New York Sublease Agreement

Right to Sublet

In New York, tenants must obtain explicit written permission from their landlord to sublet their rental unit, unless the lease explicitly allows subletting. The process for requesting consent involves sending a certified letter to the landlord that includes:

• The term of the sublease
• The name of the proposed sublessee
• The business and home address of the proposed sublessee
• The tenant’s reason for subletting
• The tenant’s address during the term of the sublease
• The written consent of any co-tenant or guarantor of the original lease
• A copy of the proposed sublease, acknowledged by both the tenant and the proposed sublessee

Landlords are required to respond to sublet requests within 30 days. If they fail to do so, it may be interpreted as consent. However, landlords must provide valid reasons if they deny a request. Tenants who believe they were unreasonably denied consent may still proceed with subletting but risk potential legal action against the landlord.

Special Considerations

• Buildings with Four or More Units: Tenants have the right to sublease with the landlord’s consent, which cannot be unreasonably withheld.
• Buildings with Three or Fewer Units: Landlords are not obligated to authorize a sublet request, but tenants may terminate their lease with 30 days’ notice if a request to sublet is unreasonably denied.

Structure of a New York Sublease Agreement

A New York sublease agreement typically includes the following key components:

• Names of the Parties: Identification of the sublessor and sublessee.
• Rental Unit Location: The address of the rental unit.
• Rent: The amount of rent, payment schedule, and method of payment.
• Term: The start and end dates of the sublease.
• General Conditions: A statement that the sublease contains all agreements and can only be modified in writing.
• Liability: Responsibilities for damages incurred during the sublease.
• Authorized Occupants: Identification of individuals authorized to reside in the rental unit.
• Master Lease Inclusion: Attachment of the original lease to the sublease.
• Lead-Based Paint Notice: Required if the property was built before 1978.
• Security Deposit: Terms regarding the deposit, including the maximum limit and conditions for its return.
• Utilities: Specification of which utilities are to be paid by whom.
• Inventory of Included Items: A list of items included in the sublease, such as furniture or appliances.
• Disputes: Procedures for resolving disputes between the sublessor and sublessee.
• Smoking and Parking Policies: Any restrictions or designated areas for smoking and parking.
• Landlord’s Consent: Description of how landlord consent is obtained.

Tax Implications of a Sublease

In New York, sublessors may be subject to various taxes if they sublet a property for 90 days or less. The applicable taxes include:

• New York State Sales Tax: 4%
• New York City Sales Tax: 4.5%
• Metropolitan Commuter Transportation District Surcharge: 0.375%
• NYC Hotel Room Occupancy Rate: $2 per room + 5.875%
• New York State Hotel Unit Fee: $1.50 per unit per day
• County Taxes: Varies by county

Local regulations may impose additional requirements, such as New York City’s requirement for short-term renters to register with the mayor’s office for a fee of $145.

Statutes

• N.Y. Real Prop. Law § 227-C – Termination of residential lease by victims of domestic violence
• N.Y. Real Prop. Law § 232-A – Notice to terminate monthly tenancy or tenancy from month to month in the city of New York
• N.Y. Real Prop. Law § 232-B – Notification to terminate monthly tenancy or tenancy from month to month outside the city of New York
• N.Y. Real Prop. Law § 233-B – Campgrounds
• N.Y. Real Prop. Law § 234 – Right to recover attorneys’ fees in actions or summary proceedings arising out of leases of residential property
• N.Y. Real Prop. Law § 235-A – Tenant right to offset payments and entitlement to damages in certain cases
• N.Y. Real Prop. Law § 235-B – Warranty of habitability
• N.Y. Real Prop. Law § 235-D – Harrasment
• N.Y. Real Prop. Law § 235-E – Duty to provide written receipt
• N.Y. Real Prop. Law § 235-G – Electronic billing and/or payment of rent
• N.Y. Real Prop. Acts. Law § 753(4) – Stay in premises occupied for dwelling purposes
• N.Y. Gen. Oblig. Law § 5-328 – Processing fee by holder of dishonored check
• N.Y. Gen. Oblig. Law § 7-103(1) – Money deposited or advanced for use or rental of real property; waiver void; administration expenses
• N.Y. Gen. Oblig. Law § 7-103(2) – Money deposited or advanced for use or rental of real property; waiver void; administration expenses
• N.Y. Gen. Oblig. Law § 7-105 – Landlord failing to turn over deposits made by tenants or licensees and to notify tenants or licensees thereof in certain cases