Loft Building May Be Subject to Rent Stabilization

LVT Number: 14755

Facts: Landlord sued to evict month-to-month residential tenants. Tenants asked the court to dismiss the case. They claimed that they were rent stabilized and protected by the Loft Law. They lived in the loft units before the issuance of a residential C of O for the building. They claimed also that they paid for most of the work needed to convert the building. Court: Tenants don't qualify for Loft Law protection. Although the building was an interim multiple dwelling, tenants' lofts weren't covered because they weren't occupied during the applicable window period.

Facts: Landlord sued to evict month-to-month residential tenants. Tenants asked the court to dismiss the case. They claimed that they were rent stabilized and protected by the Loft Law. They lived in the loft units before the issuance of a residential C of O for the building. They claimed also that they paid for most of the work needed to convert the building. Court: Tenants don't qualify for Loft Law protection. Although the building was an interim multiple dwelling, tenants' lofts weren't covered because they weren't occupied during the applicable window period. But tenants may qualify for rent stabilization coverage. The building was substantially rehabilitated as residential units after Jan. 1, 1974. This would exempt the building from rent stabilization coverage, except in a case where tenants bore a substantial amount of the cost of the rehab. In this case, there was a question of fact as to whether tenants paid for the building alterations. A trial was needed to decide this issue.

32-34 Greene Assocs., LLC v. Liebars: NYLJ, 1/8/01, p. 27, col. 6 (Civ. Ct. NY; Elsner, J)