NEW YORK (Reuters) – A free to rent commercial lease agreement between a New York landlord and tenant is ending after five years, after the New York Housing Authority decided to end a deal with the landlord that was signed in 2013.
The landlord of a rental unit in Manhattan’s West Village was notified in October that the lease for the apartment in question was being rescinded, the city said in a statement.
Under the agreement, the landlord received no payments for the three years it lived in the apartment, which included about two years rent.
The agreement was finalized in July 2014, but the landlord has been fighting the cancellation since then, according to the city.
The New York City Housing Authority has said it is committed to working with the landlords to make sure tenants are being properly represented and that the residential lease is for a term of five years.
The agency said it did not know how long the lease had been in place.
The authority, which has received more than $5 billion in new residential and commercial development over the last decade, said it will provide a list of new rental apartments, which it said could be added to the list as the housing market improves.
The free lease deal, which expired in 2018, was meant to address the rental shortage in Manhattan and other big cities, with more than half of Manhattan’s units sold to non-residents in the last year.
The Housing Authority said in the statement that it was reviewing the termination of the free lease.
A landlord who wants to renew the free to renew agreement must provide the tenant with two weeks notice, it said.
The government-run agency has made strides to improve its ability to rent apartments in the wake of the financial crisis and has said the number of vacant apartments has declined in recent years.