The NYC OSE has adopted final rules for Local Law 18 which coop, condo and HOA boards and their managing agents should become familiar. The rules cover the registration and requirements for short term rentals in NYC. But for coops, condo and HOAs that prohibit short term rentals, the rules provide a glimpse at the roadmap to registering their buildings with the OSE. This is a relief to boards of these associations which prohibit short term renting in their governing documents and have struggled with enforcement.
Section 21-09 of the rules covers the prohibited buildings list. The application on the OSE’s website seems to be opening for registration on March 6, 2023. The application will require the name of a natural person making the application, a phone number and email for the person, the address of the building, an explanation of the relationship between the owner and applicant and “any proof or documentation requested … to substantiate the request ….” The applicant must certify that the leases and other occupancy agreements prohibit short term rentals. The last requirement of “proof or documentation” is likely the more difficult one because we aren’t sure what the OSE will require. Associations that are professionally managed could have their managers make the application or it may be a board member doing so. The “proof or documentation” will likely be the association’s governing documents that prohibit or limit short term renting. For example, bylaws could say that rentals for less than a year are prohibited. We’ll have to see what the OSE requests and requires before adding an association building to the prohibited list.
The OSE plans to publish the list of prohibited buildings on its website and update it in real time. It is not clear if the OSE has a deal with AirBnb re making sure that it does not allow listings in buildings on the prohibited list. We’ll have to wait and see how this all pans out.
Here are the rules.