HPD Alternative Enforcement Program (AEP) Explained
How NYC HPD picks 250 distressed buildings a year for AEP, the fees and system replacement orders that follow, and the steps owners take to get discharged.
7 min read · Updated
The Alternative Enforcement Program (AEP) is HPD's program for the most distressed rental buildings in New York City. To get out, an owner must, within four months of selection, fix all heat and hot water violations and most other hazardous violations, pay HPD's emergency repair charges, and file a valid property registration.
Owners who miss that window face building-wide inspections, per-unit fees and an Order to Correct that can require replacing entire building systems, with HPD doing the work and billing it to the property if the owner does not.
At a glance
- Buildings selected each year
- 250
- Every round since 2015 (200 in early rounds)
- Selection date
- On or about Jan 31
- Round 19 started Feb 2, 2026
- Time to qualify for discharge
- 4 months
- Before fees and an AEP Order
- AEP fee
- $500 per unit / 6 months
- Capped at $1,000 per unit
- Active AEP buildings
- 862
- NYC Open Data, Oct 12, 2026
- Discharged since 2007
- 3,525
- Same dataset
How buildings are selected
AEP was created by Local Law 29 of 2007. HPD picks buildings once a year using its rules, which have changed several times since the original statute. According to HPD's Year 17 report to the City Council, the criteria used since Round 9 are:
| Building size | Open class B + C violations per unit (issued in past 5 years) | Emergency repair charges (past 5 years) |
|---|---|---|
| Criteria I: 15+ units | 3 or more | $2,500 or more |
| Criteria I: 3 to 15 units | 5 or more | $5,000 or more |
| Criteria II (only if fewer than 250 qualify): 6+ units | 4 or more | Not required |
Buildings meeting Criteria I are ranked by the emergency repair charges billed in the past five years. No more than 25 buildings with fewer than six units can be chosen, and buildings with an HPD or Housing Development Corporation rehabilitation loan are excluded. The charges count whether paid or unpaid, so paying off an old emergency repair bill does not by itself keep a building off the list.
How big the rounds have been
| Round | Start date | Buildings | Still active (Oct 2026) |
|---|---|---|---|
| Round 1 | Nov 13, 2007 | 200 | 1 |
| Round 7 | Jan 31, 2014 | 187 | 20 |
| Round 8 | Feb 2, 2015 | 250 | 24 |
| Round 15 | Jan 31, 2022 | 250 | 63 |
| Round 16 | Jan 31, 2023 | 250 | 105 |
| Round 17 | Jan 31, 2024 | 250 | 132 |
| Round 18 | Jan 31, 2025 | 250 | 124 |
| Round 19 | Feb 2, 2026 | 250 | 139 |
Of the 862 buildings active in October 2026, 393 are in Brooklyn, 257 in the Bronx, 135 in Manhattan, 72 in Queens and 5 on Staten Island. Some buildings from the earliest rounds are still enrolled almost two decades later. For charts by year and borough, see our AEP data report.
What an owner must do right away
Within 15 days of notice, the owner must post a sign at the main entrance or another conspicuous common area, in English and Spanish. It must say the building is in AEP, tell tenants to call 311 or AEP at 212-863-8262 with complaints, and list the owner's name, phone number and address and the mortgage lender, if any. Failing to post the sign can bring a $250 civil penalty.
How to get discharged
The fastest exit is meeting all of HPD's discharge requirements within the first four months after the notice. In order:
- 1
Correct the violations HPD lists, using safe work practices
All heat and hot water violations; all class C mold violations and at least 80% of class B mold violations; at least 80% of vermin violations; and at least 80% of the other class B and C violations. - 2
Request inspection of the corrected violations
HPD's Year 17 report says owners must file for a Dismissal Request inspection of the corrected violations and submit affidavits on the proper correction of mold and vermin conditions. See HPD dismissal requests. - 3
Pay HPD charges or sign a payment agreement
Pay all outstanding fees and charges, including liens, complaint inspection fees and emergency repair bills, or enter a payment agreement with the Department of Finance. - 4
File a current property registration
Submit a current, valid registration statement with HPD. See HPD property registration.
HPD also discharges buildings that have been vacant for at least a year (with an exception for buildings of six or more units under a vacate order) or that the City transfers because of unpaid property taxes. Lack of money is not grounds for discharge. HPD points owners who need financing to its Division of Preservation Finance (212-863-8960).
What happens if you miss the four-month window
HPD then does roof-to-cellar inspections of the whole building and issues an AEP Order to Correct. The Order is mailed to the owner, posted at the building and filed with the County Clerk. It can require:
- Correcting every listed violation condition.
- Replacing a building system when HPD finds that a systemic problem in it is causing the violations. The Order names which systems.
- Integrated pest management that follows Department of Health requirements.
If the owner does not comply, HPD may hire contractors and replace systems itself at the owner's expense. The bills go on the property tax bill and become a tax lien if unpaid. HPD may also sue in Housing Court.
| Fee | Amount |
|---|---|
| Program fee (from the building-wide inspection date) | $500 per unit every 6 months, max $1,000 per unit |
| Complaint inspection that results in a class B or C violation | $200 each |
| Reinspection after a certification finds violations not corrected | $100 each |
Through January 2024, HPD reported spending more than $62.2 million on repairs, utilities and system work in AEP buildings and imposing more than $27 million in AEP fees. Owners replaced 1,880 building systems and HPD replaced 816.
How to tell if a building is in AEP
- HPD's open data list. The dataset "Buildings Selected for the Alternative Enforcement Program" lists every building since 2007 with its round, open B and C violations at selection, and status ("AEP Active" or "AEP Discharged") with the discharge date.
- HPD's yearly PDF lists. The AEP page links a list of buildings for each fiscal year.
- The sign in the lobby. Active AEP buildings must post one.
- Roofy building pages. Roofy does not show an AEP flag yet. Look the building up on Roofy to see the pattern AEP selection is based on: the count of open class B and C violations relative to the number of units. Many open B and C violations per unit is the main sign. Our worst buildings list ranks buildings on similar data.
If you are a tenant in an AEP building
HPD says to report problems to the owner first, then to 311 if they are not fixed. Give the owner and HPD reasonable access for repairs and inspections. If someone offers you money to leave, talk to a lawyer first; HPD lists the Legal Aid Society (212-577-3300) and Legal Services NYC (646-442-3600). See also how to file an HPD complaint through 311.
Discharge criteria, sign posting rule ($250 penalty), fee amounts ($500/unit per six months capped at $1,000/unit; $200 complaint inspection; $100 reinspection) and Order to Correct consequences checked against the HPD AEP page. Selection criteria, 250-building rounds, the cap of 25 buildings under 6 units, and program totals since 2007 from the HPD Year 17 report (data as of Jan 31, 2024). Round sizes, start dates, active (862) / discharged (3,525) counts, active-by-borough and active-by-round counts re-queried from NYC Open Data hcir-3275 on 2026-10-12 and matched. HPD March 2025 release checked: no change to selection/discharge criteria or fee schedule.
Sources
- Alternative Enforcement Program (AEP) · NYC HPD (accessed October 12, 2026)
- Alternative Enforcement Program: Year 17 Report to the City Council (July 2024) · NYC HPD (accessed October 12, 2026)
- Buildings Selected for the Alternative Enforcement Program (AEP) · NYC Open Data (accessed October 12, 2026)
- Clear Violations · NYC HPD (accessed October 12, 2026)
General information, not legal, tax or financial advice. Rules change; confirm with the agency or a professional before you act.