Senate Bill S8574

2017-2018 Legislative Session

Requires property owners to dedicate certain residential units to rent regulated status following demolition and new construction or substantial renovation

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Archive: Last Bill Status - In Senate Committee Housing, Construction And Community Development Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Date of Action	Assembly Actions - Lowercase Senate Actions - UPPERCASE
May 10, 2018	referred to housing, construction and community development

co-Sponsors

2017-S8574 (ACTIVE) - Details

Current Committee:: Senate Housing, Construction And Community Development
Law Section:: New York City Administrative Code
Laws Affected:: Amd §26-512, NYC Ad Cd; amd §6, Emerg Ten Prot Act of 1974; amd §5, Emerg Hous Rent Cont L
Versions Introduced in Other Legislative Sessions:: 2019-2020: S2252
2021-2022: S367
2023-2024: S1944
2025-2026: S3199

2017-S8574 (ACTIVE) - Summary

Requires property owners to dedicate certain residential units to rent regulated status following demolition and new construction or substantial renovation.

2017-S8574 (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S8574

SPONSOR: HOYLMAN
 
TITLE OF BILL:

An act to amend the administrative code of the city of New York, the
emergency tenant protection act of nineteen seventy-four and the emer-
gency housing rent control law, in relation to requiring property owners
to dedicate certain residential units to rent regulated status following
demolition and new construction or substantial renovation

 
PURPOSE OF BILL:

This bill removes one of the main tools in the corrupt landlord's tool-
box by requiring that if a landlord renders rent regulated units uninha-
bitable by way of construction, and meets certain criterion, then the
landlord must rededicate an equal number of units of equal size to rent
regulation status. Thus eliminating any incentive for a landlord to even
attempt to evict tenants by means of aggressive and unbearable
construction.

SUMMARY OF PROVISIONS:

Section 1 amends Section 26-512 of the administrative code of the city
of New York by adding a subdivision g that provides if a property holder
practices demolition or extensive regulation that leads all or a portion
of rent regulated tenants to vacate then the property holder must dedi-
cate another unit of equal size to rent regulation status if one of the
following conditions is present: (1) the renovation was conducted after
the owner filed a building permit falsely reporting there were no
tenants in the building, (2) negligence of the property owner lead to
the demolition or renovation, or (3) illegal code violations necessi-
tated the demolition or renovation.

Section 2 amends Section 6 of section 4 of chapter 576 of the laws of
1974 constituting the emergency tenant protection act by adding a new
subdivision h that provides if a property holder practices demolition or
extensive regulation that leads all or a portion of rent regulated
tenants to vacate then the property holder must dedicate another unit of
equal size to rent regulation status if one of the following conditions
is present: (1) the renovation was conducted after the owner filed a
building permit falsely reporting there were no tenants in the building,
(2) negligence of the property owner lead to the demolition or reno-
vation, or (3) illegal code violations necessitated the demolition or
renovation.

Section 3 amends Section 5 of chapter 274 of the laws of 1946 constitu-
tion the emergency housing rent control law by adding a new subdivision
10 that provides if a property holder practices demolition or extensive
regulation that leads all or a portion of rent regulated tenants to
vacate then the property holder must dedicate another unit of equal size
to rent regulation status if one of the following conditions is present:
(1) the renovation was conducted after the owner filed a building permit
falsely reporting there were no tenants in the building, (2) negligence
of the property owner lead to the demolition or renovation, or (3) ille-
gal code violations necessitated the demolition or renovation.

Section 4 establishes when this law shall take effect.

 
JUSTIFICATION:

Unscrupulous landlords try to turn a profit on properties by displacing
rent-regulated tenants through the use of major construction as a
harassment technique and subsequently raising rent prices. These tenants
tend to be disproportionately of very low to moderate income. It was
revealed that White House senior advisor Jared Kushner's real estate
company pushed vulnerable tenants out of buildings by utilizing late
night construction, sawdust, and rat infestations between 2013 and 2016
in order to turn rent regulated units into ones that could be sold for
market value.

Sadly, this is a widespread practice that severely limits the ever-di-
minishing amount of affordable housing in. New York. For far too many
New Yorkers there are tales of lead dust in the air, incessant jackham-
mering, loss of power and heat and gas shutoffs in the winter that
undermine quality of life to such a degree that tenants feel they have
no option but to leave apartments they have long called home.

Under this bill whenever a rent-regulated apartment is rendered uninha-
bitable in the manner described, the landlord must supply another rent-
regulated unit. Thus removing any ability to turn a profit through such
means and therefore stopping tenants from living in adverse conditions
and protecting communities from unethical, abusive landlords.

 
LEGISLATIVE HISTORY:

New Bill.

