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J51 RS in co-op but status never disclosed

NYC Rent Regulation: Rent Control/Rent Stabilized, DHCR Practice/Procedures

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J51 RS in co-op but status never disclosed

Postby brooklyngalpal » Sun Oct 21, 2018 10:05 am

Hi there -- here is a question for the group. :)

Because I am so obsessive, the first thing I did when we moved in was order our rent history.

This unit was previously rent stabilized (no surprise) but since the building went co-op in the 80s, the prior tenant's vacancy means it lost RS status. The previous rent was less than half of what we are paying -- which is to say, a significant increase.

HOWEVER, I ALSO noticed in our rent history the building was getting a J51 tax abatement. Knowing that leads to temporary, separate (though concurrent) RS status, I continued my sleuthing.

J51 status began in 2011/2012 and runs for 14 years which means this unit has 7 years left on J51 which means 7 years of RS status.

Now, the landlord made me sign a lease that says the unit is not stabilized -- which is inaccurate. The question is how do I broach the issue with the landlord and what would the legal rent be based on the prior tenant's RS rent or do they just pick a rent (which we agreed on) and the RS status in based on that rent?

Do I need a lawyer? Thanks!
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Re: J51 RS in co-op but status never disclosed

Postby TenantNet » Sun Oct 21, 2018 10:38 am

I can't answer the question whether the J51 and RS status override the co-op vacancy. The answer probably lies in caselaw. A good tenant attorney would be your best bet on that. Some will offer free consultations.

But as for the document the LL "made you sign," it's probably unenforceable. An apartment is RS, or not, based on the law, not on some document intended to dissuade you from making a claim.
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Re: J51 RS in co-op but status never disclosed

Postby brooklyngalpal » Sun Oct 21, 2018 4:00 pm

Thanks @TenantLaw

My understanding is that the unit is rent stabilized under J51 now and the lease wouldn't hold up in terms of saying the unit isn't rent stabilized. I guess there is the question of whether I try to address it without counsel or if I seek counsel (the attorney recommended to me was $300 for a consultation!). I also don't know what the legal rent should be under the circumstances -- I can find precedence for this anywhere.

Thanks!
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Re: J51 RS in co-op but status never disclosed

Postby TenantNet » Sun Oct 21, 2018 6:12 pm

We are not @TenantLaw. That (on Twitter) is some guy in Hong Kong. We're in NYC.

$300/hour is normal for attorney fees, but some will do an initial consultation at a lower cost or for free. OTOH, some tenant attorneys are experienced, and others not so much.

What you should be looking for is an honest assessment of your situation and possible ways you can address things, i.e., court, DHCR or otherwise. You want an honest assessment, not something that you want to hear. I would even seek multiple consultations.

FYI, a number of tenant attorneys advertise on this site (but we only get advertising revenue, not kickbacks or referral fees).
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Re: J51 RS in co-op but status never disclosed

Postby 10ants » Wed Nov 14, 2018 8:06 pm

My understanding is that coops that are re-rented post conversion are exempt even if under J51.
Source:
http://www.nyshcr.org/Rent/J-51-FAQ.pdf

5) With respect to the J-51 Rent Registration Initiative, what if the subject
building had been converted to cooperative or condominium status?
Under this HCR J-51 Rent Registration Initiative, if the subject apartment became
vacant after the coop or condo plan was declared effective, then, because the
apartment became exempt from rent stabilization for a reason other than high rent
vacancy, the owner is not required to re-register that apartment.
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