Local Law 102 (Buyout Agreement Law)

Under Local Law 102 of 2019 (Buyout Agreement Law) owners who enter into a buyout agreement with a lawful occupant of their building, resulting in a tenant vacating the unit, must inform HPD about the terms of the buyout agreement. The term "buyout agreement" means an agreement where the owner of a dwelling unit exchanges money or other valuable consideration to induce any person lawfully entitled to occupancy of such unit to surrender or waive any rights in relation to such occupancy that results in the tenant vacating such unit.

HPD collects buyout agreement information on an ongoing basis and provides a report with certain information about the agreements to the Mayor and City Council annually (January 31 of every year).

Buyout Agreement Submission Requirements

Within 90 days after the execution of a buyout agreement for a dwelling unit, the owner of such unit must email HPD at buyoutagreement@hpd.nyc.gov and electronically provide the following information:

1. The name of the owner;
2. The address of the dwelling unit that is subject to the buyout agreement;
3. The amount of money or, if applicable, a description of other valuable consideration agreed upon in the buyout agreement. Other valuable consideration that pertains to the dismissal of a pending action or proceeding must include the caption, index number, and county of venue of the action;
4. The date that the buyout agreement was executed; and
5. The amount of time (in months) remaining in the lease for the subject dwelling unit, provided that a tenant with a legal right to a lease renewal must be indicated as having an unlimited number of months remaining.

Buyout Agreement Penalties and Enforcement

An owner who is required to provide buyout agreement information under the Buyout Agreement Law and fails to do so may be subject to a civil penalty as provided in the law.

For any buyout agreement questions, please contact buyoutagreement@hpd.nyc.gov.