Owner/Occupant of Unit Is Rent-Stabilized

Facts: Landlord owned property upon which eight individual homes were situated. In 1992 the DHCR ruled that owners of the homes who moved in prior to June 30, 1971, were rent-controlled and those who moved in after that date were rent-stabilized. A few years later the owner of one of the units sold the house to someone who didn't live there as his primary residence. When he in turn sold the house to new occupants, landlord claimed that the house was no longer rent-stabilized and sued to evict new owner/occupant. Court: Landlord loses. A special category of housing consisting of private homes owned by occupants but located on land owned by another was covered by rent control. Rent was paid by the homeowner/occupant to landlord for use of the land. By enactment of the ETPA in 1974, the legislature decided that this type of housing would become subject to rent stabilization upon vacancy decontrol. The fact that one owner/occupant didn't occupy the house as his primary residence didn't remove the unit from subsequent rent stabilization coverage. The unit was subject to rent stabilization unless a court ruled that a particular tenant wasn't using the unit as his primary residence.

200-218 Soundview Realty Corp. v. Sherlock: NYLJ, p. 27, col. 3 (1/6/97) (Civ. Ct. Bronx; Heymann, J)