1250 Broadway, 27th Floor New York, NY 10001

WHEN J-51 EXPIRES, STABILIZATION MAY BE LOST

In Ogando v. Pamela Equities Corp. , David Ogando sought a declaration that his apartment was rent stabilized. Pamela Equities, the landlord, moved for summary judgment seeking the case's  dismissal.

When the New York County Supreme Court granted Pamela Equities' motion, Ogando appealed to the Appellate Division, First Department.

There was sufficient evidence "that the rents had been stabilized solely as a result of [Pamela Equities'] participation in the former J-51 tax abatement program," and that the protection ended when the tax-abatement period had expired. In addition, the landlord, as statutorily required, had included a warning in its lease riders notifying Ogando and other tenants about the expiration of those tax benefits and the attendant consequences.

While Ogando objected to certain irregularities in those notices, since the content was "neither false nor materially misleading," the AD1 ultimately concluded the owner was entitled to the litigation's dismissal.

Quite an equitable outcome for Pamela Equities, wouldn't you agree?

To view a copy of the Appellate Division's decision, please use this link: Ogando v. Pamela Equities Corp.

Categories: