Zara Realty Accused of Overcharging Rent-Stabilized Tenants

Zara Realty, a landlord with properties in Jamaica and Queens has been accused of violating rent-stabilization laws by New York Attorney General Letitia James and New York State Homes and Community Renewal (HCR) Commissioner RuthAnne Visnauskas. In addition to charging more money than was legally permitted, the landlord would sue tenants and attempt to evict them when they failed to pay these illegally inflated rents. This has resulted in significant harm to their tenants, who faced increased costs and risked eviction due to their landlord’s alleged malfeasance.

Landlord Faces Charges For Violating Rent Stabilization Laws

Zara Realty Holding Corp. (also known simply as Zara Realty) is facing charges that it knowingly overcharged rent-stabilized tenants, in violation of New York State law. Among other things, it reportedly took advantage of residents who paid their rent through the New York City Department of Social Services, overcharging them and ignoring rent reduction orders. Moreover, when tenants failed to pay these inflated rents, Zara Realty would seek to have them evicted, forcing them to seek legal counsel to avoid losing their homes.

A History of Rent Violations

Unfortunately, this is not the first time that Zara Realty has faced these kinds of allegations. Back in 2019, Zara was sued by HCR and Attorney General James for intentionally targeting middle- and low-income residents by overcharging them and making them sign improper leases. This history shows a pattern of ongoing issues with rent stabilized tenants.

The Harm Caused by Overcharging Tenants

The costs for these kinds of actions by a landlord goes beyond just the money lost due to being overcharged for their rent, as some tenants faced the uncertainty and added cost of defending themselves against evictions by Zara after facing illegally increased rents, and by depriving tenants of money they needed for living expenses.

New York Attorney General and HCR Seek Damages and Injunctive Relief

The Attorney General and HCR are seeking compensation from Zara in the form of paying back the overcharged rent, as well as paying damages to all current and former tenants affected by the actions of Zara. They are also seeking injunctive relief to get the landlord to stop overcharging its residents and comply with rent stabilization laws. They are also demanding that Zara cancel and reissue all leases with terms that comply with the law, to prevent these issues from occurring in the future.

If you are in a dispute with your landlord and want to know more about protecting yourself, do not wait until it is too late. You should seek advice from an attorney experienced in handling landlord-tenant disputes, who can advise you on your rights and help you avoid the risk of eviction. Contact the skilled landlord-tenant attorneys at Hobson-Williams, P.C.  Contact us online, toll-free (866) 825-1529 or (718) 210-4744 to discuss your rights and the solutions available to you.

Author: Tanya Hobson-Williams

Appointed to the bench by the Board of Trustees in 2008, and elected in 2009, Tanya Hobson-Williams was the first African-American Female Justice in the Incorporated Village of Hempstead. Tanya Hobson–Williams obtained her B.A. in Government and Politics from St. John's University and her law degree from Benjamin N. Cardozo School of Law. Tanya Hobson-Williams has an active elder law practice assisting senior citizens in obtaining Medicaid for Home Care and Nursing Home Care. She routinely lectures at senior citizen centers, assisted living facilities, law schools and counsels families on a variety of topics of concerns to families caring for the elderly.

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