N.Y.C. Admin. Code tit. 27, ch. 2 § 27-2134
Proceedings on return of order to show cause (New York City Housing Maintenance Code)
Operative Text
a. On the return of the order to show cause, determination thereof shall have precedence over every other business of the court unless the court shall find that some other pending proceeding, having a similar statutory preference, has priority. b. If the court finds that the facts stated in the application warrant the granting thereof, then it shall appoint the commissioner of housing preservation and development receiver of the rents, issues and profits of the property. c. Notwithstanding subdivision b of this section, if, after determination of the issue, the owner, or any mortgagee or lienor or other person having an interest in the property, shall apply to the court to be permitted to remove or remedy the conditions set forth in the department's application and shall (1) demonstrate the ability promptly to undertake the work required; and (2) post security for the performance thereof within the time, and in the amount and manner, deemed necessary by the court, then the court may in lieu of appointing a receiver issue an order permitting such person to perform the work within a time fixed by the court. If at the time fixed in the order the work has not been satisfactorily done, the court shall appoint such receiver. If after the granting of an order permitting a person to perform the work but before the time fixed by the court for the completion thereof it shall appear to the department that the person permitted to do the same is not proceeding with due diligence, then the department may apply to the court, on notice to those persons who have appeared in the proceeding, for a hearing to determine whether a receiver shall be appointed immediately. On the failure of any person to complete the work in accordance with the provisions of an order under this subdivision, the department, or any receiver thereafter appointed shall be reimbursed for costs incurred by him or her in removing or remedying the condition and other charges herein provided for out of the security posted by such person.
Under N.Y.C. Admin. Code §§ 27-2001 and 27-2134, when a court hears a housing-code enforcement case on an order to show cause, that hearing takes priority on the court's docket. If the court finds the city's application is supported by the facts, it may appoint the Commissioner of Housing Preservation and Development as a receiver to collect rents and manage the property. However, an owner, mortgagee, lienor, or other interested party can avoid receivership by convincing the court they can promptly fix the cited conditions and by posting adequate security; if they fail to complete the work on time or with due diligence, the court can appoint a receiver immediately and the posted security can be used to cover remediation costs.
Plain English — not legal advice.
Under §§ 27-2001 and 27-2134, a property owner facing a receivership application has a meaningful opportunity to retain control of the building by stepping forward at the court hearing, demonstrating the capacity to carry out required repairs promptly, and posting court-approved security. Operators who take this route are generally expected to proceed with due diligence and complete all work within the court-set deadline, because the Department of Housing Preservation and Development can return to court to seek immediate receiver appointment if progress stalls. Any security posted is subject to forfeiture to cover remediation costs if the work is not completed as ordered, so maintaining clear documentation of repair progress and expenditures is a practice consistent with compliance.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
For tenants living in a building subject to proceedings under §§ 27-2001 and 27-2134, this provision establishes a court-supervised mechanism that can result in the New York City Department of Housing Preservation and Development taking over rent collection and property management if an owner fails to address serious housing conditions. Tenants can monitor whether a receiver has been appointed by checking court records or contacting the New York City Department of Housing Preservation and Development directly, and tenant-rights organizations can help explain what a receivership means for rent payments and repairs. If an owner is permitted to do the work instead of a receiver being appointed, the provision still allows the department to return to court if repairs are not proceeding diligently, offering an ongoing layer of oversight that tenants may find relevant to their situation.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 14, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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