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Hello everyone this is James Nelson principal and head of aristate investment sales for Avis annyeong and here to bring you the Nelson report for July 2019 and today for our viewers who are used to seeing us on YouTube you're going to be able to get a sneak preview but if you want to hear our entire episode you're going to need to subscribe to the Nelson Report podcast so really important topic and discussion today we have Nicki mulattoes who as a partner at Rosenberg Anastos and Kristina Smith who is founder of Smith law both very accomplished landlord-tenant attorneys I'm going to give you a full bio for the podcast listeners but for those watching by video were going to dive right into this because we had some a bill that was just passed named the housing stability and tenant Protection Act of 2019 it was just passed by the New York State Assembly and Senate and I've got to say just full disclaimer for our listeners and viewers in the 20 years I've been doing this Ive never seen anything remotely like this the implications are so far-reaching and will have implications not just here in New York City but even the rest of some of Metro New York and there's other cities and states that are watching, so I think we have to be very careful about the implications and what were talking about here, so maybe you could help us set the stage and kind of give us a sense of what is the housing stock that's involved here because what Ive seen is there's about a million rent stabilized housing units out of the city that has about three and a half million units and these laws do have implications for all units but really significant major impact on the regulation so would hard to just summarize in a sentence of two of what what's happened but but maybe four again to get us started give us a sense of what were talking about sure all apartments in buildings completed before January 1st 1974 are subject to the rent stable in laws 25 plus years ago a major deregulation provision was enacted that allowed of the then over 1 million rent stabilized apartments complete in buildings completed before 74 to leave rent stabilization when their rents reached a certain luxury threshold as was called and then became vacant or the reached the threshold and the tenants earned a certain amount of income for two consecutive years to luxury deregulate that that tenant and as a result of that initiative 25 years ago the statistics are not absolutely certain, but approximately three hundred thousand apartments left the rent stabilization system in various ways using luxury deregulation in this bill that was signed by the governor on June 14th that permanent deregulation of apartments ends there will be no further deregulation based on high rent of apartments in buildings constructed prior to January 1st 74 so the current number which is about a million of rent stabilized apartments in PRE 74 buildings or buildings which are receiving certain tax benefits that makes them rent...
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