NYC Rent Stabilization: RGB Order #57 (2025-26) Explained

For approximately one million rent-stabilized apartments in New York City, the New York City Rent Guidelines Board (“RGB”) sets the maximum permitted rent increase each year. Order #57, adopted by the RGB on 17 June 2025 under the New York City Administrative Code §26-510 and the Rent Stabilization Law (“RSL”), governs leases that begin or renew between 1 October 2025 and 30 September 2026. This article explains, from a Gyoseishoshi (行政書士) document-preparation perspective, what Order #57 actually says, how landlords and tenants should apply it, and where it interacts with the Housing Stability and Tenant Protection Act of 2019 (“HSTPA”).

1. The numbers in Order #57

Under RGB Order #57, rent-stabilized apartment leases beginning between 1 October 2025 and 30 September 2026 may be increased as follows:

The same Order applies separately to lofts subject to Article 7-C of the Multiple Dwelling Law and to hotels stabilized under the RSL, with their own percentages set out in the Order’s text.

Under NYC Admin Code §26-511(c)(4), the tenant — not the landlord — chooses whether the renewal will be 1-year or 2-year. A landlord cannot force a particular term, and a renewal offer must present both options at the rates above.

Primary source — NYC Rent Guidelines Board, Order #57 (2025-26 Apartment & Loft Order): https://rentguidelinesboard.cityofnewyork.us/2025-26-apartment-loft-order-57/

2. Which apartments does Order #57 apply to?

Order #57 applies to rent-stabilized apartments — not free-market apartments and not the very small remaining pool of rent-controlled units. Under NYC Admin Code §26-504, an apartment is rent-stabilized if it is in a building of 6 or more units built before 1 January 1974 in New York City, plus apartments in buildings receiving 421-a or J-51 tax benefits and certain other categories.

Approximately one million NYC apartments are stabilized; another million are free-market. To verify whether a specific unit is stabilized, tenants and landlords can request the rent registration history from the NYS Division of Homes and Community Renewal (“DHCR”):

Primary source — DHCR Tenant Online Services (rent history request): https://portal.hcr.ny.gov/app/ask

If the unit has never been registered with DHCR, but should have been, the tenant may have an overcharge claim. Under NYC Admin Code §26-516 as extended by HSTPA, the lookback period is 6 years and willful overcharge can result in treble damages.

3. How to apply the percentage correctly

The Order #57 percentage applies to the legal regulated rent in effect on the day before the new lease term begins, not to a preferential rent. Under HSTPA-amended NYC Admin Code §26-511(c)(14), where a tenant has been paying a “preferential rent” lower than the legal regulated rent, the renewal increase is calculated on the preferential rent for the duration of the tenant’s continuous occupancy. The legal regulated rent does not snap back at renewal.

Worked example:

• Legal regulated rent: USD 2,500 / month
• Preferential rent (current): USD 2,000 / month
• Tenant elects 2-year renewal under Order #57

Applying the 5.25% to USD 2,500 instead of the preferential rent overcharges the tenant by USD 526/month, which compounds annually and exposes the landlord to overcharge complaints filed on DHCR Form RA-89 under §26-516.

4. The 150-90 day window for renewal offers

Under 9 NYCRR §2523.5 and DHCR Fact Sheet #4, the landlord must offer renewal between 150 and 90 days before the existing lease expires. The offer is made on DHCR Form RTP-8 (renewal lease form) and must:

1. Offer both 1-year and 2-year terms at the Order #57 percentages
2. Attach the mandatory DHCR Rent Stabilized Lease Rider RA-LR1 (9 NYCRR §2522.5(c)(1))
3. State the legal regulated rent and any preferential rent
4. Be served by hand delivery or certified mail with proof of service

The tenant has 60 days to return the signed renewal selecting one of the two terms. If the tenant fails to return the renewal, the landlord cannot simply terminate — under NY Real Property Law (RPL) §226-c, the landlord must serve a holdover notice tied to tenancy length (30/60/90 days) and proceed via Housing Court.

