2026 Good Cause Eviction Law Update: DHCR Publishes Annual Notice

The Good Cause Eviction Law ("GCE"), effective April 20, 2024, requires the New York State Division of Housing and Community Renewal ("DHCR") to publish, by August 1 each year, a notice identifying the municipalities where GCE is in effect, applicable fair market rent exemption thresholds, and each municipality's definition of a "small landlord."

Pursuant to Real Property Law § 211(7), DHCR also publishes the annual Consumer Price Index for All Urban Consumers ("CPI-U"), which determines the presumptively reasonable rent increase under GCE (the lesser of 10% or 5% plus the applicable CPI-U increase). For 2026, DHCR reported a 3.38% CPI-U increase for Bronx, Dutchess, Kings, Nassau, New York, Orange, Putnam, Queens, Richmond, Rockland, Suffolk, and Westchester Counties, resulting in an 8.38% rent increase threshold. For all other New York counties that have opted into GCE, the CPI-U increase is 3.15%, resulting in an 8.15% threshold.

The notice also publishes the U.S. Department of Housing and Urban Development ("HUD") Fair Market Rent ("FMR") figures and the corresponding 245% FMR exemption thresholds used to determine whether a dwelling unit is exempt from GCE based on rent.

At Warshaw Burstein, LLP, our attorneys advise property owners and managing agents on all aspects of the Good Cause Eviction Law, including exemption analyses, rent increase compliance, and enforcement strategies. We also represent owners in Good Cause Eviction proceedings and provide comprehensive counsel on New York's evolving rent regulation laws.

For questions or additional information, please contact Samuel R. Marchese at (212) 984-7750 or smarchese@wbny.com.