 
EFFECTIVE DATE:
This act shall take effect immediately; provided, however, that: a.  the
amendments to section 26-512 of chapter 4 of title 26 of the administra-
tive 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; b.
the amendments to section 6 of section 4 of the emergency tenant
protection act of nineteen seventy-four made by section two of this act
shall expire on the same date as such act expires and shall not affect
the expiration of such act as provided in section 17 of chapter 576 of
the laws of 1974; and c. the amendments to section 4 of the emergency
housing rent control law made by section three of this act shall expire
on the same date as such law expires and shall not affect the expiration
of such law as provided in subdivision 2 of section 1 of chapter 274 of
the laws of 1946.

2017-S8574 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8574
 
                             I N  S E N A T E
 
                               May 10, 2018
                                ___________
 
 Introduced  by  Sen. HOYLMAN -- 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, the
   emergency tenant protection act of nineteen seventy-four and the emer-
   gency housing rent control law,  in  relation  to  requiring  property
   owners  to dedicate certain residential units to rent regulated status
   following demolition and new construction or substantial renovation
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  26-512 of the administrative code of the city of
 New York is amended by adding a new subdivision g to read as follows:
   G. NOTWITHSTANDING ANY PROVISION OF LAW, RULE  OR  REGULATION  TO  THE
 CONTRARY,  IF ALL OR A PORTION OF THE RENT REGULATED UNITS IN A RESIDEN-
 TIAL BUILDING ARE RENDERED UNINHABITABLE OR ARE VACATED DUE  TO  DEMOLI-
 TION  AND  NEW CONSTRUCTION OR TO SUBSTANTIAL RENOVATION CONDUCTED BY OR
 ON BEHALF OF THE PROPERTY OWNER  UNDER  ANY  OF  THE  FOLLOWING  CIRCUM-
 STANCES,   THE   PROPERTY  OWNER  SHALL,  UPON  COMPLETION  OF  THE  NEW
 CONSTRUCTION OR RENOVATION OF THE BUILDING, DEDICATE TO  RENT  REGULATED
 STATUS AN EQUAL NUMBER OF UNITS, OF SIZES EQUIVALENT TO THOSE VACATED OR
 RENDERED  UNINHABITABLE,  AT  THE  RENT  AMOUNT  ALLOWABLE FOR THE UNITS
 EXISTING PRIOR TO THE DEMOLITION OR RENOVATION:
   (1) DEMOLITION OR SUBSTANTIAL RENOVATION CONDUCTED AFTER THE  PROPERTY
 OWNER  FILED AN APPLICATION FOR A BUILDING PERMIT WITH THE DEPARTMENT OF
 BUILDINGS FALSELY  REPORTING  THAT  NO  TENANTS  OCCUPIED  THE  BUILDING
 PROPOSED  FOR  DEMOLITION  OR  SUBSTANTIAL  RENOVATION, WHEN TENANTS, IN
 FACT, DID OCCUPY THE BUILDING; OR
   (2) DEMOLITION OR  SUBSTANTIAL  RENOVATION  NECESSITATED  DUE  TO  THE
 NEGLIGENCE OF THE OWNER AND/OR LANDLORD; OR
   (3)  DEMOLITION OR SUBSTANTIAL RENOVATION NECESSITATED BY ILLEGAL CODE
 VIOLATIONS.
   § 2. Section 6 of section 4 of  chapter  576  of  the  laws  of  1974,
 constituting  the  emergency  tenant protection act of nineteen seventy-
 four, is amended by adding a new subdivision h to read as follows:
   H. NOTWITHSTANDING ANY PROVISION OF LAW, RULE  OR  REGULATION  TO  THE
 CONTRARY,  IF ALL OR A PORTION OF THE RENT REGULATED UNITS IN A RESIDEN-

 TIAL BUILDING ARE RENDERED UNINHABITABLE OR ARE VACATED DUE  TO  DEMOLI-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD15295-01-8

