This week, the New York State Senate and Assembly passed legislation amending the “Loft Law” to apply to several hundred additional buildings.  The bill aims to bring illegally converted residential buildings into compliance with building and fire codes, and would essentially permit the legalization of such buildings without a variance or rezoning.  The bill, which was sponsored by Senator Martin Milave Dilan (D-Bushwick) in the State Senate and Assemblyman Vito Lopez (D-East Williamsburg-Bushwick and the Brooklyn Democratic Leader) in the Assembly, is awaiting signature from the Governor.

The “Loft Law,” originally passed in 1982, permitted a number of buildings in manufacturing districts that had been illegally converted to residential use to legally convert to residential use and obtain certificated of occupancy.  These buildings are known as “interim multiple dwellings.”

The new bill amends the definition of “interim multiple dwelling” to include buildings that were occupied consecutively for 12 months by two or more people for residential purposes during the period starting 1/1/08 and ending 1/31/09.  After the legislation is passed, owners of such buildings would have 9 months to register with the New York City Loft Board.  They would then have a certain amount of time to bring the building up to code and would then be able to obtain a legal residential Certificate of Occupancy.   Such buildings would subject strict rent increase guidelines under the control of the Loft Board.

If signed into law by the Governor, the bill will have far reaching implications – it is estimated that approximately 300 buildings, containing 3600 residential units, will be affected.

NYC Loft Board Website