Primary source — DHCR Fact Sheet #4 (Lease Renewal in Rent Stabilized Apartments): https://hcr.ny.gov/sites/default/files/documents/2024/02/fact-sheet-04-02-2024.pdf

5. Order #57 + HSTPA caps still apply

Order #57 sets the annual percentage. It does not override the broader HSTPA caps that limit landlord recovery for capital expenditures:

• Major Capital Improvement (MCI) cap under NYC Admin Code §26-511(c)(6-a): maximum 2% per year, expiring after 30 years
• Individual Apartment Improvement (IAI) cap under NYC Admin Code §26-511(c)(13): maximum USD 15,000 of recoverable cost over a 15-year period
• Vacancy decontrol repealed by HSTPA — there is no “high rent” or “high income” decontrol path remaining

A landlord who serves a renewal that combines Order #57 (2.75% / 5.25%) plus an MCI/IAI surcharge must be able to document each component on the renewal addendum. A bundled, undocumented increase will not survive a DHCR overcharge proceeding.

6. What if the apartment is not stabilized?

If the unit is free-market (not subject to RSL/ETPA), Order #57 does not apply. There is no statutory cap on rent increases at renewal of a free-market lease in New York. However, HSTPA still applies to free-market units in these areas:

• Security deposit cap — 1 month maximum under GOL §7-108(1-a) (statewide)
• Late fees — capped at the lesser of 5% or USD 50 under RPL §238-a
• Application fees — capped at USD 20 under RPL §238-a
• Notice to vacate — 30 / 60 / 90 days under RPL §226-c depending on tenancy length
• Non-payment notice — 14 days under RPAPL §711(2)
• Anti-retaliation — RPL §223-b

A common drafting error is to copy a pre-2019 free-market lease form charging “first, last, and security.” That structure violates GOL §7-108(1-a) regardless of whether the unit is stabilized.

Primary source — NYS General Obligations Law §7-108: https://www.nysenate.gov/legislation/laws/GOB/7-108

7. Landlord checklist before serving an Order #57 renewal

A clean Order #57 renewal package, prepared with Scrib🐮 and attached to a DHCR Form RTP-8, contains:

1. ☐ Renewal lease offer (RTP-8) with both 1-year and 2-year options at 2.75% / 5.25%
2. ☐ DHCR Rent Stabilized Lease Rider RA-LR1 (mandatory)
3. ☐ Legal regulated rent and preferential rent (if any) clearly identified
4. ☐ Any MCI / IAI surcharge separately stated with calculation
5. ☐ Window guard notice (annual, all NYC apartments, regardless of children)
6. ☐ Bedbug history disclosure (NYC HPD Form CDBBH)
7. ☐ Lead paint disclosure if pre-1978 (federal — 42 USC §4852d)
8. ☐ Proof of service (certified mail or hand delivery)
9. ☐ Annual DHCR rent registration up to date

Primary source — DHCR Forms (RA-LR1, RTP-8, RA-89): https://hcr.ny.gov/forms

8. What changes in Order #58 (2026-27)?

The next RGB order — Order #58 — will be set in spring 2026 for leases beginning 1 October 2026. Until then, Order #57 controls. Subscribe to RGB notices and check the RGB website for the 2026 vote schedule:

Primary source — NYC Rent Guidelines Board (main): https://rentguidelinesboard.cityofnewyork.us/

Until Order #58 is adopted and effective, continuing to apply Order #57 percentages to leases beginning before 1 October 2026 is the correct approach.

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Disclaimer

Legal information, not legal advice. MmowW Scrib🐮 is operated by a licensed Gyoseishoshi (行政書士) office in Japan. We are not US attorneys.

Sources

1. NYC Rent Guidelines Board, Order #57 — https://rentguidelinesboard.cityofnewyork.us/2025-26-apartment-loft-order-57/
2. NYC Rent Guidelines Board (main) — https://rentguidelinesboard.cityofnewyork.us/
3. DHCR Fact Sheet #4 — https://hcr.ny.gov/sites/default/files/documents/2024/02/fact-sheet-04-02-2024.pdf
4. DHCR Forms — https://hcr.ny.gov/forms
5. DHCR Tenant Online Services — https://portal.hcr.ny.gov/app/ask
6. NYS General Obligations Law §7-108 — https://www.nysenate.gov/legislation/laws/GOB/7-108