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For now, tenants in New York City\u2019s one million rent-stabilized apartments will not see hikes on leases that start after Oct. 1st. The rent freeze remains in place<\/a> for one- and two-year leases and renewals, even as a group of landlords are suing to reverse the decision<\/a> made by the Rent Guidelines Board earlier this year.\u00a0<\/p>\n Last week a judge said he would not commit to ruling on the legality of the rent freeze by today’s Oct. 1st deadline, when the freeze begins.\u00a0<\/p>\n According to The City Reporter,<\/a> Manhattan Supreme Court Judge Brendan Lantry said he was working as fast as possible and would make a decision in the case before the end of the year. \u201cI\u2019m not going to operate with a shotgun to my head,\u201d he said.\u00a0<\/p>\n Every June, the Rent Guidelines Board (RGB)\u2014a group of nine mayoral appointees\u2014votes on the permitted percentage increases in rent for stabilized tenants.<\/a> This year, after Zohran Mamdani\u2019s mayoral victory and his promise to freeze rents, the board approved a zero percent increase on both one- and two-year leases issued between Oct. 1st 2026 and Sept. 30th 2027.\u00a0<\/p>\n This prompted a group of landlords who own buildings in Queens, Staten Island, Brooklyn, and the Bronx to file a lawsuit<\/a> to get the decision reconsidered, calling the freeze unlawful and saying the board failed to act independently.\u00a0<\/p>\n As the Oct. 1st deadline approached, Judge Lantry ruled out a request from the landlords\u2019 lawyers to revert to the previous rent increases of 3 percent for one-year leases and 4.5 percent for two-year leases. Lantry said it was not in the court\u2019s authority, The Real Deal<\/a> reported.<\/p>\n The law requires rent-stabilized tenants to be offered lease renewals<\/a> no fewer than 90 days and no more than 150 days prior to the end of the lease. That means tenants that are due a renewal on or after Oct. 1st may have already received renewals.\u00a0<\/p>\n \u201cTenants are receiving renewal offers with the zero percent and signing and returning them and expecting that to be their increase for the next year or two depending on the term that they choose,\u201d said attorney Caitriona Fox at Himmelstein Gribben & Joseph, <\/a>which is participating in the case to keep the rent freeze.\u00a0<\/p>\n The advice for rent-stabilized tenants is to sign and renew that lease.<\/p>\n \u201cTry to get the countersigned copy from the landlord if you can,\u201d said attorney Vanessa Vecchiarello, also at Himmelstein Gribben & Joseph.<\/a><\/p>\n If you don’t get a renewal and you’re due one, you can file a complaint with NYS Homes and Community Renewal.<\/a><\/p>\n Under the rent-stabilization code, if a signed renewal lease is not returned to you, the tenancy continues on the same basis. \u201cEither way, that would mean the rent is not increased,\u201d Vecchiarello said. \u201cWhether that\u2019s because the new lease has taken effect or because the landlord has failed to comply with the requirements of sending a new lease.\u201d\u00a0<\/p>\n Attorneys have told Brick that landlords suing to rollback the rent freeze must meet a high legal standard for what\u2019s known as an Article 78 case, where a government agency\u2019s decision is challenged in court. The judge in this case has granted a limited discovery asking the City to produce correspondence between the RGB and the Mamdani administration within 30 days.\u00a0<\/p>\n According to Gothamist,<\/a> Randy Mastro, the attorney representing the landlords, praised this ruling. \u201cWe are gratified by the judge’s decision, and this targeted discovery goes to the heart of our position that this was a sham process with a predetermined outcome,\u201d Mastro said.\u00a0<\/p>\n If the landlord plaintiffs are successful in having the rent freeze reconsidered, the Rent Guidelines Board would need to carry out another vote on increases. What happens to renewals if the freeze is overturned is not yet clear.\u00a0<\/p>\n \u201cThis is certainly an unprecedented situation and it is possible landlords could try to claw back those leases,\u201d Vecchiarello said. <\/a>\u201cHowever, a lease is a contract,\u201d she added. Once signed, the landlord is legally committed to offering the lease on those terms.\u00a0<\/p>\n When the judge does issue a decision, the losing party, whether it is the landlords or the Rent Guidelines Board, will likely appeal. \u201cThat would then extend the timeline if the case is appealed up to the Appellate Division,\u201d Vecchiarello said.<\/p>\n \u00a0<\/p>\n<\/div>\nThe legal fight over rent increase<\/h2>\n
What the case means for renewals after Oct. 1st<\/h2>\n
Landlords face a tough fight to win the case<\/h2>\n
What a landlord win could mean for stabilized tenants\u00a0<\/h2>\n