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Bill Authorizes Receivers for Abandoned Multiple Dwellings

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Summary

The New York State Senate has passed S2546, legislation amending Section 1972 of the Real Property Actions and Proceedings Law to authorize mortgagees or lienors of abandoned multiple dwellings to apply for court appointment of a receiver to bring buildings into compliance with applicable housing maintenance laws within 90 days. The bill also allows mortgagees or lienors to take possession of premises under their mortgage and enter into repair agreements with the relevant city agency to avoid agency foreclosure proceedings.

“Authorizes the mortgagee or lienor of an abandoned multiple dwelling to apply for the appointment of a receiver to bring the building into compliance.”

Published by NY Senate on nysenate.gov . Detected, standardized, and enriched by GovPing. Review our methodology and editorial standards .

What changed

S2546 amends subdivision 3 of Section 1972 of the Real Property Actions and Proceedings Law to expand options available to mortgagees and lienors when served with notice of abandoned building proceedings. The bill adds two new compliance pathways: (A) filing for appointment of a receiver that brings the building into compliance within 90 days from appointment or a longer agreed period, or (B) taking possession under the mortgage and entering a repair agreement with the city agency. The bill also authorizes the department to initiate foreclosure proceedings if a receiver application is denied or if the receiver fails to achieve compliance.

Mortgagees, lienors, and their legal counsel involved in foreclosure proceedings on abandoned properties in New York cities, towns, and villages should monitor the bill's progress through the Assembly and assess how these new receiver appointment and possession pathways would affect their foreclosure litigation strategies and property maintenance obligations.

Archived snapshot

Apr 21, 2026

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Senate

Bill
S2546

2025-2026 Legislative Session Authorizes the mortgagee or lienor of an abandoned multiple dwelling to apply for the appointment of a receiver to bring the building into compliance

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Sponsored By

Zellnor Myrie

(D) 20th Senate District

Current

Bill Status
- Passed Senate

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Votes

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2025-S2546

(ACTIVE)
- Details

See Assembly Version of this Bill: A3444 Law Section: Real Property Actions and Proceedings Law Laws Affected: Amd §1972, RPAP L Versions Introduced in Other Legislative Sessions: 2017-2018: S6172
2019-2020: S4493
2021-2022: S271
2023-2024: S2389, A10627

2025-S2546

(ACTIVE)
- Summary

Authorizes the mortgagee or lienor of an abandoned multiple dwelling to apply for the appointment of a receiver to bring the building into compliance.

2025-S2546

(ACTIVE)
- Sponsor Memo

BILL NUMBER: S2546

SPONSOR: MYRIE
 
TITLE OF BILL:

An act to amend the real property actions and proceedings law, in
relation to title to an abandoned multiple dwelling in a city, town or
village

 
PURPOSE:

This bill amends the real property actions and proceedings law, to
require a mortgagee or lienor who institutes proceedings to foreclose,
to have a receiver appointed and ordered to agree with the appropriate
agency to repair and correct violations of housing maintenance laws, or
to take possession of the premises themselves and enter into a repair
agreement with the city agency to prevent the agency from taking title
to an abandoned building.

 
SUMMARY OF PROVISIONS:

Section 1 amends subdivision 3 of section 1972 of the real property
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(54
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2025-S2546

(ACTIVE)
- Bill Text download pdf

S T A T E O F N E W Y O R K


2546

2025-2026 Regular Sessions

I N S E N A T E

January 21, 2025


Introduced by Sen. MYRIE -- read twice and ordered printed, and when
printed to be committed to the Committee on Judiciary

AN ACT to amend the real property actions and proceedings law, in
relation to title to an abandoned multiple dwelling in a city, town or
village

THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

Section 1. Subdivision 3 of section 1972 of the real property actions
and proceedings law, as added by chapter 864 of the laws of 1973, is
amended to read as follows:
3. Within five days of the service of notice on the owner, a copy of
the certification shall be served on each mortgagee, lienor and lessee
of record, personally or by registered mail to the address set forth in
the recorded instrument or, if no address appears therein, to the person
at whose request the instrument was recorded. Such copy shall, in the
case of a mortgagee or lienor, be accompanied by a notice that
proceedings pursuant to this article may be instituted unless the mort-
gagee or lienor, within fifteen days of such mailing, either (A)
commences proceedings to foreclose the mortgage or lien AND MOVES FOR
THE APPOINTMENT OF A RECEIVER WHICH BRINGS THE BUILDING INTO COMPLIANCE
WITH THE APPLICABLE PROVISIONS OF LAW WITHIN NINETY DAYS FROM THE DATE
OF APPOINTMENT OR SUCH LONGER PERIOD AS MAY BE ESTABLISHED BY AGREEMENT
WITH THE DEPARTMENT or enters into an agreement with the department to
bring the building
TAKES POSSESSION OF THE PREMISES AS PROVIDED IN
THE MORTGAGE AND BRINGS THE BUILDING into compliance with the applicable
provisions of law WITHIN NINETY DAYS FROM THE DATE OF TAKING POSSESSION
OR SUCH LONGER PERIOD AS MAY BE ESTABLISHED BY AGREEMENT WITH THE
DEPARTMENT. THE DEPARTMENT MAY, NOTWITHSTANDING ANYTHING TO THE CONTRA-
RY IN THIS SUBDIVISION, INSTITUTE PROCEEDINGS PURSUANT TO THIS ARTICLE
IF: (I) THE APPLICATION FOR APPOINTMENT OF A RECEIVER IS DENIED, (II)
THE RECEIVER FAILS TO BRING THE BUILDING INTO COMPLIANCE WITH THE APPLI-

EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06784-01-5
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(14
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Named provisions

Section 1972 Real Property Actions and Proceedings Law

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Last updated

Classification

Agency
NY Senate
Instrument
Consultation
Branch
Legislative
Bill ID
S2546
Legal weight
Non-binding
Stage
Consultation
Change scope
Substantive

Who this affects

Applies to
Financial advisers Legal professionals Insurers
Industry sector
9211 Government & Public Administration
Activity scope
Mortgage foreclosure Receiver appointment Property compliance
Geographic scope
New York US-NY

Taxonomy

Primary area
Housing
Operational domain
Legal
Topics
Real Estate Civil Rights

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