Developing land on Long Island can present a number of challenges that all developers should be aware of. From complex zoning ordinances to state environmental regulations, there is no shortage of obstacles that may delay a development project. One of the most significant – and sometimes overlooked – obstacles is Town Law Section 280-a. This
On March 27, 2025, Empire State Development, New York State’s chief economic development agency, announced the launch of the Long Island Forward Housing Program (LIFHP), a $10 million initiative designed to promote and accelerate the development of affordable multifamily housing across Nassau and Suffolk Counties. Instead of providing direct grants, Empire State Development will
Suburban strip malls have been a staple of Long Island’s retail identity – convenient, accessible, and often anchored by big-name national chains. But, as retail trends evolve and those anchor tenants face uncertainty and for some, extinction, these once thriving properties are faced with the looming question of what comes next. For example, Rite Aid has struggled to stay afloat after filing for bankruptcy in 2023 and has left several Long Island landlords with vacant storefronts. However, this story isn’t unique to Rite Aid. Sears, Kmart, Bed Bath & Beyond, Party City – all large household names that at one-point anchored centers across Long Island. Now, these brands have downsized or disappeared entirely.
Rite Aid joins a growing list of retailers that now are either extinct or dramatically reduced in presence but once served as key anchors for many Long Island centers. JCPenny and Lord & Taylor filed for bankruptcy and shut down key Long Island locations. Bed Bath & Beyond left large footprints across Long Island after liquidating in 2023. Toys “R” Us, Office Max and Party City have all closed stores creating large format vacancies. Not only do these closures leave visible gaps in the retail landscape, they highlight a larger trend: many legacy retail chains are no longer reliable long term anchors.Continue Reading Retail Reckoning for Suburban Strip Malls
Restrictive covenants are common conditions of zoning approvals. Municipal boards typically require applicants to record restrictive covenants as a condition of approval. These restrictive covenants are drafted to “run with the land,” meaning the covenants automatically transfer with the property.
Generally, restrictive covenants are enforceable in New York, provided they are reasonable and benefit all property owners in the community and are not inconsistent with public policy or violate a property owner’s rights. See, Deak v. Heathcote Association, 191 AD2d 617 (2d Dept 1993) (party seeking extinguishment of the restrictive covenants must prove (1) lack of benefit derived from enforcement of the restriction, and (2) legally cognizable reason for the extinguishment of the restriction under RPAPL 1951, such as “changed conditions” which render the purpose of the restriction incapable of being accomplished). Continue Reading Restrictive Covenants: The Devil Is in the Details…
On March 3, 2025, Senate Bill S584, sponsored by Sen. James Skoufis, was introduced to the NYS Senate during the 2025-26 NYS Legislative Session (the “Bill“). The Bill aims to amend paragraph (b) of subdivision 1 of section 420-a (“420-a“) of the New York State Real Property Tax Law (the “
All civil judicial proceedings must be in the form of an action – unless otherwise authorized by statute, i.e. in the form of a special proceeding (see CPLR 103[b]). While most lawsuits are brought solely in the form of either a “special proceeding” or an “action,” land use litigants frequently combine the two into a “hybrid proceeding-action.” In the land use context, special proceedings are commonly brought pursuant to CPLR Article 78 to challenge the determinations of local bodies or officers, and litigants will often simultaneously bring an action to assert one or more plenary claims for, among other things, declaratory relief.
The CPLR requires specific papers and pleadings for the commencement and prosecution of each type of lawsuit, and, concomitantly, for a hybrid lawsuit. A litigant’s failure to strictly comply with the CPLR’s requirements may render certain claims jurisdictionally defective and/or untimely. A recent Decision, Order and Judgment of the Supreme Court, Albany County, in Clean Air Coalition of Western New York, Inc. v New York State Pub. Serv. Commn. (2024 NY Slip Op 24288 [Sup Ct, Albany County 2024]), discussed below, is illustrative.Continue Reading Hybrid Highlights: Avoiding the Pitfalls of a Land Use Litigation Technique
Amidst the holidays and end-of-year scramble, New York State Governor Kathy Hochul vetoed legislation that would have required Industrial Development Agencies to have school district and labor union representatives on their governing board and/or board of directors.
