Best Practices for Legal Regulatory Due Diligence: What You Need to Know before Purchasing or Lending in NYC

Inside R&E

In this episode of Inside R&E, Zachary J. Rothken, Member and Head of the firm’s Administrative Law Department, discusses the critical need for legal regulatory due diligence from the perspective of purchasers, lenders, property owners and management companies. Bridging R&E’s administrative, transactional and litigation expertise, Zachary provides a comprehensive overview of the rent stabilization scheme in New York and examines the challenges following the passage of the Housing Stability and Tenant Protection Act of 2019. This episode provides a high-level framework of the regulatory due diligence process for prospective purchasers and lenders with an analysis of some of the most complex areas of administrative law, including rent stabilization coverage, deregulation, substantial rehabilitation, the interplay of 421-a, 421-g and J-51 tax benefits and compliance with DHCR rules and regulations.

Zachary’s practice focuses on complex rent regulatory issues concerning rent stabilization and rent control. He represents property owners in administrative proceedings before DHCR and other administrative agencies, including claims alleging rent overcharge, TPU audits, petitions for administrative review and reduction of services. Zachary counsels prospective purchasers, sellers and lenders in performing due diligence on properties subject to rent regulation. His practice also includes representing property owners in a wide variety of litigation matters, including: Article 78 proceedings, Supreme Court actions and landlord-tenant summary proceedings. Zachary is frequently invited to speak on webinars, podcasts and in-person panels addressing rent stabilization and related legislative developments.

For any questions related to this episode, please contact Zachary J. Rothken at [e-mail] or [phone].