Units in Building Operated by Nonprofit Organization Exempt

Facts: Since 1923, landlord St. Mary's Home for Working Girls had operated a rooming house containing 152 rooms. St. Mary's was a not-for-profit organization run by Catholic nuns, who lived on the second floor of the building. The 11-story building also contained a chapel. St. Mary's provided free temporary housing to poor young women in an environment offering religious services and the support of the Catholic Church. St. Mary's asked certain tenants to move out because they'd lived there for over four years. Tenants complained to the DHCR. The DHCR ruled that St. Mary's Home was exempt from rent stabilization since the building was operated exclusively for charitable pur-poses. Tenants appealed, and the court sent the case back to the DHCR. Landlord and the DHCR then appealed. Court: Landlord wins. The nuns lived on only one floor out of eleven. The building's chapel was merely incidental to the building's charitable use. This didn't mean the building wasn't used ``exclusively'' for charitable purposes. The primary use of the building was clearly charitable.

Matter of Boiko: NYLJ, p. 27, col. 3 (7/6/93) (App. Div. 1 Dept.; Carro, JP, Milonas, Wallach, Kassal, JJ)