Landlord renting rooms as hotels - lease violation?

[Shanob]

My husband and I signed a year long lease in February of this year in a brand new building in Williamsburg Brooklyn. We were told there would be a gym in the basement. In addition, the building's website still lists either a gym or a billiards room (tbd) as part of the ammenities and boasts of the building offering a "true community-within-a-community feel".
However, shortly after moving in, we inquired about the basement gym and were told the project was cancelled and offered no explanation. In addition, over the next month, we began to notice a disproportionate number of European travellers constantly carrying luggage in and out of the building. We searched online and discovered that the management company rented out the remaining available apartments to a man that runs an underground hotel chain out of luxury buildings in Brooklyn and Manhattan. In fact, out of 36 units, it appears that only 11 units are being rented by long term tenants. There are constantly new people (obviously unscreened) coming in and out of our building. Last month, a person from Manhattan rented out a room for one night and threw a party of over 60 people that lasted well into the early hours of the morning. We don't feel secure in the building. There is now a daily cleaning crew that has on 3 separate occasions accidentally walked in our apartment by mistake. And the gym they initially promised is now being used to house the Brooklyn head quarters of this "hotel" company. I have contacted the management company and asked them if they have the correct legal permits to allow this activity to go and I was told they do. Unfortunately, it does not appear that this is technically not illegal.
So here is my question... have they done anything that would allow me to break the lease without a penalty? We had to pay last month's rent and 1 month security deposit when we moved in and would want that money back as well.

 

[army judge]

If I were you, I'd get out at all costs.

Otherwise, you'll wake up to armed robbers in your apartment or come home to a vacant (but burglarized) unit.

I'd also contact the city agency in NYC that handles apartment buildings and renters.

The building management is lying to you.

They don't have permits and don't pay taxes.

Hotels are licensed separately in NYC.

These guys are shady at best, criminal at worst.

 

[Shanob]

I have checked multiple sources online and here is what I have found:

"According to city codes, a hostel is legal if its building is located in an area that is zoned to allow the hostel to operate and the manager has the proper permits to run the lodge. The building must also have an amended certificate of occupancy signifying the intended use of rooms in the building and additional safety measures to accommodate the population living in the property. "What this comes down to is that the people who are renting out these rooms are putting themselves at risk if there aren't adequate fire safety measures," said Department of Buildings spokeswoman Carly Sullivan. "You don't want a scenario that is unsafe for people to stay there."
Sullivan did say that the bottom line is that any loft could be converted into a hostel — provided the permits and safety measure are in place."

My questions is this: even though it is technically not illegal, and assuming the building has the proper permits, could I possibly have grounds to break the lease without financial penalty AND get my security deposit/last month rent back?

 

[army judge]

My questions is this: even though it is technically not illegal, and assuming the building has the proper permits, could I possibly have grounds to break the lease without financial penalty AND get my security deposit/last month rent back?

Ask them if they will allow you to break your lease?
Tell them you are unhappy with the current arrangement they are pursuing.

They probably will say no.

Look to your lease and see what it says.
The lease will drive the answer.

Leases are very hard to break, unless you can prove you were promised something IN WRITING and they have failed to deliver it!


You might have to resort to non-payment of rent and your eventual eviction to USE up your security deposit.
That might not work, and you'll end up with an eviction, loss of security and big debt.

You can also speak with NY lawyer and see if he/she can negotiate a way out of your lease.

Bottom line, I doubt that you will get what you seek.

You might just have to put up with the problem until the lease expires!

 

[mightymoose]

There are special regulations and taxes involved with hotels. Some well placed phone calls can get this operation shut down.
The rent you pay was likely with the understanding of certain amenities being provided, which were not. You might be able to sue for a rent reduction or to recover a portion of your rent... doing so would bring to light what is going on in the building in open court. Probably more trouble than it is worth though.