NYS Fails to Pass Basic Housing Protections for Ground Lease Co-ops, Abandoning 25k NYers Amid Housing Crisis

Despite years of advocacy from impacted residents and backing in both houses, the Assembly failed to vote on the Ground Lease Co-op Bill, prioritizing monied real estate interests; Ground Lease Co-op Bill is critical in protecting tens-of-thousands of middle-class families from imminent displacement at the hands of landlord moguls

ALBANY, NY (06/18/2025) (readMedia)-- This week, Albany lawmakers failed to pass the Ground Lease Co-op Bill (S2433A Krueger/A2619 Rosenthal) before the end of the legislative session, for the third consecutive year. The legislation passed the State Senate, but failed in the Assembly. Members of the Ground Lease Co-op Coalition issued the following statements in response:

"Albany lawmakers ceded their responsibility to New Yorkers. For three years in a row, advocates have joined working families, urging legislators to right their wrongs and close the legal loophole that's left more than 25,000 ground lease co-op residents in peril. At the height of a historic housing crisis, Albany leadership failed to coalesce around the most basic human right. Now, young families, retirees, and residents on a fixed income across the five boroughs have no other choice but to fend for themselves against landlords eager to turn their homes over to the speculative market," said William Maiman, president of the Mainstay Co-op Board in Queens and member of the Ground Lease Co-op Coalition. "Despite this loss, we will continue the fight to preserve this vital class of homeowners for generations to come. We commend our prime sponsors and the Senate for their tireless efforts, and demand that the Assembly commit to prioritizing this bill once next session starts,"

"After decades without basic rights, ground lease co-ops end another legislative session as New York's last unprotected class of tenants. For three years in a row, advocates and working families have called on legislators to close the legal loophole that's put more than 25,000 residents at risk of displacement. Without this legislation, residents are left with few options as they fight to save their homes from predatory landlords. While this setback is disappointing, we remain committed to fighting for ground lease co-ops and preserving this essential housing stock. We extend our gratitude to Senator Liz Krueger and Assemblymember Linda Rosenthal for their dedication to passing this critical legislation, and we urge the Assembly to prioritize this bill at the start of next legislative session," said Richard Hirsch, president of the Carnegie House Board of Directors and member of the Ground Lease Co-op Coalition.

BACKGROUND:

As land values reach all-time highs and outpace typical incomes for residents, the Ground Lease Co-op Bill would secure critical protections to help New Yorkers in ground lease co-ops fend off predatory rent increases and preserve the ability to stay in their homes in the event of deconversion. In particular, the legislation would ensure residents benefit from the same protections under rent stabilization laws as all other rent stabilized buildings, and will be able to secure reasonable first rents if their co-op is forced to deconvert - providing a path for them to stay in their homes. The legislation would guarantee the following tenant protections for residents:

  • Ability to borrow for required repairs and capital improvements
  • Right of first refusal
  • Tenant protections upon deconversion including rental leases for existing residents

Amid the statewide housing crisis, the Ground Lease Co-op Coalition is fighting to pass this legislation and protect families as long-term ground leases begin to expire statewide for more than ten thousand apartments. Unlike traditional co-ops, ground lease co-ops own their homes but lease the land beneath their buildings from landowners and face some unique challenges as a result. Originally established to support middle-class homeownership, more than half of New York's ground lease co-ops are located in Queens, Brooklyn, and the Bronx. Decades later, ground lease co-ops continue to house New York's middle class, with the majority of residents earning just above the city's median of $76,000 across all five boroughs.

About the Ground Lease Co-op Coalition: The Ground Lease Co-op Coalition (GLCC) is a non-partisan coalition of co-op owners from diverse socioeconomic, cultural, and ethnic backgrounds advocating to save their homes amid the statewide housing crisis in New York. Representing more than 25,000 New Yorkers, the coalition supports legislative reform to ensure housing fairness, stability, and affordability for all ground lease co-op residents.

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