You're probably reading old information about Luxury Decontrol in NYC. Let me give you the updated info that actually matters.

The Answer? Yes!

Yes, for 95% of NYC apartments. The Housing Stability and Tenant Protection Act (HSTPA) of 2019 repealed "High-Rent Vacancy Deregulation" for standard rent-stabilized units. However, a specific exception remains for "Market Rate Units" in 421-a(16) buildings (post-2016 construction).

The "Zombie Law" (What Outdated Sites Say)

  • The Myth: "If your rent goes over $2,774 (or $2,800), your apartment automatically becomes unregulated."
  • Why It's Wrong: This refers to RSL § 26-504.2, which was the old law. It allowed landlords to deregulate units once the rent crossed a specific threshold upon vacancy.

Current Law (The "Freshness" Patch)

  • The Statute: HSTPA Part D repealed RSL § 26-504.2 effective June 14, 2019.
  • The Reality: For most stabilized buildings (pre-1974), there is no rent cap. A unit renting for $5,000 or $10,000 retains its stabilized status and lease renewal rights.

⚠️ Critical Exception: The 421-a(16) Loophole

Tenants must distinguish between "Old Stock" and "New Construction."

  • The Rule: Under Rent Stabilization Code §2520.11(r)(2), "Market Rate Units" in buildings receiving 421-a(16) tax benefits (generally built after 2016) can still be deregulated if the rent exceeds the threshold upon vacancy.
  • 2025 Deregulation Threshold: $3,123.69
  • Actionable Advice: If you are in a newer building and your rent is above $3,123, check your lease rider. If it explicitly designates the unit as a "421-a(16) Market Rate Unit," you may not have renewal protections.

(Deregulation thresholds updated annually; verify current amounts with DHCR)

Key Takeaways

  • For most rent-stabilized apartments in NYC, luxury decontrol is dead
  • The old $2,774+ threshold no longer applies to standard stabilized units
  • The exception is 421-a(16) buildings built after 2016
  • Always check your lease rider for "Market Rate Unit" designation