Requiring that a property be distressed in order to be foreclosed upon by action in rem by the city of NY.

A Local Law to amend the administrative code of the city of New York, in relation to requiring that a property be distressed in order to be foreclosed upon by action in rem by the city of New York

Currently, the City has the authority to foreclose on certain properties with tax liens put in place due to delinquent taxes and municipal charges. This local law would require that, in order for the City to be able to foreclose on any Class 1 or Class 2 property, in addition to meeting the existing threshold for eligibility, the property must also meet the statutory definition of distressed. The law would also require that the City explain what conditions cause the property to meet the statutory definition of distressed on the document produced by the Department of Finance that lists all properties that are eligible for disclosure.