REBNY revives fight against hotel-to-condo conversion ban

Organization is appealing June decision

New York /
Oct.October 04, 2016 10:05 AM

The Real Estate Board of New York is continuing its fight against a law that bars certain hotels from converting space into residential condo units.

The organization is appealing the dismissal of its lawsuit, which sought to overturn a law that — for the next two years — prevents hotels with more than 150 rooms from converting more than 20 percent of their space to non-hotel use, Politico reported. New York State Supreme Court Justice Margaret Chan ruled in June that the lawsuit didn’t have legal standing.

REBNY argues that the law impacts more than 170 hotels in the city and that its members are taking a financial hit from the law (Local Law 50).

“It deprives many real estate owners, real estate brokers and other allied professionals involved in the real estate industry of the opportunity to convert hotel rooms to other uses or to participate in transactions related to such conversions,” the appeal states. “These injuries are not speculative.”

According to the appeal, Peter Hauspurg, a founder and CEO of Eastern Consolidated TRData LogoTINY, claimed the brokerage lost out on the sale of a “large Manhattan hotel” due to Local Law 50’s conversion ban. [Politico] — Kathryn Brenzel 


Related Articles

arrow_forward_ios
John Banks
High expectations: A look at John Banks’ 4 years at REBNY
High expectations: A look at John Banks’ 4 years at REBNY
John Banks
John Banks to step down as REBNY president
John Banks to step down as REBNY president
REBNY Awards
Newmark Knight Frank wins REBNY retail award for Alamo Drafthouse deal in FiDi
Newmark Knight Frank wins REBNY retail award for Alamo Drafthouse deal in FiDi
NYC hotels hoping for holiday business swell likely to be disappointed
NYC hotels hoping for holiday business swell likely to be disappointed
NYC hotels hoping for holiday business swell likely to be disappointed
Clockwise from top left: 2875 Morningside Heights, 38-21 12th Street in Long Island City, 46 Nevins Street in Brooklyn (Google Maps)
Investors flip NYC industrial, hotel, office buildings in pre-holiday frenzy
Investors flip NYC industrial, hotel, office buildings in pre-holiday frenzy
Small developments dominate as new building filings return to pre-pandemic levels
Small developments dominate as new building filings return to pre-pandemic levels
Small developments dominate as new building filings return to pre-pandemic levels
Brookfield weighs $1.5B hotel portfolio sale
Brookfield weighs $1.5B hotel portfolio sale
Brookfield weighs $1.5B hotel portfolio sale
Ty Warner and the Four Seasons at 57 East 57th Street (Getty, Google Maps)
Midtown’s Four Seasons caught in tiff between owner and hotel brand
Midtown’s Four Seasons caught in tiff between owner and hotel brand
arrow_forward_ios

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

Loading...