New York City Rent Stabilization is one of the largest and oldest rent regulation programs in the United States, covering approximately one million apartments across all five boroughs. The program is governed by the NYC Rent Stabilization Law (Administrative Code §§ 26-501 et seq.) and the Emergency Tenant Protection Act of 1974, and is administered by the state Division of Housing and Community Renewal (DHCR).

Which Buildings Are Covered?

Rent stabilization generally applies to apartments in buildings with six or more units that were built before January 1, 1974. Coverage also extends to units in buildings that have received certain tax exemptions or abatements — including the 421-a and J-51 programs — regardless of construction date. Buildings with fewer than six units are generally not covered, nor are buildings built after 1974 (unless they received a qualifying tax benefit).

What Does Stabilization Mean for Landlords?

The 2019 HSTPA — Key Changes

The Housing Stability and Tenant Protection Act of 2019 made sweeping changes to rent stabilization: it eliminated high-rent vacancy deregulation (the mechanism that allowed units with rents above $2,700 to exit stabilization upon vacancy), eliminated high-rent/high-income deregulation, changed preferential rent rules, and extended the overcharge lookback period. Any landlord who deregulated units before 2019 should audit the regulatory history of those units to ensure deregulation was lawful.

The NYC Rent Guidelines Board (RGB) is a nine-member body appointed by the Mayor that sets the maximum allowable rent increases for stabilized apartments each year. The RGB holds public hearings in the spring and votes on allowable increases for one-year and two-year leases with a renewal date of October 1 of that year through September 30 of the following year.

Recent RGB Orders

⚠️ Important: Always verify the current RGB order before issuing any rent increase on a stabilized unit. The order applies based on the lease commencement date, not the date the notice is served. Applying the wrong year’s order is an overcharge.

How to Apply the RGB Increase

The RGB allowable increase applies to the legal regulated rent — not the preferential rent if one exists. Since 2019, if a tenant has been paying a preferential rent, renewal offers must be made at the preferential rent plus the RGB percentage, not at the higher legal regulated rent. Landlords who were using the gap between preferential and legal rents as a future price reset mechanism can no longer do so.

The Division of Housing and Community Renewal (DHCR) is the New York State agency that administers the rent stabilization program. DHCR maintains the official registry of stabilized units, processes Major Capital Improvement (MCI) and Individual Apartment Improvement (IAI) rent increase applications, investigates overcharge complaints, and issues orders determining legal regulated rents.

Annual Registration — Mandatory

Every stabilized unit must be registered with DHCR annually by July 31 of each year. The registration form (RR-1) must state the current legal regulated rent and the name of the tenant. Failure to register has severe consequences: the legal rent is frozen at the last registered amount, the landlord cannot collect any rent increase until registration is current, and tenants can use the registration failure as a defense in rent demand proceedings.

Rent History & Overcharge Complaints

Tenants may file overcharge complaints with DHCR at any time. Since the 2019 HSTPA, DHCR may look back as far as necessary to determine the base date rent and calculate any overcharge. Willful overcharges carry treble (triple) damages. Landlords should maintain complete rent history records for every stabilized unit indefinitely.

MCI & IAI Rent Increases

Landlords may apply to DHCR for rent increases above the RGB allowable amount for: Major Capital Improvements (building-wide improvements like new roofs, boilers, windows) and Individual Apartment Improvements (unit-specific improvements with tenant consent, or between tenancies). Since 2019, MCI increases are limited to 2% per year and IAI increases are capped at $89/month per room, reversing significant prior law changes. Applications require detailed documentation and DHCR approval before any increase takes effect.

The Good Cause Eviction Law, enacted as part of New York’s 2024 state budget, is the most significant expansion of tenant protections in New York in a generation. It extends just-cause eviction protections to residential tenants not covered by rent stabilization — a population that had previously been subject to non-renewal or eviction for any reason or no reason at all.

What Buildings Are Covered?

Good Cause Eviction applies to most residential rental units in New York City that are not already covered by rent stabilization or rent control. Key exemptions include:

• Buildings with fewer than 4 units where the owner resides on the premises
• Units in buildings constructed after 2009 (exempt for a period of years after construction)
• Condominiums and cooperatives
• Units with rents above a certain threshold (approximately 245% of fair market rent)
• Units already subject to rent stabilization or rent control

What Is “Good Cause”?

⚠️ Important: The Good Cause Eviction Law also provides a tenant defense against eviction if the reason for termination is an “unreasonable” rent increase. An increase exceeding the lower of 10% or 5% plus CPI is presumptively unreasonable, shifting the burden to the landlord to justify it. This applies to non-renewal proceedings, not just mid-lease increases.

The NYC Housing Maintenance Code (Admin Code Title 27) sets detailed habitability and maintenance standards for all residential buildings in New York City. The NYC Department of Housing Preservation and Development (HPD) enforces these standards through a violation system and can impose fines, require repairs, and issue orders to correct conditions.

Violation Classes & Correction Deadlines

Heat & Hot Water Requirements

NYC has strict heat and hot water requirements: Hot water must be provided 365 days a year at a minimum temperature of 120°F. Heat must be provided between October 1 and May 31: when the outdoor temperature falls below 55°F between 6am and 10pm, indoor temperature must be at least 68°F; between 10pm and 6am it must be at least 62°F. Failure to provide heat or hot water is a Class C (immediately hazardous) violation.

