What Landlords Should Know about Clearing HPD Violations

In a previous post, we discussed the basics of what landlords need to know about violations issued by the New York City Department of Housing Preservation and Development (HPD). And while regular maintenance and solid management are your best defense against notices from the HPD (sometimes easier said than done), their inevitability is part of being a landlord in New York City. So how do you deal with them once it happens?

Get to Know the Bureaucratic Path of HPD Violations:

You’ll typically find out that your property has received a complaint that could lead to a violation when you (or your building’s management) get a call from HPD informing you that a complaint has been issued (often, this happens through tenants reporting issues through 311). Code enforcement officers will visit the building to verify the complaint, and if they do, you’ll be issued a violation. It’s important to remember that the violation itself is not a fine or penalty – so long as you correct it within the given time frame.

Failure to do so can lead to fines, yes, but it can also land you in court – even if only an administrative one, The Office of Administrative Trials and Hearings (OATH). It’s generally in your best interest to remedy HPD violations right away, both for your financial peace of mind but also your tenants’ safety. However, if you choose to contest the violation, OATH court is your next stop. Just know that you’ll still be facing a financial penalty if the court does not rule in your favor.

Once You’ve Corrected the Violation:

You’ve done the hard part – fixed the issue – but now it’s up to you to inform the city. Head to the Department of Buildings’ (DOB) website and submit a request called a Certification of Correction. Along with it, you’ll want to ready your paperwork; you’ll need to submit a notarized statement describing how you fixed the violation, proof of that fix, such as receipts or other supporting documentation, and proof that you have paid any associated fines you may have been issued. Finally, contact your Borough’s Service Center to request that Code Enforcement officers visit the property and confirm the fix has been made.

The Realities of Delayed Maintenance:

Delayed maintenance leads to HPD violations and HPD violations lead to fines and (in serious cases) significant threats to your business, such as getting sued in Housing Court. The financial ramifications tend to snowball, as do other complications you may not be prepared for.

For instance, open violations can prevent you from refinancing your property. Emergency repair costs can quickly dwarf already pricey regular repair costs. Fixing a plumbing problem promptly sure beats trying to find (and pay for) someone to come in the middle of the night.

Open HPD violations can also cause trouble with your insurance company. At renewal time, your insurer will be checking to see whether there are violations on the property, and lingering issues (especially significant ones) can mean your policy cost jumps or (worse), you get dropped by your insurer.

Finally, it goes without saying that remedying violations is most important because it keeps your tenants safe, an expectation no bottom line can refute.

The bottom line? Treat HPD violations like any other business expense – stay on top of them by regularly checking to see if any have been issued, deal with problems as promptly as possible, and make smart investments in your property to avoid getting into trouble in the first place.

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