Good Cause Eviction Exemptions in New York: How to Protect Your Investment

Good Cause Eviction is now law in New York State. It went into effect April 20, 2024. Municipalities opt in, and Syracuse is expected to adopt it on February 24, 2026.

But here is what most landlords do not realize: there are significant exemptions. Depending on the size and age of your building, you may not be covered by this law at all. You need to know exactly where you stand before you make any decisions about your portfolio.

The Major Exemptions

The law does not apply to every rental property. Several categories are carved out entirely. If your property falls into any of these categories, Good Cause Eviction does not apply to you.

Owner-Occupied Buildings With 10 or Fewer Units

If you live in the building and it has 10 or fewer total units, you are exempt. This covers the classic house-hack scenario. You buy a duplex, live in one side, rent the other. Good Cause does not touch you.

This also covers small apartment buildings where the owner occupies one unit. A 6-unit building where the owner lives in unit 1? Exempt. An 8-unit building with the owner on site? Exempt.

Buildings With 10 or Fewer Units (Non-Owner-Occupied)

This is the big one for Syracuse landlords. If the building has 10 or fewer total units, it is exempt regardless of whether the owner lives there.

Think about what this means for the Syracuse rental market. The overwhelming majority of rental housing in Syracuse is in small buildings. Duplexes, triplexes, four-plexes, converted houses with a handful of units. Most of these buildings have well under 10 units.

If you own a portfolio of small buildings, each with fewer than 10 units, every single one of those buildings could be exempt. The law is written per building, not per portfolio. Owning 50 units across 12 buildings does not trigger coverage if no single building exceeds 10 units.

New Construction Built After 2009

Any building that received its certificate of occupancy after 2009 is exempt. The legislature carved this out to avoid discouraging new construction. If you built or substantially renovated a building and got a new CO after 2009, Good Cause does not apply.

This matters for developers considering new projects in Syracuse. New construction is not penalized by this law, at least for now. Future legislative changes could remove this exemption, so keep that in mind for long-term planning.

Units Where Rent Exceeds 245% of Fair Market Rent

If the rent on a unit exceeds 245% of the HUD Fair Market Rent for the area, that unit is exempt. This is designed to exclude luxury rentals.

For Syracuse, the FMR varies by bedroom count. A one-bedroom FMR in the Syracuse metro is roughly $900. At 245%, the exemption kicks in at about $2,205/month. For a two-bedroom at roughly $1,100 FMR, the threshold is about $2,695.

Most Syracuse rentals fall well below these numbers. But if you have renovated units in premium locations pulling top-of-market rents, check whether you clear the 245% threshold.

Units Already Covered by Rent Stabilization

Units subject to the Rent Stabilization Law or Emergency Tenant Protection Act are excluded from Good Cause. This mostly applies to New York City and a handful of downstate municipalities. Syracuse does not have rent stabilization, so this exemption is largely irrelevant here.

How the Rent Cap Works

For units that ARE covered by Good Cause, rent increases are capped. The formula is the lesser of:

• CPI (Consumer Price Index) + 5%, OR
• 10%

Whichever number is lower, that is your maximum annual rent increase. If CPI is at 3%, your cap is 8%. If CPI is at 6%, your cap is 10% (because 11% exceeds the 10% hard ceiling).

The rent increase is measured from the existing rent. Not market rent. Not comparable rents. Your current rent on that specific unit. If you have been undercharging a tenant for years, you cannot jump to market rate. You can only increase by the capped amount each year.

This is why raising rents to market rate NOW, before your municipality opts in, is critical for covered units.

Can You Exceed the Cap?

There are limited circumstances. If the landlord can demonstrate that the increase is necessary to cover increased operating costs, a court may allow a higher increase. But the burden of proof is on the landlord, and you will need documentation. Tax bills, insurance quotes, repair invoices, utility cost comparisons. Going to court to justify a rent increase is expensive and time-consuming. Most landlords will not bother.

What Counts as “Good Cause” for Eviction

Under the law, landlords can only evict (or refuse to renew a lease) for the following reasons:

• Nonpayment of rent. The tenant has not paid rent. This is straightforward, though the court process is still slow.
• Nuisance. The tenant is causing a nuisance that substantially interferes with the comfort, safety, or enjoyment of other tenants or neighbors. Proving this requires documentation and typically police reports or code violations.
• Illegal use. The tenant is using the unit for illegal purposes. Drug activity, illegal business operations, etc.
• Unreasonable refusal of access. The tenant repeatedly refuses the landlord lawful access for repairs, inspections, or showings.
• Violation of lease terms. The tenant has materially violated a substantial obligation of the lease after receiving notice and failing to cure.
• Owner occupancy. The landlord or an immediate family member intends to occupy the unit. This requires good faith and the landlord must actually move in.
• Withdrawal from rental market. The landlord is removing the unit from the rental market entirely. You cannot use this to cycle tenants.
• Substantial renovation. The landlord needs the unit vacant for major renovation that cannot be done with a tenant in place. This is narrowly interpreted.

The critical thing to understand: “I just want a different tenant” is not good cause. “The lease expired and I am not renewing” is not good cause. “I want to raise rent to market rate and this tenant will not agree” is not good cause.

What Landlords Should Do Right Now

Whether or not your properties are exempt, you should be taking steps today.

Count Your Units Per Building

Go through every building you own. Count the total number of units in each building. If every building in your portfolio has 10 or fewer units, you are likely exempt from the entire law. Get this documented.

Check Building Age and CO Dates

If any building received a certificate of occupancy after 2009, that building is exempt. Pull your records. If you do not have CO dates, contact the local building department.

Review Current Rents Against FMR

Check HUD Fair Market Rent data for the Syracuse metro area. If any of your units are rented above 245% of FMR, those units are exempt. This is unlikely for most Syracuse rentals, but worth checking.

Raise Rents to Market Rate Now

If you have tenants paying below market rent and the unit is potentially covered by Good Cause, raise to market rate before the law takes effect in your municipality. Once the cap kicks in, you are stuck incrementally increasing from wherever your current rent sits.

This is not price gouging. This is setting your rent at the rate the market supports before a government cap prevents you from ever getting there.

Tighten Screening Criteria

Once a tenant is in a covered unit, removing them becomes significantly harder. Your screening process needs to be airtight. Credit checks, income verification, landlord references, background checks. Do not skip steps. Every tenant you approve under Good Cause is a tenant you may be stuck with for a very long time.

Document Everything

Start documenting tenant interactions, complaints, maintenance requests, and lease violations now. If you ever need to establish “good cause” for an eviction, you will need a paper trail. Texts, emails, photos, dated notes. All of it matters.

Consult an Attorney

If you own larger buildings that may be covered, talk to a real estate attorney about your options. There may be legal structuring strategies that maximize your exemptions. Do this before the law takes effect, not after.

The Bottom Line

Good Cause Eviction is real, and it is coming to Syracuse. But it is not a blanket law that covers every rental unit. Small building owners, which make up the majority of Syracuse landlords, are likely exempt.

Know your exemptions. Know the rules. And prepare now while you still have options.

If you own rental property in Syracuse, Oswego, Auburn, or Utica and need help figuring out how Good Cause Eviction affects your portfolio, we can walk you through it.

Talk to Us

Call RenPro Property Management at 315-400-2654. We manage rental properties across Central New York and we know this law inside and out. Do not wait until after the vote to start planning.