Pending bill could help landlords avoid backrent claims

New York /
May.May 02, 2011 03:11 PM

A bill pending in the New York State Senate would allow landlords who had improperly deregulated apartments while receiving tax benefits from the city to buy their way out of paying tax breaks, free themselves from back-rent claims and keep their apartments at market-rate rents, according to the New York Times.

The bill comes as a possible solution to a ruling by the New York Court of Appeals in 2009 stating that the owners of Stuyvesant Town and Peter Cooper Village complexes had falsely deregulated apartments. About 40,000 other apartments in Manhattan were similarly affected by the ruling.

There is still uncertainly surrounding the correct rents for these apartments and how much the tenants should receive in rebates.

If passed, the bill could generate between $100 million to $300 million for the city, said Steven Spinola, president of the Real Estate Board of New York. Opponents claim the bill rewards landlords for breaking the law. [NYT]


Related Articles

arrow_forward_ios
Blackstone CEO Steven Schwartzman and Stuyvesant Town (Credit: Getty Images)
After authorities vowed review of Stuy Town deal, Blackstone changes course on vacancies
After authorities vowed review of Stuy Town deal, Blackstone changes course on vacancies
New York City mayor Eric Adams and 936 Lafayette Ave (Getty, Google Maps)
Here’s how much NYC mayor made from his Brooklyn home
Here’s how much NYC mayor made from his Brooklyn home
Michigan developer Scott Chappelle (Scott Chappelle, Illustration by The Real Deal; Getty)
Michigan developer sentenced to prison for tax evasion
Michigan developer sentenced to prison for tax evasion
From left: Boston Mayor Michelle Wu and South Boston Senator Nick Collins with Boston City Hall
Controversial transfer tax bill advances in Boston
Controversial transfer tax bill advances in Boston
Elizabeth Crowley, Kristen Gonzalez, Conrad Tillard, Jabari Brisport, Dan Goldman, Carlina Rivera (Elizabeth Crowley for State Senate, Kristen for New York, Tillard for Senate 25th, Jabari for Senate, Dan Goldman for New York, Carlina for New York)
Industry’s fingers crossed as voters decide socialists’ fate
Industry’s fingers crossed as voters decide socialists’ fate
34-24 Hunters Point Ave
City accuses its landlord of gaming property taxes
City accuses its landlord of gaming property taxes
Senator Chuck Schumer and Senator Joe Manchin (Illustration by Kevin Cifuentes for The Real Deal with Getty)
Manchin-Schumer deal closes real estate tax loophole
Manchin-Schumer deal closes real estate tax loophole
L+M’s Ron Moelis and 180 Broome Street (L+M, City Realty, iStock)
L+M accused of overcharging tenants at 421a building
L+M accused of overcharging tenants at 421a building
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...