Key Takeaways
- New York’s Good Cause Eviction (GCE) law took effect April 20, 2024 — it is mandatory in NYC and opt-in for all other municipalities statewide
- Rent increases are capped at the lesser of CPI + 5% or 10%, and “unreasonable” increases are grounds for a tenant to challenge an eviction
- Key exemptions: buildings with 10 or fewer units (statewide count), owner-occupied under 10 units, new construction (30-year window), units renting above 245% of Fair Market Rent, and condos/co-ops
- Landlords must have just cause to evict — 11 enumerated grounds, with notice requirements varying by tenancy length (30/60/90 days)
- Approximately 19 municipalities have opted in as of mid-2026; the law sunsets June 15, 2034
What Is Good Cause Eviction?
Good Cause Eviction is a New York State law (Chapter 97 of the Laws of 2024, codified in Real Property Law Article 10) that restricts a landlord’s ability to evict tenants or raise rent to unreasonable levels. It was signed into law on April 20, 2024, as part of the state budget.
The law applies automatically in New York City. Outside NYC, it requires municipalities to affirmatively opt in by passing a local law. As of mid-2026, approximately 19 municipalities have adopted it, with more considering adoption.
Good Cause Eviction is the most significant expansion of tenant protections in New York since the Housing Stability and Tenant Protection Act (HSTPA) of 2019. It extends eviction and rent-increase protections to hundreds of thousands of apartments that were previously unregulated.
Who Does Good Cause Eviction Apply To?
The law applies to residential rental units that are not otherwise exempt. In practical terms, it covers most market-rate apartments in New York City and in any municipality that has opted in. It does not apply to:
- Units already subject to rent stabilization or rent control (they have their own protections)
- Units in buildings with 10 or fewer units statewide (counted across ALL the owner’s properties, not per building)
- Owner-occupied buildings with fewer than 10 units
- New construction for 30 years from the Certificate of Occupancy
- Units renting above 245% of the HUD Fair Market Rent for the county and unit size
- Condominiums and cooperatives
- Certain subsidized and regulated housing
For a detailed breakdown of every exemption, including edge cases and LLC ownership rules, see our guide on Good Cause Exemptions and the 10-Unit Rule.
The Rent Increase Cap: CPI + 5% or 10%
Good Cause Eviction does not directly cap rents. Instead, it creates a mechanism where a tenant can challenge an eviction (including a non-renewal) if the landlord imposed an “unreasonable” rent increase. The law defines a presumptively unreasonable increase as one exceeding:
- CPI + 5%, or
- 10%
Whichever is less.
The CPI used is the Consumer Price Index for the NY-NJ-PA metropolitan statistical area published by the Bureau of Labor Statistics, measured over the 12 months prior to the rent increase.
How the Cap Works in Practice
| Scenario | Local CPI | CPI + 5% | 10% Cap | Maximum Allowable Increase |
|---|---|---|---|---|
| Low inflation | 2.0% | 7.0% | 10% | 7.0% (CPI+5% is less) |
| Moderate inflation | 3.5% | 8.5% | 10% | 8.5% (CPI+5% is less) |
| High inflation | 6.0% | 11.0% | 10% | 10% (cap applies) |
Important distinction: This is not a hard cap like rent stabilization. It is a rebuttable presumption. If you increase rent above the threshold, the increase is presumed unreasonable, but you can argue in court that the increase was justified by specific factors (such as major capital improvements, increased property taxes, or other documented cost increases). The burden of proof shifts to the landlord.
In practice, most landlords should treat this as a functional cap. Litigating the reasonableness of a rent increase is expensive and uncertain. Use our NY Good Cause Calculator to determine your maximum presumptively reasonable increase.
Just Cause Eviction Grounds: The 11 Reasons You Can Evict
Under Good Cause Eviction, a landlord can only commence eviction proceedings (or refuse to renew a lease) for one of these enumerated reasons:
Tenant-Fault Grounds
- Nonpayment of rent — The tenant has failed to pay rent that is lawfully due
- Violation of a substantial lease obligation — The tenant has materially violated a term of the lease, and the landlord provided notice and an opportunity to cure
- Nuisance — The tenant is committing or permitting a nuisance, or is maliciously or by gross negligence substantially damaging the property
- Illegal use — The tenant is using the unit for an illegal purpose
- Unreasonable refusal of access — The tenant has unreasonably refused the landlord access for repairs, improvements, or inspections required by law
- Refusal to renew a substantially similar lease — The tenant has refused to agree to a lease renewal on terms that are substantially the same as the prior lease (except for lawful rent increases)
No-Fault Grounds
- Owner occupancy — The landlord (or an immediate family member) intends in good faith to occupy the unit as their primary residence. Only available for buildings with fewer than 10 units.
