Cal. Civ. Code § 233-C
Residential ground lease cooperative apartment buildings
Operative Text
§ 233-c. Residential ground lease cooperative apartment buildings. 1. Wherever used in this section: (a) The term "residential ground lease cooperative apartment building" means any and all buildings, improvements or other structures located in the state of New York occupied, owned or leased in whole or in part by a ground lease residential cooperative, or any subsidiary or affiliate thereof, pursuant to a subject residential cooperative ground lease. (b) The term "ground lease residential cooperative" means any New York corporation organized or operating as a housing development fund corporation, New York cooperative corporation or cooperative housing corporation, including any entity meeting the definition thereof for federal income tax purposes, or any person or entity that is a tenant in common, co-tenant or joint owner with any such corporation, or which is, directly or indirectly through a subsidiary or affiliate thereof, a party to a subject residential cooperative ground lease. (c) The term "subject residential cooperative ground lease" means the lease agreement, together with any amendments or other related agreements including any forbearance, settlement, tenancy in common or other similar agreements related thereto, pursuant to which a ground lease residential cooperative leases, occupies or otherwise uses for residential, commercial, or other ancillary purposes the ground lease real property from one or more subject ground lease owners. (d) The term "ground lease real property" means all real property, including improvements thereon, all or any portion of which is leased, rented, licensed or otherwise provided for use to a ground lease residential cooperative pursuant to a subject residential cooperative ground lease, including any portion thereof that may be subleased or otherwise used for ancillary retail, parking, or commercial purposes. (e) The term "subject ground lease owners" means any and all persons or entities, whether natural persons, estates, trusts, corporations, partnerships or other entities, other than any excepted ground lease owner, that holds title to or is the owner, whether by the entirety, as tenants in common or otherwise, of ground lease real property or is otherwise the landlord under any subject residential cooperative ground lease. (f) The term "excepted ground lease owner" means (i) the United States federal government, the state of New York, the city of New York, and any agency, municipality or political subdivision of any of the foregoing thereof, any entity owned or controlled by any of the foregoing, including but not limited to, the Battery Park city authority, the Roosevelt Island Operating Corporation, the Queens West Development Corporation, the Brooklyn Bridge Park Development Corporation, the New York City Educational Construction Fund, and the New York City Housing Authority, (ii) any charity approved under section 501(c) of the internal revenue code which acquired its interest as the owner or landlord of a ground lease real property prior to January first, two thousand twenty-four, and (iii) any Indian nation, tribe or band as such lands are described under and protected by the Indian law or title twenty-five of the United States Code, but shall exclude any private foundation within the meaning of section five hundred nine of the internal revenue code. 2. Notwithstanding any term of a subject residential cooperative ground lease to the contrary, if a subject residential cooperative ground lease authorizes the ground lease residential cooperative to renew or extend its lease at the sole option of the ground lease residential cooperative, then the ground lease residential cooperative may exercise such right to renew or extend at any time prior to the expiration of the subject residential cooperative ground lease in accordance with all other terms thereof.
N.Y. Real Prop. Law § 233-C establishes a detailed set of definitions for a specific category of housing arrangement in New York: cooperative apartment buildings that sit on land leased from a private owner rather than land the cooperative itself owns. The core operative rule in subdivision 2 provides that when such a ground lease gives the cooperative the sole option to renew or extend the lease, that renewal right can be exercised at any point before the lease expires, regardless of any conflicting language in the lease itself. Certain landlords are carved out of the law's reach entirely, including government entities, qualifying tax-exempt charities that acquired their interest before January 1, 2024, and recognized Indian nations.
Plain English — not legal advice.
Property owners who hold title to land leased to a residential cooperative and who are not among the categories exempted under N.Y. Real Prop. Law § 233-C should be aware that any lease provision purporting to restrict or condition the cooperative's timing for exercising a sole-option renewal right may be unenforceable under this statute. Compliant ground lease owners generally review their existing lease agreements with this provision in mind and ensure that renewal notices from the cooperative are processed without imposing timing restrictions that the statute overrides. Owners who believe they qualify as an "excepted ground lease owner" under § 233-C—such as certain government bodies or qualifying charities—typically document that status carefully, as the exemption has specific eligibility criteria.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Residents who own shares in a cooperative apartment building that leases its land from a private owner may have an indirect interest in the protections established by N.Y. Real Prop. Law § 233-C, since the cooperative's ability to renew its ground lease affects the long-term security of the entire building. If a cooperative board is facing a dispute over its right to exercise a renewal option, individual shareholders can inquire with the board about how § 233-C applies to their building's specific lease arrangement. Tenant-rights organizations and housing advocacy groups familiar with cooperative housing law can be a useful starting point for understanding how this provision may bear on a cooperative's 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 September 13, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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