A coalition called Stabilizing NYC says landlords who purchased rent-stabilized buildings at inflated prices before the recession are pushing tenants out to increase their profits. Tenants highlighted a dozen landlords,including Steven Croman, who was recently arrested after an investigation by Attorney General Eric Schneiderman.
State Senator Liz Krueger, and a Manhattan Democrat,said the issue goes beyond enforcement. She said at the rally that lawmakers in Albany must close loopholes in the state's rent stabilization laws. She pointed to the vacancy bonus, which allows landlords to rents substantially when rent-stabilized tenants move out. Krueger called it an "eviction bonus" and said it motivates landlords to empty their buildings in order to boost rents, or eventually move apartments out of stabilization. Some landlords counter that the bonus is essential to succor them maintain buildings. Krueger said she's joining other legislators to push for changes as piece of any major housing bills — including a possible renewal of the controversial 421a tax shatter — that pass before the legislative session ends in mid-June.
Source: wnyc.org