New Landlord Not Bound by Rent Concession Agreement

LVT Number: #21228

Landlord sued to evict tenant for nonpayment of rent. Tenant claimed that rent wasn't owed because a renewal lease rider granted him a temporary rent concession for the term of the renewal. The court ruled for tenant and dismissed the case.

Landlord sued to evict tenant for nonpayment of rent. Tenant claimed that rent wasn't owed because a renewal lease rider granted him a temporary rent concession for the term of the renewal. The court ruled for tenant and dismissed the case. Landlord appealed, pointing out that prior landlord granted the rent concession, and the lease rider said that the temporary rent concession didn't apply to "successors." Landlord bought the building during the lease renewal term and argued it was a "successor." The appeals court ruled for landlord, and found that tenant owed landlord $32,000 in back rent. Tenant claimed that the term "successor" in the rider applied only to successor tenants. But the rider didn't distinguish between landlord and tenant successors. Therefore, under the terms of the rider, the rent concession ended when new landlord bought the building.

Nunz Realty, LLC v. Shay: NYLJ, 5/4/09, p. 32, col. 6 (App. T. 1 Dept.; McKeon, PJ, Schoenfeld, Heitler, JJ)