- Withdrawal from the rental market — The landlord intends in good faith to withdraw the unit from the rental market (does not include conversion to non-residential use in NYC)
- Demolition or substantial renovation — The landlord has obtained necessary permits and the work requires the unit to be vacant
- Compliance with government order — A government agency has ordered the unit vacated
- Unreasonable rent increase refusal — The tenant has refused to agree to a rent increase that is not unreasonable under the law
Notice Requirements: 30, 60, or 90 Days
The notice period required before a landlord can commence eviction proceedings depends on how long the tenant has lived in the unit:
| Length of Tenancy | Required Notice Period |
|---|---|
| Less than 1 year | 30 days |
| 1 year to less than 2 years | 60 days |
| 2 years or more | 90 days |
These notice requirements align with the existing Real Property Law Section 226-c requirements that already apply to month-to-month tenancies. However, under Good Cause Eviction, even tenants with active leases receive these protections at lease expiration.
For no-fault evictions (owner occupancy, withdrawal, demolition), the landlord must also demonstrate that the stated reason is genuine and in good faith. Courts can and do scrutinize these claims.
The Exemptions in Detail
The 10-Unit Rule
Buildings where the owner (including related entities) owns 10 or fewer residential rental units statewide are exempt from Good Cause Eviction. This is a statewide count across ALL of the owner’s properties, not a per-building count.
Example: If you own a 4-unit building in Brooklyn and a 7-unit building in Albany, you have 11 units total. Neither building is exempt, even though each building individually has fewer than 10 units.
Owner-Occupied Buildings
If the owner lives in the building and the building has fewer than 10 units, the building is exempt. The owner must actually occupy a unit as their primary residence.
New Construction (30-Year Window)
Buildings that received their first Certificate of Occupancy less than 30 years ago are exempt. This is measured from the date of the original Certificate of Occupancy, not the date of any subsequent renovations.
245% FMR Threshold
Units where the rent exceeds 245% of the HUD Fair Market Rent (FMR) for the applicable county and unit size are exempt. FMR is published annually by HUD. This threshold is evaluated at the time of the lease renewal or proposed increase.
Already Regulated Units
Units already subject to rent stabilization, rent control, Mitchell-Lama, LIHTC, Section 8 project-based, or other regulatory agreements are exempt. These programs have their own tenant protections.
Condos and Co-ops
Individually owned condominium units and cooperative apartments are exempt from Good Cause Eviction.
Municipalities That Have Opted In
Outside New York City (where GCE is automatic), municipalities must pass a local law to adopt Good Cause Eviction. As of mid-2026, the following municipalities have opted in:
| Municipality | County | Date Adopted | Notes |
|---|---|---|---|
| Albany (City) | Albany | 2024 | Among the first to opt in |
| Kingston | Ulster | 2024 | Had a local GCE law before the state version |
| Ithaca | Tompkins | 2024 | College town with tight rental market |
| Poughkeepsie (City) | Dutchess | 2024 | — |
| Beacon | Dutchess | 2024 | — |
| Newburgh | Orange | 2024 | — |
| Nyack | Rockland | 2024 | — |
| Hudson | Columbia | 2024 | Had prior local tenant protections |
| New Paltz (Town) | Ulster | 2024 | — |
| New Paltz (Village) | Ulster | 2024 | — |
| Rochester | Monroe | 2025 | Largest opt-in city outside NYC |
| Woodstock | Ulster | 2024 | — |
| Hastings-on-Hudson | Westchester | 2025 | — |
| Ossining (Village) | Westchester | 2025 | — |
| Peekskill | Westchester | 2025 | — |
| Mount Vernon | Westchester | 2025 | — |
| Port Chester | Westchester | 2025 | — |
| Saugerties | Ulster | 2025 | — |
| Catskill | Greene | 2025 | — |
For the latest opt-in status of your municipality, see our Good Cause Eviction Opt-In Tracker, which we update as new municipalities adopt the law.
Good Cause Eviction vs. Rent Stabilization
A common point of confusion: Good Cause Eviction and rent stabilization are separate systems with different rules. If your building is rent-stabilized, GCE does not apply. Here is how they compare:
| Feature | Rent Stabilization | Good Cause Eviction |
|---|---|---|
| Rent increase mechanism | RGB sets annual rate | CPI + 5% or 10% (whichever is less) |
| Applies to | ~1M NYC apartments (pre-1974 buildings in 6+ unit buildings, tax abatement buildings) | Market-rate apartments not otherwise exempt |
| Lease renewal right | Yes (mandatory) | Yes (unless just cause exists) |
| Vacancy decontrol | Eliminated by HSTPA (2019) | N/A — rent resets to market on vacancy |
| Registration required | Yes (annual DHCR registration) | No |
| Coverage area | NYC (plus ETPA municipalities) | NYC (automatic) + opt-in municipalities |
| Sunset date | None (permanent under HSTPA) | June 15, 2034 |
For a deeper comparison and a decision tree to determine which law applies to your building, see our guide on Rent Stabilization vs Good Cause Eviction.
