What's happening
This bill requires New York City to maintain a public registry of deeds with restrictive covenants and check it before issuing permits.
Why it matters
Creates a centralized, public registry. By requiring the city to maintain a registry of deeds with restrictive covenants, this bill makes it easier for the public, property owners, and authorities to know where such limitations exist, potentially preventing unintentional violations and improving transparency in real estate transactions.
Links permitting to covenant compliance. Before issuing any permit, city employees must check the registry for relevant restrictive covenants, ensuring that new projects or modifications do not violate private agreements embedded in property deeds, and thus respecting longstanding neighborhood or association rules.
Shifts enforcement responsibility. If a restrictive covenant isn’t filed in the new registry, property owners or associations lose the right to claim damages from the city for failure to enforce those restrictions, incentivizing proper registration and reducing the city’s legal liability for missed covenants.
Preserves private legal rights. The bill explicitly states that it does not limit the ability of owners or associations to enforce restrictive covenants through the courts, maintaining private parties’ rights to protect their interests even if the city cannot or does not act.
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Who cares
Headline styles
Track Restrictive Deeds Citywide
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to housing, construction and community development
- 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.
Track Deeds With Restrictions
In Assembly Committee · Cities · Sponsor Edward Braunstein
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2551
2019-2020 Regular Sessions
IN SENATE
January 28, 2019
Introduced by Sen. STAVISKY -- 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 the filing of deeds containing restrictive covenants
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The administrative code of the city of New York is amended by adding a new section 27-106 to read as follows:
§ 27-106 Registry of deeds with restrictive covenants. (a) The department shall maintain a registry of all deeds containing restrictive covenants that are filed with the department. Any such filing shall not be deemed as acceptable in lieu of any other filing requirements mandated or permitted under any other provision of law, rule or regulation. A deed containing one or more restrictive covenants may be filed with the department for inclusion in this registry by any owner or homeowner association whose property is subject to a restrictive covenant and/or by or on behalf of a neighborhood association or civic association whose area of geographic concern, as set forth in its certificate of incorporation, charter or other relevant organizing document, encompasses the property that is the subject of such restrictive covenant. The filing shall be accompanied by a notarized registration statement acknowledging the authenticity of such deed. This registry shall be made available to the public during regular business hours.
(b) Prior to the issuance of any permit, employees of the department shall search the registry created pursuant to subdivision (a) of this section for the purpose of determining whether any deed listed in this registry contains any restrictive covenant that would be violated by the issuance of the requested permit or the completion of the project for which such permit is sought. If a violation of any such restrictive covenant would occur, then the department shall not issue such permit
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02653-01-9
S. 2551 2
except as authorized by order of a court of competent jurisdiction. Any owner or homeowner association whose property is the subject of such restrictive covenant, or any neighborhood association or civic association whose area of concern encompasses the property that is the subject of such restrictive covenant, shall be barred from collecting damages against the city for the failure to enforce the restrictions contained in such restrictive covenant if such restrictive covenant has not been filed with the department. The department shall promulgate any additional rules for the implementation of this section.
(c) Nothing in this section shall be interpreted to limit or reduce the rights of any owner or homeowner association whose area of geographic concern encompasses the property that is subject of such restrictive covenant or covenants to initiate and maintain legal action to enforce any such covenant or covenants.
§ 2. This act shall take effect immediately.
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 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 life- style. 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
2013-2014: A.8615/S.6190 - Referred to Cities.
2015-2106: A.660/S.1099 - Referred to Cities.
2017-2018: A.1538/S.1272 - Referred to Cities.
Fiscal implications
To be determined.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.