Landlord Can't Convert Apartments to Homeless Housing

April 30, 2003

LVT Number: 16546

Facts: Tenant association sued landlord, claiming that landlord engaged in a long-range scheme to evict rent-stabilized tenants in the building and convert their apartments into Class B Tier II homeless housing. Tenants claimed this violated the Rent Stabilization Code. Landlord claimed they did nothing wrong and that apartments used for homeless housing were exempt from rent stabilization. Court: Tenants win. The court barred landlord from seeking to recover tenants' apartments or from permitting occupancy of apartments without a rent-stabilized lease.

Facts: Tenant association sued landlord, claiming that landlord engaged in a long-range scheme to evict rent-stabilized tenants in the building and convert their apartments into Class B Tier II homeless housing. Tenants claimed this violated the Rent Stabilization Code. Landlord claimed they did nothing wrong and that apartments used for homeless housing were exempt from rent stabilization. Court: Tenants win. The court barred landlord from seeking to recover tenants' apartments or from permitting occupancy of apartments without a rent-stabilized lease. Using apartments in the building as homeless housing violated a provision in the original deed that required that the apartments be used as rental or cooperative housing. ''Rental housing'' didn't include housing for the homeless.

Noble Drew Ali Plaza Tenants Assn. v. Noble Drew Ali Plaza Housing Corp.: NYLJ, 4/2/03, p. 23, col. 3 (Sup. Ct. Kings; Rosenberg, J)

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