Impact on Eviction Proceedings

Open HPD violations can be raised as defenses by tenants in Housing Court non-payment proceedings. In stabilized buildings, open Class B or C violations can result in a DHCR-ordered rent reduction. Landlords should resolve all open violations promptly and obtain HPD sign-offs. Check the HPD online portal for any open violations before filing any court proceeding.

NYC Housing Court is the busiest housing court in the United States, processing tens of thousands of cases each year across all five boroughs. It is a specialized court within the Civil Court of the City of New York (NYC Civil Court Act § 110) with jurisdiction over summary proceedings for possession of residential and commercial property and HP (Housing Part) proceedings brought by tenants to compel repairs.

Types of Proceedings

Right to Counsel

New York City’s right-to-counsel law guarantees free legal representation to income-qualifying tenants facing eviction in Housing Court. This program has dramatically increased the proportion of tenants appearing with counsel in NYC Housing Court — particularly in the Bronx, Brooklyn, and upper Manhattan. Landlords should expect to face represented tenants in many proceedings, especially in stabilized buildings and lower-income neighborhoods. Procedural compliance at every step is non-negotiable.

Before any eviction proceeding can be filed in NYC Housing Court, the landlord must serve the correct predicate notice and allow the required time to pass. Defects in predicate notices are the most common ground for dismissal of Housing Court proceedings in New York City. The notice must be correct in content, correct in form, and served in the correct manner — all three.

Predicate Notice Quick Reference

Service of Predicate Notices (RPAPL § 735)

Predicate notices must be served in the manner prescribed by RPAPL § 735: (1) personal delivery to the tenant; or (2) substituted service — delivery to a person of suitable age and discretion at the premises, plus mailing; or (3) nail-and-mail — affixing to the door plus mailing — but only after both personal and substituted service have been attempted. The affidavit of service must document each attempt. Courts scrutinize service affidavits carefully; vague or implausible affidavits are frequently challenged successfully.

The New York City Human Rights Law (Admin Code §§ 8-101 et seq.) is one of the most comprehensive anti-discrimination laws in the United States. It prohibits discrimination in housing on the basis of a broader set of protected characteristics than either state or federal law, and is enforced by the NYC Commission on Human Rights (CCHR).

Protected Classes in NYC Housing

Source of Income — Most Commonly Violated

The source of income protection — which prohibits discrimination against tenants who pay rent with Section 8 vouchers, SCRIE/DRIE benefits, or any other lawful income source — is among the most actively enforced provisions in NYC. Landlords may not: advertise “no vouchers”; refuse to show units to voucher holders; apply stricter income requirements to voucher holders; or decline to process a voucher holder’s application. The CCHR conducts testing operations and has documented widespread violations. Penalties include compensatory damages, civil penalties up to $250,000 for willful violations, and attorneys’ fees.

Under RPP § 235-J, every landlord of a multiple dwelling must provide each new tenant signing a vacancy lease with a written disclosure of the building’s bedbug infestation history for the prior one-year period, using a form approved by DHCR.

What Must Be Disclosed

• Current bedbug infestation status of the unit and the building
• Last date the unit and the building were inspected for bedbugs
• Whether bedbugs were found at the last inspection
• What treatment, if any, was performed

The disclosure must be provided before the lease is signed — not at move-in, not at lease execution, but before. It must be on the DHCR-approved form. Violations carry a civil penalty of $250–$1,000 per violation plus actual damages. In NYC, the Housing Maintenance Code also imposes ongoing obligations to eradicate bedbug infestations as they arise, separate from the disclosure requirement.

Practical tip: Keep a signed copy of the bedbug disclosure form in the lease file for every tenancy. If the disclosure is ever challenged, having the signed form is the only reliable proof it was provided.

New York State law provides several special termination rights for tenants in vulnerable circumstances. These provisions cannot be waived by lease language and no penalty or fee may be charged for exercising them.

Domestic Violence Victims (RPP § 227-C)

A tenant who is a victim of domestic violence as defined in Social Services Law § 459-a may terminate a residential lease upon written notice accompanied by: (a) a valid order of protection; or (b) a written statement from a qualified third party (police officer, social worker, domestic violence counselor, etc.) confirming victim status. Termination is effective on the date specified by the tenant, not more than 30 days from the notice date. No penalty or early termination fee may be charged. The landlord must keep the tenant’s use of this right confidential — disclosure to third parties is a violation.

Senior Citizens & Disabled Tenants (RPP § 227-A)

Tenants age 62 or older, or persons with a disability, may terminate a residential lease upon written notice if they are: relocating to a residential care, adult care, or assisted living facility; requiring care in a nursing home; or moving to a family member’s residence. Termination is effective 30 days after the last day of the calendar month following notice. Documentation of the qualifying circumstance must accompany the notice.

Deceased Tenant (RPP § 236-A)

The executor or administrator of a deceased tenant’s estate may terminate the lease upon 30 days’ written notice accompanied by certified letters testamentary or letters of administration. The estate is not liable for rent accruing after the 30-day period expires. Alternatively, the estate may assign the lease (RPP § 236) with landlord approval, which may not be unreasonably withheld.

Discrimination Based on DV Status (RPP § 227-D)

Landlords may not refuse to rent to a person because they are or have been a domestic violence victim, or because they previously terminated a lease under § 227-C. Violations carry actual damages plus a civil penalty up to $2,000 per violation, plus attorneys’ fees.