Search OpenLegislation Statutes

This entry was published on 2019-12-20
The selection dates indicate all change milestones for the entire volume, not just the location being viewed. Specifying a milestone date will retrieve the most recent version of the location before that date.
Manufactured home parks; rent increases
Real Property (RPP) CHAPTER 50, ARTICLE 7
* § 233-b. Manufactured home parks; rent increases. 1. The provisions
of this section shall apply to all manufactured homes located in a
manufactured home park as defined in section two hundred thirty-three of
this article, however manufactured homes located in manufactured home
parks that are subject to a regulatory agreement with a governmental
entity to preserve affordable housing or that otherwise limits rent
increases are exempt from the provisions of this section.

2. Increases in rent shall not exceed a three percent increase above
the rent since the current rent became effective. In this section, rent
shall mean all costs, including all rent, fees, charges, assessments,
and utilities. Notwithstanding the above, a manufactured home park owner
is permitted to increase the rent in excess of three percent above the
rent since the current rent became effective, due to:

(a) Increases in the manufactured home park owner's operating

(b) Increases in the manufactured home park owner's property taxes on
such park.

(c) Increases in costs which are directly related to capital
improvements in the park.

3. An increase above three percent may be challenged by an aggrieved
manufactured homeowner as unjustified. Multiple aggrieved manufactured
homeowners may join in the same action where there is a common question
of law and fact.

4. Within ninety days of the proposed increase, an aggrieved
manufactured homeowner may challenge such increase by filing an action
in the court of appropriate subject matter jurisdiction where the real
property is located seeking a declaratory judgment that the rent
increase is unjustifiable.

5. In any proceeding under this section there shall be an irrebuttable
presumption that a rent increase is justifiable when the amount of such
increase does not exceed the tenant's pro-rata share in operating costs
and property taxes for the manufactured home park in which the
manufactured home owner resides.

6. (a) In determining whether a rent increase is permissible, the
court shall consider the provisions of paragraphs (a), (b) and (c) of
subdivision two of this section. Notwithstanding the above, rent
increases shall not exceed six percent above the rent since the current
rent became effective, except upon the approval of a temporary hardship
application by the court. In addition to the provisions of this
paragraph and paragraphs (b) and (c) of this subdivision the court shall
take into account the following factors when determining whether to
grant a temporary hardship application:

(i) The amount of increase being sought by the park owners;

(ii) The ability of the manufactured home owner to pay such increase
including whether the increase would have an unreasonable adverse impact
on the manufactured home owner;

(iii) The amount of time and notice the manufactured home owner may
need in order to pay a temporary rent increase;

(iv) The duration the park owners intend for the temporary rent
increase to last;

(v) The cause of the hardship the rent increase is being requested to
alleviate, including whether the hardship was due to owner negligence
and malfeasance;

(vi) The ability of the park owners to utilize other means besides a
rent increase to alleviate said hardship;

(vii) The likelihood that the property the manufactured home park is
located on will go into foreclosure if a temporary rent increase above
six percent is not granted;

(viii) Any other factor that will jeopardize the ability of the park
to legally operate.

(b) A court order approving a temporary hardship application shall
state for each manufactured home owner:

(i) The amount of the rent increase;

(ii) The date the rent increase is to take effect;

(iii) The date the increase is to end;

(iv) The amount the rent will return to; and

(v) The court's findings as to the factors necessitating a temporary

(c) Upon a finding by the court that the manufactured home park should
be granted a hardship exemption, the amount of any rent increase shall
be the minimum amount to alleviate the hardship. An order granting a
temporary rent increase shall not exceed six months. The order must be
served on the manufactured home owners and all known legal tenants
pursuant to the rules of civil procedure within thirty days of the court
order, the cost of which shall be on the manufactured home park owner.

7. The court may condition its approval of any rent increase upon the
redress of conditions in the manufactured home park which threaten the
health and safety of the manufactured home tenant.

8. While a challenge to a rent increase pursuant to this section is
pending, manufactured home park tenants shall pay the amount of the rent
increase to the manufactured home park owner who shall hold such amounts
in escrow pending a mediated agreement between the parties or a final
decision from the courts, provided, however, that no manufactured home
park tenant shall be evicted for non-payment of the rent increase prior
to the final disposition of the matter by the court in the county where
the manufactured home park is located. Failure by the manufactured home
park owner to place such challenged rent increase in escrow shall be
punishable by a civil penalty of not more than five hundred dollars. If
the petitioners appeal, the manufactured home park owner may remove the
rent increase funds from escrow, mingle such funds with any other funds,
and commence a nonpayment proceeding in the court of appropriate
jurisdiction against a tenant who has not paid the increase of rent. If
the court enters a final judgment declaring the rent increases or any
part thereof unjustifiable and impermissible, the manufactured home park
owner shall refund the amount of the impermissible increase to each
tenant household.

* NB There are 2 § 233-b's