The New York City Council has passed a new legislation called the “Rent Transparency Act,” aimed at helping tenants of rent-stabilized units better understand their rights and legal rent amounts.
Councilmember Sandy Nurse, who sponsored the bill, highlighted that many tenants are unaware of how to determine their legal rents, which has allowed unscrupulous landlords to commit illegal rent overcharges and deregulate units.
The Act will mandate landlords of buildings containing regulated units to post bilingual signs in common areas, providing clear information about the rent stabilization status of the apartments and informing tenants that they can obtain their rent history from the state.
With approximately 1 million rent-stabilized apartments in New York, tenants are entitled to various protections, including limits on annual rent increases. However, identifying these units can prove challenging for residents.
The new requirement aims to enhance transparency and empower tenants, especially since the current process for checking whether a unit is rent-regulated relies heavily on a tenant’s initiative.
Nurse stated, “Many tenants living in rent stabilized units don’t know how to determine their legal rent, and in turn, bad landlords have gotten away with illegal rent overcharges and have illegally deregulated units and whole buildings.”
At a recent City Council meeting, the Rent Transparency Act received unanimous support and was positioned as a necessary response to tenants’ knowledge gaps regarding their housing rights.
In New York City, the criteria for rent stabilization include apartments in buildings constructed before 1974 that have six or more rental units, or those whose owners receive tax incentives for maintaining affordability.
Landlords are legally obligated to register their regulated units annually and must share the registration information with their tenants. However, many landlords fail to comply with these requirements, making it difficult for tenants to safeguard against overcharging.
The Real Estate Board of New York, which represents property owners and developers, opposed the bill during the City Council’s hearings, arguing that existing notifications and lease riders already inform tenants of their rights.
“Rent regulated housing owners are already subject to numerous notification requirements…every rent stabilized tenant receives a lease rider that provides this information,” the board remarked.
Despite their claims, Councilmember Nurse emphasized that not all landlords adhere to the rules, and many tenants remain in the dark about being overcharged unless they actively request their rent history from the state.
She illustrated this point through her personal experience: “I just went through my third lease renewal in which the landlord acted as if we hadn’t had the conversation several times and tried to jack up the rent well beyond what was legally allowed for a rent stabilized unit.”
In her case, Nurse submitted her rent history to the landlord, prompting them to correct the rental increase to the legally adjusted amount.
Nurse, understanding the complexities of New York City governance, noted her worry for the average tenant who may lack the information and resources to navigate these issues.
The newly enforced law is set to take effect by the end of the year, with the city’s Department of Housing, Preservation and Development responsible for distributing the notification signs to landlords.
The signs will include informative text in both English and Spanish, stating: “This building contains one or more units that are subject to the Rent Stabilization Law of 1969. To find out if your unit is registered as rent stabilized, contact the New York State Division of Housing and Community Renewal (DHCR).”
Additionally, the signs will inform tenants that owners are required to submit annual filings to the DHCR and provide each tenant with a copy of their unit’s registration.
Failure to register could result in penalties for landlords, holding them accountable to comply with the law.
According to Nurse, enforcement of the Rent Transparency Act will rely heavily on the involvement of tenants and inspections by staff from housing departments.
Ultimately, the Act aims to foster a more informed tenant base, combating illegal practices while enhancing rental housing stability in New York City.
image source from：https://citylimits.org/does-that-building-have-stabilized-apartments-itll-soon-be-easier-to-know/
