The New York Good Cause Eviction Law, a landmark piece of legislation, has recently gone into effect. This law introduces substantial changes to the eviction process and tenant rights in New York, and it is crucial for property owners, landlords, and real estate investors to understand its implications.
The Good Cause Eviction Law, also known as Senate Bill S3082, aims to provide greater protection to tenants from eviction and sudden rent increases. It is part of a broader effort by the state to address housing instability and homelessness, which have been exacerbated by the economic fallout of the COVID-19 pandemic.
Under this new law, in certain jurisdictions within the State of New York, landlords for which the law applies are required to show “good cause” for evicting a tenant. This means that landlords in these instances can no longer, for example, evict tenants without a valid reason, such as non-payment of rent, violation of lease terms, or if the landlord wishes to use the property for personal use. Furthermore, landlords are prohibited from raising rent by more than a certain percentage each year unless they can demonstrate that the increase is necessary to cover the cost of significant improvements or maintenance.
Here are some key points to understand about the Good Cause Eviction Law:
1. **Definition of Good Cause:** The law defines “good cause” as any situation where a tenant fails to pay rent, violates the terms of the lease, or creates a nuisance. It also includes situations where the landlord or their immediate family needs to use the property as a primary residence, or if the landlord plans to withdraw the property from the rental market.
2. **Rent Increase Limitations:** The law limits rent increases to 3% or the percentage increase in the Consumer Price Index (CPI), whichever is greater, in any 12-month period. Landlords can apply for an exception if they can prove that a larger increase is necessary to maintain the property.
3. **Renewal of Leases:** Landlords are required to offer lease renewals to tenants unless they have good cause not to do so. If a landlord fails to offer a renewal, the tenant has the right to continue occupying the property under the terms of the expired lease.
4. **Eviction Process:** If a landlord has good cause to evict a tenant, they must provide a written notice at least 90 days before the end of the lease term. The notice must clearly state the reason for eviction and provide the tenant with an opportunity to correct the issue.
5. **Penalties for Non-Compliance:** Landlords who violate the Good Cause Eviction Law may face penalties, including fines and potential imprisonment. They may also be liable for damages to the tenant.
As a property owner or landlord, it is essential to understand these changes and adjust your practices accordingly. We recommend reviewing your current lease agreements and eviction policies to ensure they comply with the new law.
We understand that these changes may raise questions and concerns. Our office is here to help you navigate this new legal landscape. We can assist you in advising on eviction procedures, and ensuring your practices comply with the Good Cause Eviction Law.
Please contact us at 516-932-4400 or 914-363-6250 for assistance with eviction related matters.