renewal of market stabilized lease over $2k

depends on why the apartment is RS. there is an income component as well, the tenants income has to be above a certain level. some landlords, including Tishman, have discontinued destabilization pending resolution of the ST/PCV lawsuit. there has been alot going on in Albany regarding this, and i'm not up on what has been done. bottom line is that the situation seems a bit fluid right now, in favor of the tenant.

steve?

thanks, this is in ST. Trying to help my Aunt understand this -- her income would be above the level, I believe. Her current lease crossed the $2k threshold recently (due to MCIs) so she is worried they won't renew.

Her income needs to be above $175K for each of two consecutive years before they could bring it to market rent.

But the more exciting part is what aboutready described describing the lawsuit. In a nutshell, that revolves around a court finding that Tishman wasn't allowed to deregulate apartments while receiving tax breaks of a certain type. I haven't heard anything lately on that.

It's at the Court of Appeals level. I think it could be heard in September. The Appellate Division's decision was unanimous, 5-0, against Tishman. The AD is not very tenant friendly. The Court of Appeals is much more tenant friendly, and even without that it would be highly unlikely for the court to overrule a unanimous decision.

Tax breaks that they got for doing MCI's, the costs of which they are then passing along to the tenants in the form of rent increases.

hurting, your aunt is extremely lucky that she crossed this threshold now, rather than two or three years ago.

Nice, thanks. I think she has a two year lease up in the fall. So it seems like she should be able to get another 2 years at least.

You must submit income verification prior to the May 31 once you are above 2,000. Your destabilized rent isn't effective until the following May 31. By my reckoning she has about a year and a half. The new guidelines increasing the rent threshold to 2700 have been passed by the state assembly as I understand it but are awaiting review by the DHcr who have the authority to adjust it. I have called everyone and their mother and have not been able to get a review date

karen, do you know if the new guidelines also boost income threshold (originally $250K, then dropped to $175K)?

Alanhart yes, they are talking 240K

hurting, tishman entered into an agreement with the plaintiffs' attorneys in the lawsuit in which they agreed not to destabilize any additional apartments for the time being. it may very well happen that the rent limits will have risen before the lawsuit is resolved. as in many things in life, timing is everything.

thanks, she hasn't received any notice/requests from TS and has called them directly and has not been able to get a response. Thanks for all of your info!