal/S. Judi 2010: A.6161-A/S.8100-A - A. Cal/S. Cal 2009: A.6161- A. Judi 2007-08: A.6419 - A. Judi 2005-06: A.5768/S.3554 - A. Judi/S. Judi 2003-04: A.6640/S.542 - A. Judi/S. Judi 2002: A.7748/S.7002 - A. Judi/S. Judi 2001: A.7748 - A. Judi 2000: A.7458 - A. Cal 1999: A.7458 - A. Judi 1997-98: A.7764 - A. Cal
Fiscal implications for state and local governments
None.
Effective date
This act shall take effect on the 120th day after it shall have become a law and shall apply to proceedings commenced on or after such date.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.