Matter of 251 W. 74 Owners Corp. v New York State Div. of Hous. & Community Renewal

Holding The Appellate Division reversed the lower court’s grant of the petition, holding that the petitioner lacked third-party standing because it failed to demonstrate that the sponsor could not challenge the rent reduction order itself. Additionally, the court found no due process violation because the managing agent’s address was properly listed in DHCR records and designated for service.

The court’s words

Petitioner has not demonstrated that Covington Realty, LLC, the sponsor and proprietary lessor could not challenge the rent reduction order itself

2026 NY Slip Op 05711, at the official text

Sackman Enterprises, LLC was the managing agent for both petitioner and Covington. Sackman's address was listed on the 2021 registration statement with DHCR

2026 NY Slip Op 05711, at the official text

Covington could have provided their own name and contact information to DHCR since rent registrations are owner-reported

2026 NY Slip Op 05711, at the official text

the leases specifically provide Sackman's address as the point of contact. Further, Covington designated Sackman to receive process on its behalf

2026 NY Slip Op 05711, at the official text