Local Law No. 7 of 2018 requires HPD to evaluate certain sales of select rent-regulated multiple dwellings for potential inclusion on the Speculation Watch List. HPD measures the potential for speculation by comparing a property’s capitalization rate (defined as a property’s net operating income divided by its sales price) to the median capitalization rate of similar buildings sold in the same borough. HPD places properties sold with capitalization rates below their borough’s median on the Speculation Watch List.
For more information on the criteria used to evaluate buildings and sales, consult the adopted rules below.
We will release two new files every quarter: one with all building sales evaluated for the Speculation Watch List (see LL7-2018 Qualified Transactions), and the subset of sales placed on the Speculation Watch List.
If you believe a building or sale was included or excluded in error, please contact HPD by emailing SWL@hpd.nyc.gov. When contacting us, please include the building’s street address (and borough, block, and lot if known) and the date of sale. We can only consider transactions of buildings that occurred on or after July 1, 2018, have a non-zero sales price, and meet other list criteria set in the adopted rules below.