It is no secret that some rent-regulated tenants, whether through Airbnb or some other platform, are profiteering from or otherwise commercializing their apartments. The focus of this article is to survey existing case law as to when such conduct is curable, and when the offending tenant can be evicted. The answer depends on whether the apartment is rent stabilized or rent controlled, and whether the victim of the profiteering is a subtenant, a roommate, or a transient occupant.
Rent-Controlled Cases
Section 2205.1(a) of the Rent and Eviction Regulations, which implement the rent control law, provides that it shall be unlawful “for any person to demand or receive any rent for any housing accommodations in excess of the applicable maximum rent established therefore.” Under rent control, this rule has been applied not only where a landlord overcharges a tenant, but where a prime tenant overcharges a subtenant or a transient guest. Although under rent stabilization a prime tenant cannot charge a roommate a rent that exceeds “such occupants’ proportionate share of the legal regulated rent,” RSC §2525.7(b), there is no analogous provision under rent control.
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