Industrial Development Agencies, commonly known as “IDAs,” are public benefit corporations, a form of governmental entity created by the New York State Legislature. IDAs are authorized by New York State law to grant economic incentives, including tax abatements and Payment-In-Lieu-of-Tax (“PILOT”) Agreements, to businesses to encourage local economic development and growth, and meaningful job creation.
IDA boards are comprised of private citizens appointed by local government, with board members generally having significant experience in private sector business, economic development, finance and government.Continue Reading Critical End-of-Year Veto for Legislation Impacting Industrial Development Agencies
It is no secret that the retail market has faced significant challenges over recent years. With the rise in e-commerce came a prediction of the decline of the brick and mortar retail store. This prediction was reinforced with major retail brands, such as Barneys, Lord & Taylor, and Century 21 facing bankruptcy. Pair that with shrinking discretionary budgets, a global pandemic and ever-changing consumer preferences, many claimed the retail sector was on its death bed. Instead, what we have seen is an industry that is well versed at adaptation and continues to navigate these changes.
According to Cushman & Wakefield’s most recent report, “many markets with large urban centers saw positive demand in Q3, including San Francisco, Dallas/Ft. Worth, Boston, Chicago, New York and Washington D.C.” In fact, the report also showed the “national vacancy rate remains near a historic low of 5.4%.” In the wake of much doubt about the future of retail, we’ve seen retail adapt and prosper with historically low vacancy rates. Now is no different with the retail market’s newest adaptation, and its strategy may result in retail being more permanent than ever.Continue Reading New York Retail’s New Frontier: The Shift from Leasing to Owning Space in a Changing Market
Failing to file a notice of claim pursuant to Civil Practice Law and Rules (“CPLR”) Section 9802 can become a trap for the unwary litigator who commences a hybrid proceeding-action (Article 78 claim(s) combined with plenary cause(s) of action) or a strict Article 78 proceeding against a village (see South Nyack Police Assn. v Village of South Nyack, 229 AD3d 635 [2d Dept 2024]).
Section 9802 provides that “no action shall be maintained against the village upon or arising out of a contract of the village” unless a notice of claim has been served. Although this language appears limited, Courts have interpreted it more broadly. Thus, a party bringing any action against a village must plead and prove, as a condition precedent to the litigation, that the party served a written verified notice of claim. The party’s failure to comply with this requirement can be fatal to the claim(s) asserted.
In South Nyack Police Assn., police officers and their association commenced an Article 78 proceeding against the village, mayor, and trustees, seeking to compel the village to compensate the officers for unused sick time. The Supreme Court, Rockland County, converted the Article 78 proceeding into a plenary action for breach of contract and declaratory relief, and denied village’s motion to dismiss. Upon reargument, the Supreme Court granted the village’s motion to dismiss based on the officers’ and association’s failure to comply with Section 9802 (i.e. the officers and association failed to serve a notice of claim).Continue Reading The Importance of Filing a Notice of Claim Against A Village: CPLR 9802 – A Trap for the Unwary Litigator
The good-guy guaranty is a commonly used form of security in the field of commercial leasing. Despite appearing straightforward, the fundamentals of a good-guy guaranty are often misunderstood by landlords, tenants and brokers. Failing to understand the implications of a good-guy guaranty may result in unintended consequences for the landlord, the tenant and the guarantor.
Guaranties are an important component of commercial lease negotiations. Before signing a lease, a landlord will typically review and assess a tenant’s financial information. If the tenant doesn’t have sufficient credit, the landlord may require a third party to guaranty the lease. In the context of leasing, a guaranty is a third party’s promise to pay and perform the tenant’s obligations arising under a lease.
If the landlord requires a full guaranty, the guarantor will be asked to guaranty all of the tenant’s lease obligations. Alternatively, a landlord may ask for a limited guaranty, of which there are several variations. Some limited guaranties cap the guarantor’s exposure to a certain dollar amount, while others may terminate after a period of time. Continue Reading Understanding Good-Guy Guaranties: What Every Landlord and Tenant Should Know