Rental Unit converting into Condo and Lease Renewal and Early termination Fee (Complicated) (apartments, tenant) - Renting -Apartments, houses, lease, tenant, landlord, agreements, termination - City-Data Forum

rayjacky · 01-22-2014, 08:33 AM

Hi everyone,

I'm in a bit complicated situation and would appreciate any help.

I live in a rental building in New York and have been a tenant for the last 4 years. My building has recently been sold to another company and the new owners are converting the building into a condo. They send ut the notification and the "Offering Plan / Red Herring" a month ago.

Anyways, my lease is up on Jan 22nd (today). I know they were not renewing the leases because they want to get rid of the tenants as quickly as possible to convert the building into a condo and sell the units.

They sent me a renewal lease today which includes a new clause. It's an early termination clause which gives the landlord right to terminate the lease by delivering 60day notice whenever he wants during the lease term. They are also keeping the rent same as I've been paying and not raising it. I'm assuming they want me to sign this agreement and they will give me the notice the next day to get rid of me in 60days.

I've talked to a real estate agent a while ago and told him about my situation. His advice was to continue paying the rent on time and stay on my ass and not move. It'll probably take them a year to get rid of me and they wouldn't want to deal with law suits and everything. Eventually they'll either give my whole security deposit back or pay additional money for me to move out.

What is your suggestion? Should I just continue paying the rent and stay here without signing the renewal lease or should I sign it and see what happens? I don't want to risk anything and it's the middle of winter and with snow and cold here in NYC (and also I have a big dog) it's not easy to find a place to move.

Please advice..

Thank you in advance!

STT Resident · 01-22-2014, 09:57 AM

I'm not sure what the problem is as it sounds a reasonable enough compromise. It's the middle of winter now, you can't "assume" that the LLs will immediately give you 60 days notice as soon as you sign the new lease but in 60 days it's not likely you'll still be in the grip of winter. Whether this sort of stipulation is legal or not in NY I have no clue but on the face of it it seems fair enough.

rayjacky · 01-22-2014, 10:08 AM

I simply don't want to leave my apartment right now. I have a nice apartment that I'm very happy with. If I need to move I'd like to move in the next 8months not 2

Okey Dokie · 01-22-2014, 10:24 AM

If they wanted you gone now, why wouldn't they just not renew your (now expired) lease?

STT Resident · 01-22-2014, 10:27 AM

Quote:

Originally Posted by rayjacky

I simply don't want to leave my apartment right now. I have a nice apartment that I'm very happy with. If I need to move I'd like to move in the next 8months not 2

The problem is that what you want and what you'll actually get don't always match up! Your real estate friend isn't giving you very good advice at all.

whatisthedealwith · 01-22-2014, 11:43 AM

Why is it not an option to buy your place?

You don't want to move, you like your apartment, and typically there are incentives for residents to move to owners.

spencgr · 01-22-2014, 12:58 PM

Option 1 - you live there without a lease and they will ask you to leave.

Option 2 - you sign the new lease and they will ask you to leave.

Either way, if you refuse to leave, it will take a long time, but will likely result in you having an Eviction on your record. That doesn't seem like an appealing option.

STT Resident · 01-22-2014, 01:42 PM

Quote:

Originally Posted by spencgr

Option 1 - you live there without a lease and they will ask you to leave.

Option 2 - you sign the new lease and they will ask you to leave.

Either way, if you refuse to leave, it will take a long time, but will likely result in you having an Eviction on your record. That doesn't seem like an appealing option.

Exactly. If he doesn't sign the lease then he'll be on a month to month and only get 30 days notice (or whatever's required where he lives) and then if he follows that daft realtor's advice to "stay put and keep paying rent" they'll simply not accept his rent without him having a lease and he'll be out one way or the other. Having an eviction is NOT the way to go, obviously. And if he's on month to month and baulking there's no way they're going to give him any "cash for keys" deal. Oh my!

NoMoreSnowForMe · 01-22-2014, 02:46 PM

I'm assuming by your zip code that you are in NYC.

I don't think you should sign anything until you talk to an attorney who knows about condo conversions. From my quick research, it looks like you have to be allowed to stay as a tenant, and the new owner of the condo becomes your landlord - whether he likes it or not. Whether or not you are in a rent controlled unit.

So don't sign anything until you talk to a lawyer who knows about these laws!

On the last couple of pages of the handbook below are attorney resources.

Here's the Attorney General handbook on condo conversions. Also says you can contact them with questions:

http://www.ag.ny.gov/sites/default/f...20Handbook.pdf

Office of the Attorney General
Real Estate Financing Bureau
120 Broadway, 23rd floorNew York, N.Y. 10271
212-416-8121
Real Estate Finance Bureau | Eric T. Schneiderman

I didn't read the whole thing, but did see this on page 20.

Non-Eviction Plans
At least 15% of all units in the building must be sold to bona fide tenants or purchasers who intend that they or a family member will live in the apartment. Non-purchasing tenants may not be evicted, although their apartments or shares corresponding to their apartments may be sold. Tenants whose apartments are subject to ETPA or rent control
may continue in occupancy as ETPA or rent-controlled tenants, paying rent to the purchaser of the apartment. Tenants whose apartments are not rent regulated may remain in their apartments, and they may
not be charged unconscionable rents.
--------------------------

Note there is a listing of which towns, etc., have adopted the Coop and Condominium Conversion Act in the Appendix of the handbook. Like I said, I didn't read the whole thing, but enough to know you shouldn't sign anything until you know the law.

At this point, you are a month to month tenant. To terminate your tenancy, they would have to give you appropriate notice. So, they won't be just kicking you out. You have time to get some legal help.

Without reading it all, though, it looks to me like you can stay, and they have to charge you a reasonable rent. I would highly suggest that you don't stop paying rent. I think that could get you kicked out.

Good luck!

STT Resident · 01-22-2014, 03:23 PM

Quote:

Originally Posted by NoMoreSnowForMe

Without reading it all, though, it looks to me like you can stay, and they have to charge you a reasonable rent. I would highly suggest that you don't stop paying rent. I think that could get you kicked out.

Good luck!

It looks to me that he can stay if he has a valid lease which would be normal practice. As of today he apparently doesn't as his lease expires today and he has been offered a new lease with an additional clause which he is questioning. They also aren't raising his rent with a new lease. I believe you're quoting clauses which apply to tenants with current leases.