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The Rent Freeze Program freezes rent at either the tenant's prior legal rent amount or one-third of the monthly total household income, whichever is greater.

Some landlords charge rent-regulated tenants less than the legal regulated rent amount. This is often referred to as preferential rent. 

The tenant's rent will not be frozen at the preferential rent amount unless:

• The tenant is paying an amount that's less than the legal regulated rent (preferential rent) under a written agreement with their landlord and the written agreement (rider) states that the preferential rent is what the tenant will pay for the “life of the tenancy"; or
• The tenant lives in a Low-Income Housing Tax Credit (LIHTC) unit, is paying an amount less than the legal regulated rent, and submits the required LIHTC rider document
• The tenant’s current lease starts on or after June 14, 2019 and indicates a preferential rent

August 2019 Preferential Rent Freeze Policy Update

Under the new rent regulation laws passed in 2019, tenants who have a preferential rent agreement can continue to pay their preferential rent amount for the duration of their tenancy. There is an exception where the building is subject to a regulatory agreement and it receives federal rental assistance.

Changes for leases beginning on or after June 14, 2019:

• New Rent Freeze applicants who have a preferential rent agreement and meet all program eligibility criteria can have their rent frozen at their preferential rent amount. The tax abatement credit issued to landlords will be based upon rent guidelines board increases to the preferential rent amount
• For current Rent Freeze Program participants: If your frozen rent is based upon the legal regulated rent, the next time you renew, if you continue to meet all eligibility criteria, your rent may be re-frozen at the preferential rent amount on the lease in effect June 14, 2019

Landlords

Landlords will see that their tax abatement credits will be based upon the preferential rent amounts. The credit will be the difference between the frozen rent amount and the preferential rent amount.

Applicants

New applicants must provide a prior and current lease that clearly indicate the preferential rent amounts. If the amounts are not listed on your lease, be sure to attach your preferential rent lease riders.

If you are already participating in the program, please do not submit a request for an adjustment until it is time for you to renew. Adjustments to your frozen rent will be reviewed upon your next renewal. If your preferential rent is listed in a separate lease rider provide the rider along with your lease.

Exemptible Increases are covered and paid for by the Rent Freeze Program.

These must be approved by the appropriate State or City agency and include:

• Lease renewal increases granted by the Rent Guidelines Board for rent-stabilized apartments
• A rent demand renewal increase for residential hotel units
• A maximum collectible rent increase for rent-controlled apartments
• A Fuel Cost Adjustment to compensate a landlord for fuel increases
• An increase due to a Major Capital Improvement (MCI) Order for building-wide renovations like a new boiler or roof (as long as that Order is issued within 90 days of the date of the tenant's initial Rent Freeze application)

Non-Exemptible Increases

Non-Exemptible Increases can’t be considered for an exemption and won't be paid for by the Rent Freeze Program.

These include:

• A first lease in a new apartment
• Doorman, maid or janitor, air conditioning or intercom services
• Individual apartment improvements, additions, or adjustments, such as painting, new lighting fixtures, new equipment, furniture or other furnishings
• Security deposits
• Rental charges for garages and other facilities
• Retroactive Major Capital Improvement (MCI) Orders (Orders not issued within 90 days of the initial Rent Freeze application date)
• Utility costs such as gas, electricity, and cable

Landlords in the Rent Freeze Program receive a tax abatement credit (TAC) applied to their property tax bill in the same amount as the increase that the tenant is exempted from paying. The TAC is the difference between the preferential rent and the frozen rent amount that the program has calculated for the tenant to pay.

When a Rent Freeze application is approved or renewed, both the building owner or landlord and the tenant will receive an Approval Order which will provide details about what the tenant is responsible for paying, the amount of the TAC, and the exemption period. Your order will also include the tenant's SCRIE or DRIE docket number. Make sure to keep the number for future reference.

The Department of Finance (DOF) maintains an account for participating landlords to track credits and debits. DOF applies credits from the account to offset property taxes. The owner’s property tax bill shows any SCRIE or DRIE credit or debit activity.

Every month, SCRIE or DRIE credits and debits will be posted to the landlord’s account. First, DOF applies credit balances from your account to automatically offset any taxes that are due for the next period. Then if there are any credits left over, DOF automatically offsets any unpaid taxes that are past due. If there are still credits remaining, they will be left in the account to offset potential debit adjustments.