 S. 8574                             2
 
 TION  AND  NEW CONSTRUCTION OR TO SUBSTANTIAL RENOVATION CONDUCTED BY OR
 ON BEHALF OF THE PROPERTY OWNER  UNDER  ANY  OF  THE  FOLLOWING  CIRCUM-
 STANCES,   THE   PROPERTY  OWNER  SHALL,  UPON  COMPLETION  OF  THE  NEW
 CONSTRUCTION  OR  RENOVATION OF THE BUILDING, DEDICATE TO RENT REGULATED
 STATUS AN EQUAL NUMBER OF UNITS, OF SIZES EQUIVALENT TO THOSE VACATED OR
 RENDERED UNINHABITABLE, AT THE  RENT  AMOUNT  ALLOWABLE  FOR  THE  UNITS
 EXISTING PRIOR TO THE DEMOLITION OR RENOVATION:
   (1)  DEMOLITION OR SUBSTANTIAL RENOVATION CONDUCTED AFTER THE PROPERTY
 OWNER FILED AN APPLICATION FOR A BUILDING PERMIT WITH THE DEPARTMENT  OF
 BUILDINGS  FALSELY  REPORTING  THAT  NO  TENANTS  OCCUPIED  THE BUILDING
 PROPOSED FOR DEMOLITION OR  SUBSTANTIAL  RENOVATION,  WHEN  TENANTS,  IN
 FACT, DID OCCUPY THE BUILDING; OR
   (2)  DEMOLITION  OR  SUBSTANTIAL  RENOVATION  NECESSITATED  DUE TO THE
 NEGLIGENCE OF THE OWNER AND/OR LANDLORD; OR
   (3) DEMOLITION OR SUBSTANTIAL RENOVATION NECESSITATED BY ILLEGAL  CODE
 VIOLATIONS.
   §  3.  Section  5 of chapter 274 of the laws of 1946, constituting the
 emergency housing rent control law, is amended by adding a new  subdivi-
 sion 10 to read as follows:
   10.  NOTWITHSTANDING  ANY  PROVISION OF LAW, RULE OR REGULATION TO THE
 CONTRARY, IF ALL OR A PORTION OF THE RENT REGULATED UNITS IN A  RESIDEN-
 TIAL  BUILDING  ARE RENDERED UNINHABITABLE OR ARE VACATED DUE TO DEMOLI-
 TION AND NEW CONSTRUCTION OR TO SUBSTANTIAL RENOVATION CONDUCTED  BY  OR
 ON  BEHALF  OF  THE  PROPERTY  OWNER  UNDER ANY OF THE FOLLOWING CIRCUM-
 STANCES,  THE  PROPERTY  OWNER  SHALL,  UPON  COMPLETION  OF   THE   NEW
 CONSTRUCTION  OR  RENOVATION OF THE BUILDING, DEDICATE TO RENT REGULATED
 STATUS AN EQUAL NUMBER OF UNITS, OF SIZES EQUIVALENT TO THOSE VACATED OR
 RENDERED UNINHABITABLE, AT THE  RENT  AMOUNT  ALLOWABLE  FOR  THE  UNITS
 EXISTING PRIOR TO THE DEMOLITION OR RENOVATION:
   (A)  DEMOLITION OR SUBSTANTIAL RENOVATION CONDUCTED AFTER THE PROPERTY
 OWNER FILED AN APPLICATION FOR A BUILDING PERMIT WITH THE DEPARTMENT  OF
 BUILDINGS  FALSELY  REPORTING  THAT  NO  TENANTS  OCCUPIED  THE BUILDING
 PROPOSED FOR DEMOLITION OR  SUBSTANTIAL  RENOVATION,  WHEN  TENANTS,  IN
 FACT, DID OCCUPY THE BUILDING; OR
   (B)  DEMOLITION  OR  SUBSTANTIAL  RENOVATION  NECESSITATED  DUE TO THE
 NEGLIGENCE OF THE OWNER AND/OR LANDLORD; OR
   (C) DEMOLITION OR SUBSTANTIAL RENOVATION NECESSITATED BY ILLEGAL  CODE
 VIOLATIONS.
   § 4. This act shall take effect immediately; provided, however, that:
   a.  the  amendments  to section 26-512 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;
   b.  the  amendments  to section 6 of section 4 of the emergency tenant
 protection act of nineteen seventy-four made by section two of this  act
 shall  expire  on the same date as such act expires and shall not affect
 the expiration of such act as provided in section 17 of chapter  576  of
 the laws of 1974; and
   c.  the  amendments to section 4 of the emergency housing rent control
 law made by section three of this act shall expire on the same  date  as
 such  law  expires  and  shall  not affect the expiration of such law as
 provided in subdivision 2 of section 1 of chapter 274  of  the  laws  of
 1946.

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Senate Bill S8574

Sponsored By

Archive: Last Bill Status - In Senate Committee Housing, Construction And Community Development Committee

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co-Sponsors

2017-S8574 (ACTIVE) - Details

2017-S8574 (ACTIVE) - Summary

2017-S8574 (ACTIVE) - Sponsor Memo

2017-S8574 (ACTIVE) - Bill Text download pdf

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Sponsored By

Brad Hoylman-Sigal

Archive: Last Bill Status - In Senate Committee Housing, Construction And Community Development Committee

Actions

co-Sponsors

Jamaal T. Bailey

Jesse Hamilton

Liz Krueger

Luis R. Sepúlveda

2017-S8574 (ACTIVE) - Details

2017-S8574 (ACTIVE) - Summary

2017-S8574 (ACTIVE) - Sponsor Memo

2017-S8574 (ACTIVE) - Bill Text download pdf

Comments