The Real Deal New York

New bill aims to ban hotel owners from going condo

Those who do want to convert their properties would have to apply for a waiver

December 18, 2014 12:04PM

From left: Park Lane Hotel, Corey Johnson and the Beekman Hotel and Condominiums

From left: Park Lane Hotel, Corey Johnson and the Beekman Hotel and Condominiums

A new bill being introduced to the City Council would prohibit hotel owners from turning their buildings into luxury condominium towers.

The measure would apply to those who own hotels with more than 150 rooms and would prevent them from turning more than 20 percent of the units into apartments. The ban would cover more than 100 buildings in the city.

Council member Corey Johnson is sponsoring the measure, the New York Daily News reported.

In the last 11 years, 3,600 rooms at 14 properties have gone condo.

Hotel owners who do want to convert their properties would have to apply for a waiver from a board. That panel has yet to be created. [NYDN] — Claire Moses

  • DumbPolicy

    Why?

    • Guest

      I asked the same question. TRD left out (the key fact) that it’s a hotel union issue. If 1,800 union jobs were lost due to the loss of 3,600 rooms, those were some super inefficient hotels. Seems unlikely. Separately, hotels are being developed at a ridiculous pace citywide. Seems like union nonsense.

      • DumbPolicy

        Nothing that happens in this city ever surprises me at this point.

      • JEng

        so the key is to have less than 149 rooms? so can the ones over the limit just change their configurations and create bigger suites to shrink the number of rooms down to the necessary 149?

  • Hanz Bregman

    This is a stupid policy that is put up only because of the city Unions. They know once you go condo, “Union Jobs” will be lost and they wont have a place to suck the lifeblood out of a project anymore.

  • Urine Idiot

    the unions are just making everyone their puppets. And these idiots we have in office that are supposed to be leading are just following their lead. This is the dumbest bill ive seen trying to be passed.

  • comment flagged

    What’s missing from both of these articles is the amount of hotels currently under construction and renovation. Anyone who reads the Real Deal regularly, or just walks around midtown can see how many hotels have opened in the past 15 years.

    See this article, for example, which is already three years old. http://www.nytimes.com/2012/10/10/realestate/commercial/a-hotel-building-boom-in-new-york.html?pagewanted=all&_r=0

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