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S1920Senate2019-2020 SessionSame asA725

Protect Renters Facing Demolition

Official title

“Relates to renewal of a lease under the stabilization code promulgated by the real estate industry stabilization association”

Sponsor Liz KruegerSD-28+3 co-sponsorsAffects Housing
Status
In Senate Committee
Housing, Construction And Community Development
Impact
7/10
Significant
Passage
0%

Bill progress

Step 2 of 7

In committee · Housing, Construction And Community Development

What's happening

This bill amends tenant protections during building demolitions under rent stabilization, requiring relocation assistance, stipends, and additional oversight.

Why it matters

  1. Strengthens oversight and transparency. The bill requires building owners to prove to the Division of Housing and Community Renewal (DHCR) that a building is truly in substandard or seriously deteriorated condition, and to provide approved demolition plans and, if possible, necessary permits before they can apply for demolition. This adds a layer of accountability to prevent unjustified demolitions.

  2. Expands and clarifies tenant relocation options. Tenants facing displacement due to demolition must be offered a choice, including relocation to an equivalent or superior rent-stabilized unit nearby, interim housing at no extra cost until a new unit is available, or direct financial compensation. This helps ensure tenants are not left with inadequate or unaffordable alternatives.

  3. Introduces substantial financial protections for tenants. The bill mandates either a $5,000 stipend for tenants who vacate on time, or—if the new housing is more expensive—a stipend equal to the rent difference multiplied by 72 months (six years), or an amount based on a new DHCR demolition stipend chart. This aims to buffer tenants from steep rent increases and the costs of moving.

  4. Applies retroactively to current and pending cases. The new protections would apply not only to future demolition situations but also to tenants currently in possession, as well as to any ongoing legal or administrative proceedings. This broad applicability could immediately impact many tenants facing demolition-related displacement.

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Who cares

Headline styles

Protect Renters Facing Demolition

Plain English, a few words. Used as the page title.

Sponsors

Primary sponsor
Liz Krueger

Senator · Senate District 28

Chair, Finance

History

  1. Referred to housing, construction and community development
  2. Referred to housing, construction and community development

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.

A725Assembly

Protect Renters in Demolitions

In Assembly Committee · Housing · Sponsor Deborah Glick

Impact 7 · Significant0% to pass

Full text

2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗

STATE OF NEW YORK

1920

2019-2020 Regular Sessions

IN SENATE

January 17, 2019

Introduced by Sens. KRUEGER, HOYLMAN, MONTGOMERY -- 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 administrative code of the city of New York, in relation to renewal of a lease under the stabilization code

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

Section 1. Subparagraph (a) of paragraph 9 of subdivision c of section 26-511 of the administrative code of the city of New York is amended to read as follows:

(a) (1) where [he or she] the owner has established to the satisfaction of the division of housing and community renewal, after a hearing at which all parties may present evidence that the subject building is in a substandard or seriously deteriorated condition, and that the owner intends in good faith to demolish the building and [has obtained a permit therefor from the department of buildings] submits proof prior to filing the application with the division of housing and community renewal that plans and if possible, the necessary permits, for the undertaking have been approved by and obtained from the department of buildings. Such application shall be filed at least ninety days prior to the expiration of the lease term; for the purpose of this subparagraph, "demolish" means the complete razing of the entire building, including all exterior walls, in order to construct a new building with the same or greater number of rental housing units;

(2) The order granting the owner's demolition application shall provide that the owner must, at the tenant's option, either: (i) relocate the tenant to an equivalent or superior rent stabilized housing accommodation in a closely proximate area, or if a new residential building is being constructed on the site provide the tenant with suitable interim housing at no additional cost until a unit is available in the new building; provide that the amount of rent charged for the unit