Practical Compliance Steps for Landlords
If your property is subject to Good Cause Eviction, here is what you need to do:
1. Determine Your Unit Count
Count every residential rental unit you own across New York State, including through LLCs, partnerships, and other entities where you are the beneficial owner. If the total exceeds 10, you are subject to GCE (unless another exemption applies).
2. Check FMR Thresholds
For each unit, compare the current rent to 245% of the HUD Fair Market Rent for your county and unit size. If your rent exceeds this threshold, the unit is exempt. Check this annually, as FMR changes each year. Use our NY Good Cause Calculator for current thresholds.
3. Calculate Your Maximum Presumptively Reasonable Increase
Before issuing any rent increase, calculate CPI + 5% and compare to 10%. The lower number is your safe harbor. Exceeding it does not automatically make the increase illegal, but it shifts the burden of proof to you.
4. Document Cost Increases
If you intend to raise rent above the presumptive cap, document the specific cost increases that justify it: property tax increases, insurance premium hikes, major capital expenses, utility cost increases. You will need this documentation if a tenant challenges the increase.
5. Follow Notice Requirements
Provide the required 30, 60, or 90 days’ written notice before any lease non-renewal or rent increase, based on the tenant’s length of occupancy. Serve the notice using a method that creates proof of delivery.
6. Keep Good Records
Maintain lease copies, rent payment records, notice copies with proof of service, expense documentation, and tenant correspondence. In any GCE dispute, documentation is your primary defense.
“Good Cause Eviction is the quiet revolution in New York housing law. Rent stabilization gets the headlines, but GCE affects a different and potentially larger universe of apartments. If you own market-rate rentals in NYC, you are subject to rent increase limits whether you realize it or not.”
— Rachid Abadli, Founder & CEO at LeaseBase
The Sunset Clause: June 15, 2034
Good Cause Eviction has a built-in sunset date of June 15, 2034. Unless the legislature renews or extends the law before that date, it will expire automatically.
However, given the political trajectory of tenant protection legislation in New York — HSTPA was made permanent, rent stabilization has been strengthened repeatedly, and tenant advocacy organizations are well-funded and organized — most observers expect GCE to be renewed or made permanent before 2034.
Landlords should plan as if Good Cause Eviction is a permanent feature of the regulatory landscape. If it expires, you will have more flexibility. If it does not (the more likely scenario), you will already be compliant.
Frequently Asked Questions
Does Good Cause Eviction apply to my property outside NYC?
Only if your municipality has opted in. Check our opt-in tracker for the current list. If your town or city has not passed a local law adopting GCE, it does not apply to your property (regardless of unit count).
I own 8 units. Am I exempt?
Yes, if you own 10 or fewer units statewide. But count carefully: include ALL residential rental units you own, including through LLCs, partnerships, and related entities. If your spouse or business partner also owns units through the same entity, those count too.
Can I still raise rent above CPI + 5%?
Yes, but the increase is presumed unreasonable and you bear the burden of proving it is justified. You will need to demonstrate specific, documented cost increases that necessitate the higher rent. This is expensive to litigate and uncertain in outcome.
Does GCE apply to commercial tenants?
No. Good Cause Eviction applies only to residential rental units.
What happens when a GCE-covered tenant leaves?
Unlike rent stabilization, Good Cause Eviction does not limit the rent a landlord can charge to a new tenant. The rent increase cap only applies to existing tenants during their tenancy. When a unit is vacated, the landlord can set the rent at any level for the new tenant.
Can a municipality opt out after opting in?
The law does not explicitly address opt-out. In practice, a municipality that adopted GCE by local law could theoretically repeal that local law. However, no municipality has done so as of mid-2026.
Is Good Cause Eviction constitutional?
Legal challenges have been filed, primarily arguing that GCE constitutes an unconstitutional taking of property rights. As of mid-2026, no court has struck down the law. Given the long history of rent regulation in New York withstanding constitutional challenges, most legal analysts expect GCE to survive judicial review.
Stay Compliant Automatically
Good Cause Eviction adds another layer of compliance to an already complex regulatory environment for New York landlords. Between rent stabilization, HSTPA, GCE, local laws, and HPD requirements, keeping track of what applies to each unit is a significant operational burden.
LeaseBase’s NY Good Cause Calculator checks your property against all GCE exemptions, calculates your maximum presumptively reasonable rent increase, and tracks notice requirements based on tenancy length. You get a clear answer for each unit: covered or exempt, and what your limits are.
Related Reading
- NYC Rent Freeze 2026-27: What the 0% RGB Increase Means
- Is Your NY Rental Exempt from Good Cause?
- Rent Stabilization vs Good Cause Eviction: Which Law Applies?
- HSTPA Changed Everything: What NY Landlords Lost in 2019
- MCI and IAI Caps After HSTPA
- NYC Security Deposits, Late Fees, and Application Fees
- Good Cause Eviction Opt-In Tracker
