WHO:            NYS Congressman Jerry Nadler, NYC Comptroller Scott Stringer, Manhattan Borough President Gale Brewer, NYS Assemblymember Yuh-Line Niou, NYC Council Member Margaret Chin

WHAT:         Rally for Rent Stabilization at Gateway Plaza, Battery Park City

WHEN:         June 2, 2019; 5:00pm

WHERE:       Volleyball Court, Esplanade Plaza, Battery Park City (south of North Cove)

In advance of the June 2020 impending expiration of rent protections at Gateway Plaza, the Gateway Plaza Tenants Association is mobilizing tenants to urge the LeFrak Organization to complete its negotiations with Battery Park City Authority to renew the contractual rent protection agreement in place since 1987.

The first residential building in Battery Park City, completed in 1983, Gateway Plaza was originally envisioned as affordable housing for all tenants in the 6-building, 1,700-unit development. In exchange, Gateway Plaza has received a substantial discount on its annual ground lease payments.

Gateway Plaza has always served as a haven for the middle-class families, young people and seniors who choose to make Battery Park City their home. In the aftermath of the terror attacks of 9/11, an overwhelming majority of Gateway Plaza residents returned to rebuild their community, spurring on the wildly successful revival of Battery Park City.

The rent stabilization agreement in effect from 1987 to mid-2009 covered all Gateway Plaza tenants. The current expiring agreement, negotiated by the Battery Park City Authority and elected officials in 2009, secured rent stabilization through 2020 only for then-current residents.

Tenants who moved in after the date of the 2009 agreement pay market-rate rents and are not covered by the stabilization protections afforded under the agreement. Since the expiring agreement was signed, rents in lower Manhattan have far exceeded the rate of inflation, and these tenants have reported significant annual rent increases that quickly render their homes unaffordable.

GATEWAY TENANTS DEMAND

New rent stabilization agreement that covers all Gateway Plaza Tenants,
to ensure continuation of a stable community

Term of the new agreement to extend through 2040, when the Gateway Plaza ground lease agreement with Battery Park City Authority expires.

Renewal rent increases in accordance with NYC Rent Guidelines Board rates,
based upon rent actually paid by the tenant in prior lease.

About Gateway Plaza Tenants Association: The Gateway Plaza Tenants Association was created in 1984 to respond to tenant-related issues at Gateway Plaza, the largest residential complex in Battery Park City. Over the last three decades, GPTA has accomplished a variety of goals, including negotiating long-term rent-stabilization agreements with the landlord, thereby preserving Gateway as a family-friendly residential community for people with diverse incomes.

###

For more information, please email honeyberk [at] gmail.com.

Q:        I’ve heard that the Gateway Plaza rent stabilization agreement expires in 2020 – what does that mean?

A:        The rent stabilization agreement, which covers all Gateway residents who lived here as f June 30, 2009, expires June 30, 2020. GPTA is working closely with the Battery Park City Authority and our elected officials to negotiate an extension of the rent stabilization agreement. However, if the agreement expires without extension, here is how it works: for any rent stabilized leases expiring between July 1, 2018 and June 30, 2020, the tenant is entitled to a 1-year renewal with rent increases determined by the rent stabilization guidelines (currently 1.5%). So, for example, if your lease expired October 31, 2018, you were given a 1-year renewal, with a 1.5% increase in rent; your renewed lease will expire October 31, 2019. At that time, you’ll be entitled to another 1-year renewal to October 31, 2020. At that point, unless the rent stabilization agreement is extended, any renewal would be determined by whatever the landlord requires – it could be 1.50%; it could be 20% or more. Notice that, even though the rent stabilization agreement expires on June 30, 2020, that doesn’t mean that your lease will expire on that date – your lease will expire one year from the date of your last renewal.