If an account balance falls below zero because of a debit adjustment, DOF will add the debit balance to the next tax period and issue an adjusted property tax bill.

Once the transaction is verified, the landlord will get a confirmation notice that includes tenant ID, exemption period, and transaction identification number for cross-referencing.

You can ask DOF to apply your SCRIE or DRIE credits to a property account or apply for a refund. For information, visit the Property Tax Payment Assistance page.

You can view TAC information online or request a copy by mail.

If you believe the amount of the Tax Abatement Credit (TAC) is incorrect, you can request an adjustment.

Reasons for TAC adjustments include:

• Maximum Collectible Rent (MCR) increase
• Fuel Cost Adjustment (FCA)
• J-51 reduction
• Casado vs. Markus court action
• Rent discrepancy, such as a lease adjustment or preferential rent

You can get the application online or by mail.

If you are a landlord or managing agent participating in the Rent Freeze Program, you can notify DOF if your tenant is ineligible for the benefit.

Tenants may be ineligible due to:

• Death
• Move
• Approval for other housing benefits, or
• If you suspect the tenants are receiving benefits to which they are not entitled

You can get the notification form online or by mail.

Landlords can raise the legal rent in accordance with guidelines put out by the New York City Rent Guidelines Board, Housing Preservation and Development (HPD) or Division of Housing and Community Renewal (HCR).

They must issue valid, current leases to all rent-stabilized tenants, or valid, current HCR-issued rental orders to all rent-controlled tenants. For DRIE Mitchell-Lama tenants, landlords are required to provide a letter specifying the start date and the amount of the rent increase.

By law, the landlord is required to continue a tenant’s SCRIE or DRIE benefit for 180 days (6 months) after the current benefit expires, even if the tenant hasn't renewed yet. The benefit expiration date is the same as the lease expiration date. If the tenant’s renewal application isn't approved, it's the tenant’s responsibility to pay the landlord the difference between the frozen rent amount and the legal rent for the 6-month grace period following the lease expiration.

In general, tenants in rent-stabilized apartments must be offered renewal leases for one or two years. An owner can refuse to renew a lease for several reasons, including:

• The owner or a member of the owner's immediate family needs the apartment for their personal use and primary residence
• The apartment is not used as the tenant's primary residence
• The owner wants to take the apartment off the rental market, either to demolish the building for reconstruction or to use it for other purposes permitted by law

However, when the owner doesn’t offer the tenant a renewal lease for one of these reasons, the owner must give the tenant written notice of non-renewal by mail or personal delivery 90 to 150 days before the existing lease expires.

You can learn more about the laws for rent stabilized and rent controlled apartments and how to contact HCR for more assistance on the Rent Regulated Apartments page.

Landlords and managers should keep the Department of Finance informed of any changes in the building ownership or management so that Rent Freeze notices and other correspondence can be sent to the correct person.

Fill out and submit a Property Change Form for Managing Agent or Building Owner Information if you want to:

• Report that a building is under new ownership
• Correct errors
• Request changes to the mailing address information

Forms

You can get the form online, in person, or by mail.

Online

Through the Landlord Express Access Portal (LEAP), you can:

• Find the Rent Freeze information you need in one convenient location
• Get borough/block/lot (BBL) information for the properties you own or manage
• Upload and submit documents to the Department of Finance (DOF) to assist with a determination
• Get customized Tenant Abatement Credit (TAC) reports
• Use a rent calculator to help you plan for upcoming increases
• Download all Rent Freeze forms, including property change forms
• Request copies of Rent Freeze documents

Logging In

1. Visit the LEAP website with Google Chrome or Internet Explorer browser version 10 or higher or a device running "Operating System X" version 10.11.6 with Safari or Google Chrome.
2. Log in to the system by using your NYC login or create a new account. You can use your social media login information.
3. Enter the PIN contained in the letter you received from the Department of Finance to access your profile. This PIN is only needed for the first login. It is for your exclusive use only and should not be shared with anyone. It expires in 90 days.

Get Help

The LEAP User Guide can help you use the system. If you need more help, you can also contact the Department of Finance on their website.

Online

By Phone