LIC Developers Fined For Flouting Rent-Stabilization Requirements

LONG ISLAND CITY, QUEENS — The developers of two Long Island City residential buildings were penalized for receiving tax breaks while flouting the rent-stabilization requirements that came with them, the New York Attorney General's Office announced Monday.

Both developers were accused of overcharging tenants while benefiting from property tax exemptions under New York's 421a tax abatement program, according to New York Attorney General Letitia James.

In one case, the developer behind Bridgeview Tower on 41st Avenue claimed the building would be a condominium and would not be subject to the rent-stabilization requirements.

The Attorney General's Office discovered that the apartments had actually been rented out and no tenants had gotten rent-stabilized leases.

Meanwhile, the developer behind 5-11 50th Ave. falsely claimed the building was empty while illegally overcharging the tenants who were living there.

“Rent-stabilization laws exist to protect tenants, and we will not let landlords or developers circumvent them,” James said in a statement. “The agreements announced today affirm my office’s commitment to promoting access to safe, affordable housing for all New Yorkers. This is a notice to all bad actors seeking to take advantage of tenants: Not on my watch.”

The developers were ordered to pay a combined $350,000 in penalties and tenant refunds, according to a news release.

The New York City Department of Housing Preservation and Development will put the fines toward affordable housing.