Eugene Travers. Image Credit: Eugene Travers/Kramer Levin

Governor Andrew Cuomo’s executive orders issued in response to the COVID-19 public health emergency halted non-essential construction throughout the City of New York. Many of the halted construction projects enjoyed land use approvals granted by City agencies, and the Governor’s orders did not toll the expiration dates of these approvals. (Update:) Subsequent to the construction shutdown, Mayor Bill de Blasio on April 29, 2020 issued an emergency executive order tolling the expiration dates of certain City land use approvals “for the duration of the [COVID-19] emergency.”  It remains to be seen if legislation will be adopted to provide a more permanent solution to address the time lost during the construction shutdown and the eventual remobilization period.  The New York State Senate passed a bill on May 27, 2020 that would allow the City to extend certain land use approvals issued before March 7, 2020 for up to 120 days beyond their stated expiration dates.*

Even with these measures, with limited exceptions, the approvals will expire after a period of time unless proactive measures are taken.  Developers and lenders should confirm the status of existing approvals, note their expiration dates (subject to any tolling), and apply for renewals as necessary.

This article describes the requirements to preserve the rights granted by some common land use approvals, and summarizes the expiration dates and renewal procedures for such approvals. (read more…)