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Units an Owner Can Recover for Self

By Jeffrey Turkel
March 27, 2007

The First Department's recent decision in Pultz v. Economakis, N.Y.L.J., Feb. 22, 2007, at 18, col. 1, has garnered a remarkable amount of press coverage for what is a fundamentally unremarkable case. The decision primarily stands for the humble proposition that a court must interpret a statute in accordance with its clear and unambiguous language. Nevertheless, the First Department's steadfast defense of an owner's right to recover one of more apartments for his or her own personal use merits further analysis.

Facts

Alistair and Catherine Economakis own a 15-unit, rent-stabilized building in the East Village. They decided that they would attempt to recover all 15 stabilized apartments so that they could convert the building into a single-family house. They settled with several tenants, and brought Civil Court holdover proceedings against five tenants whose stabilized leases had expired. The owners proceeded under Section 26-511(c)(9)(b) of the Rent Stabilization Law ('RSL'), as implemented by Section 2524.4(a) of the Rent Stabilization Code ('RSC'), which allows an owner to proceed in Civil Court to recover 'one or more dwelling units' for the owner's 'personal use and occupancy.'

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