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD05675-01-9

S. 1920 2

shall be at the same or lower legal regulated rent; and provide the tenant, in addition to reasonable moving expenses, payment of a five thousand dollar stipend, provided the tenant vacates on or before the vacate date required by the final order; or (ii) provide relocation of the tenant to a suitable housing accommodation at a rent in excess of that for the subject housing accommodation; provide the tenant, in addition to reasonable moving expenses, a stipend equal to the difference of the rent charged at the housing accommodation being vacated and the rent charged for the housing accommodation to which the tenant is relocating, multiplied by seventy-two months, provided the tenant vacates on or before the vacate date required by the final order; or (iii) pay the tenant a stipend which shall be the difference between the tenant's current rent and an amount to be calculated using the demolition stipend chart, created by the division of housing and community renewal, multiplied by seventy-two months; or

§ 2. This act shall take effect immediately and shall apply to any tenant in possession on or after such effective date and to any action or proceeding pending in any court and to any application, complaint, or proceeding pending before an administrative agency on such effective date, as well as to any action or proceeding commenced thereafter; provided, however that the amendments to subparagraph (a) of paragraph 9 of subdivision c of section 26-511 of chapter 4 of title 26 of the administrative code of the city of New York made by section one of this act shall expire on the same date as such law expires and shall not affect the expiration of such law as provided under section 26-520 of such law.

Reflowed for reading: line numbers and page breaks removed. Cite the official text.

Sponsor's memo

Title of bill

An act to amend the administrative code of the city of New York, in relation to renewal of a lease under the stabilization code

Purpose or general idea of bill

The purpose of this bill is to clarify the original intent of the demo- lition provision of the Rent Stabilization Law, and to prohibit building owners from using demolition applications to evict rent stabilized tenants without actually demolishing their buildings.

Summary of specific provisions

Section 1 of the bill amends subparagraph (a) of paragraph 9 of subdivi- sion c of section 26-511 of the administrative code of the city of New York, constituting a provision of the rent stabilization law of nineteen hundred sixty-nine. The amendments define building demolition, establish new procedures at the division of housing and community renewal for demolition applications, and grant rent stabilized tenants expanded options in cases where demolition applications are approved.

Section 2 provides for the effective date.

Justification

It is in the State's economic and social interest that an adequate supply of affordable housing be available. But as development pressures continue to drive the competitive real estate market in New York City and surrounding counties, there has been an increasing loss of afforda- ble housing units. Eager to increase profits on rent stabilized housing units in particular, building owners have utilized a variety of means to turn these units into more profitable luxury housing or commercial units. The result has been that each year, thousands of rent-stabilized units are permanently removed from the housing stock. This trend contin- ues as owners seek new ways to manipulate the letter and spirit of the law in order to more expeditiously eliminate the rent stabilized units in a building.

This bill addresses one method by which owners are increasingly attempt- ing in order to deregulate rent-stabilized apartments. While the Legis- lature intended that the demolition provision of the Rent Stabilization law permit owners to demolish old, dilapidated and dangerous housing in order to replace it with new, safe housing, some owners are attempting to redefine demolition as simple renovations where entire floors are left intact, outer walls are untouched, or major structural elements remain in place. Such uses of the term "demolition" are inconsistent with both its common meaning and the meaning that was intended by the Legislature. This bill will clarify the definition of "demolition", making it consistent with its common and intended definitions. Accord- ingly, it will be clear that owners shall not be permitted to eliminate rent-stabilized housing units by manipulating the demolition provision in this manner.

Fiscal implications

To be determined.

Legislative history

2017-2018: S.3193/A.5901 2015-2016: S.2856/A.3602 2013-2014: S.3176/A.3904 2011-2012: S.906/A.3596 2009-2010: S.3854-13/A.2558-13 2008: S.7233

Effective date

This act shall take effect immediately and shall apply to any action or proceeding pending in any court and to any application, complaint, or proceeding pending before an administrative agency on such effective date, as well as to any action or proceeding commenced thereafter; provided, however that the amendments to subparagraph (a) of paragraph 9 of subdivision c of section 26-511 of the rent stabilization law of nineteen hundred sixty-nine made by section one of this act shall expire of such law as provided under section 26-520 of the administrative code of the city of New York.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.