Gov. David A. Paterson today released a package of proposed changes
to New York rent laws today, including a measure that would make it
harder for landlords to remove apartments from rent stabilization.
Under current rules, landlords of a rent-stabilized apartment can
begin charging market rates once the apartment becomes vacant and the
monthly rent hits $2,000. Citing “a chaotic housing market,” the
governor is suggesting that the cap be raised to $3,000 a month. This
would mean that landlords of rent-stabilized apartments going for
$3,000 or less could increase rents only by incremental amounts set
annually by the city’s Rent Guidelines Board, often around 3 percent a
year.
“The $2,000 figure was established in 1993 and has never been
adjusted in the intervening 17 years,” a press release detailing the
proposals said. “This amount” — the $3,000 — “represents an adjustment
of the original threshold to reflect the change in the cost of living.”
The changes also included proposals that would affect an estimated
40,000 tenants whose rents could fall as a result of the State Court of
Appeals decision regarding Stuyvesant Town and Peter Cooper Village.
Last fall, the court found that the two housing complexes, on
Manhattan’s East Side, had improperly charged market rates on some
apartments while receiving tax breaks for making renovations. The
governor’s proposal would establish a procedure by which tenants of
apartments affected by the ruling could apply for rent decreases. If
landlords consented to the lower rents, they would not have to pay
additional penalties, as is currently the case when a landlord is found
to have overcharged a rent-regulated tenant.
The governor’s proposals are subject to approval by the State Legislature.
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