Landlord Must Execute Renewal Lease Tenant Signed Even Though It Later Terminated Tenancy

In 2020, rent-stabilized tenant complained to the DHCR that landlord refused to sign and return to tenant a fully executed renewal lease that tenant had signed. Tenant also said that landlord wasn't accepting his rent payments. In response, landlord showed that it had commenced a pending eviction proceeding against tenant based on illegal and unauthorized demolition and construction in the apartment.

The DRA ruled for tenant, finding that the subject matter of the court case didn't prevent landlord from giving tenant a fully executed copy of the renewal lease that it had already offered and which tenant had signed.

Landlord appealed and lost. Landlord argued that requiring it to execute the renewal lease would essentially invalidate its termination notice and pending eviction proceeding. But the DHCR found that landlord offered the renewal lease on March 17, 2020, and tenant executed the renewal before landlord served the termination notice and started the holdover proceeding. Once tenant signed the renewal lease, landlord was obligated to execute it and return a fully executed copy to tenant within 30 days under Rent Stabilization Code Section 2523.5. Landlord still maintained its right to evict tenant in court based on the illegal demolition work done inside the apartment. The signing of a renewal lease that was offered before the termination notice didn't vitiate landlord's rights in court.

679 Waring Avenue, LLC: DHCR Adm. Rev. Docket No. JW610032RO (2/25/22)[2-pg. document]