Council Member Brewer presents Intro 90, the Storefront Business Bill of Rights
Gale Brewer describes her years of advocacy for mom-and-pop stores and the task force report that led to Intro 90. She outlines the bill's key provisions including written lease requirements, renewal protections, pre-lease disclosures, cure periods, contact information requirements, and SBS oversight with model lease templates.
Thank you very much, Chair Thomas Henry.
Thank you for including this bill, Intro 90, the Storefront Business Bill of Rights, on today's agenda.
I've been working on this issue since 1980.
I just want to let you know.
Building on years of advocating for mom and pop stores as Manhattan Borough President, that wasn't that long ago, but it was 10 or so years ago, I convened a task force made up of small business owners, commercial tenants, and landlords.
To identify recommendations and proposals that would prevent small business owners from being priced out of the city, just because this is such a difficult issue to come up with solutions and get stakeholders to be supportive.
Months of substantive policy discussion focused on city fines and fees.
Unaffordable rent, scaffolding, construction, long-term vacancies, financing, and transitioning online businesses to brick-and-mortar.
storefronts.
This storefront business bill of rights intro 90 emerged from the task forces report small business big impact that we put together.
This report seeks to establish important protections for small business owners and improve communication between building and business owners.
A consistent message emerged.
Many small businesses enter lease agreements without access to essential information.
Then they face sudden rent hikes.
Ambiguous lease terms, and a lack of predictability in renewal negotiations.
This lack of transparency and communication contributes to instability in the commercial market and business closures in our neighborhoods, neither of which benefits business owners or property owners.
Intro 90 responds to those concerns by setting clear standards for commercial lease transparency and renewal, creating a more stable environment for small businesses to thrive and plan into the future.
These are the key provisions.
One, a written lease requirement for any storefront tenancy longer than one year.
Ensuring clear and documented terms for all parties.
I will say that in many cases it's a handshake.
A handshake may be fine until the rent goes up and then you have nothing to base it on.
Number two, lease renewal protections, including the required $100,000.
120-day notice of non-renewal.
I can't tell you how many times I know this pizza store.
Couldn't even get in touch with the owner.
Never talked to the owner.
The owner wouldn't talk to him.
He got evicted without any communication whatsoever.
I couldn't get in touch with the owner.
Three, mandatory pre-lease disclosure, such as a certificate of occupancy.
Is there one?
A breakdown of occupancy-related costs, utilities, taxes, fees, and a 10-year history of known violations or construction activity.
Four.
A reasonable cure period for up to 60 days for tenants to address lease violations except in emergency situations.
Five, a requirement for both landlords and tenants to maintain and update contact information throughout the lease term.
And six,
Oversight by the Department of Small Business Services, which will also provide model commercial lease templates translated into multiple languages,
along with user-friendly tools to help businesses estimate costs and understand lease terms.
I appreciate the continued support and dialogue with A&HD, the Manhattan Chamber of Commerce, the New York City Hospitality Alliance, Webney, and of course, SBS.
We all need to institutionalize these best practices.
I thank committee staff, Tyler Wells, Rebecca Baria, and Amman Mahara.
As well as Chair Thomas Henry and Shula Puder from my staff.
And I really appreciate this.
There's no easy answer to keeping small businesses in business.
We were just touring in Astoria and Jackson Heights.
I think the commissioner was there.
And I could see, unfortunately, what happened on the Upper West Side happening there.
Incoming, with all due respect, chain stores.
And they don't stand a chance against the mom and pops.
So hopefully we can give them that chance.
Thank you.