Housing Rights Initiative Files Class-Action Lawsuit Against AvalonBay Communities Over Alleged Rent Overcharges in Brooklyn
Housing Rights Initiative (HRI) has initiated a class-action lawsuit against AvalonBay Communities, Inc., alleging illegal rent overcharges for rent-stabilized tenants in three Downtown Brooklyn apartment buildings. The lawsuit, filed on September 28 in New York State Supreme Court in Kings County by Newman Ferrara LLP, targets properties located at 343 Gold St., 100 Willoughby St., and 214 Duffield St. HRI, with support from State Senator Andrew Gounardes and City Council Member Lincoln Restler, estimates that the alleged overcharges could exceed $40 million and impact hundreds of tenants. The core of the case revolves around how AvalonBay applied rent concessions to rent-stabilized apartments. According to the lawsuit and HRI, the company used temporary concessions to reduce tenants' effective rents, only to later increase rents beyond the limits permitted under New York’s rent-stabilization rules. An example cited in the lawsuit details a listed monthly rent of $4,627, which was reduced to an effective ...
