Bill Text: NY A08809 | 2021-2022 | General Assembly | Amended

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Bill Title: Permits certain buildings with five or fewer units to convert to cooperative or condominium ownership upon written purchase agreements with at least fifteen percent of the dwelling units in the building.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2022-12-16 - signed chap.696 [A08809 Detail]

Download: New_York-2021-A08809-Amended.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                         8809--B
                                                                Cal. No. 448

                   IN ASSEMBLY

                                    January 12, 2022
                                       ___________

        Introduced  by  M.  of  A.  EICHENSTEIN -- read once and referred to the
          Committee on Housing -- reported from committee, advanced to  a  third
          reading,  amended  and  ordered  reprinted, retaining its place on the
          order of third reading -- again  amended  on  third  reading,  ordered
          reprinted, retaining its place on the order of third reading

        AN  ACT to amend the general business law, in relation to the percentage
          of units to be sold to convert certain real property to cooperative or
          condominium ownership in the city of New York

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  Paragraph (b) of subdivision 1 of section 352-eeee of the
     2  general business law, as amended by section 1 of part N of chapter 36 of
     3  the laws of 2019, is amended to read as follows:
     4    (b) "Non-eviction plan". A plan which may not  be  declared  effective
     5  until  written  purchase agreements have been executed and delivered for
     6  at least fifty-one percent of all dwelling  units  in  the  building  or
     7  group of buildings or development by bona fide tenants who were in occu-
     8  pancy  on the date a letter was issued by the attorney general accepting
     9  the plan for filing; provided, however, that for a  building  containing
    10  five  or  fewer units, and where the sponsor of the offering plan offers
    11  the unit that they or their immediate family member has occupied for  at
    12  least  two  years,  the plan may not be effective until written purchase
    13  agreements have been executed and delivered for at least fifteen percent
    14  of all dwelling units in  the  building  subscribed  for  by  bona  fide
    15  tenants  in  occupancy  or  bona fide purchasers who represent that they
    16  intend that they or one or more members of their immediate family occupy
    17  the dwelling unit when it becomes vacant. The purchase  agreement  shall
    18  be  executed  and  delivered  pursuant to an offering made in good faith
    19  without fraud and discriminatory repurchase agreements or other  discri-
    20  minatory inducements.
    21    §  2.  Subparagraph  (i)  of paragraph (c) of subdivision 2 of section
    22  352-eeee of the general business law, as amended by section 1 of part  N
    23  of chapter 36 of the laws of 2019, is amended to read as follows:

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD13595-04-2
        A. 8809--B                          2

     1    (i) [The] (1) Subject to the provisions of clause two of this subpara-
     2  graph,  the  plan  may  not be declared effective until written purchase
     3  agreements have been executed  and  delivered  for  at  least  fifty-one
     4  percent  of  all dwelling units in the building or group of buildings or
     5  development subscribed for by bona fide tenants in occupancy on the date
     6  a  letter  was  issued  by  the  attorney general accepting the plan for
     7  filing for which purchase agreement  shall  be  executed  and  delivered
     8  pursuant  to  an  offering made without discriminatory repurchase agree-
     9  ments or other discriminatory inducements.
    10    (2) For buildings containing five or fewer units, the plan may not  be
    11  declared  effective until written purchase agreements have been executed
    12  and delivered for at least fifteen percent of all dwelling units in  the
    13  building  subscribed  for by bona fide tenants in occupancy or bona fide
    14  purchasers who represent that they intend  that  they  or  one  or  more
    15  members  of  their  immediate  family  occupy  the dwelling unit when it
    16  becomes vacant, provided that the sponsor of the  offering  plan  offers
    17  the unit that they or their immediate family member have occupied for at
    18  least  two  years.  As  to  tenants  who were in occupancy on the date a
    19  letter was issued by the attorney general accepting the plan filing, the
    20  purchase agreement shall be executed and delivered pursuant to an offer-
    21  ing made without discriminatory repurchase agreements or other discrimi-
    22  natory inducements.
    23    § 3. This act shall take effect on the ninetieth day  after  it  shall
    24  have become a law. Effective immediately, the addition, amendment and/or
    25  repeal  of  any  rule  or regulation necessary for the implementation of
    26  this act on its effective date are authorized to be made  and  completed
    27  on or before such date.