N.Y. Comp. Codes R. & Regs. tit. 9 § 2104.9
A certificate shall be issued where the landlord establishes that he seeks in good faith to permanently withdraw occupied housing accommodations from both the housing and nonhousing rental markets without any intent to rent or sell all or any part of the land or structure and (a) that he requires the entire structure containing the housing accommodations or the land for his own immediate use in connection with a business which the landlord owns and operates in the immediate vicinity of the property in question, or (b) that substantial violations affecting the health and safety of the tenants have been placed on the structure containing the housing accommodations by the local authorities having jurisdiction over such matters and that the cost of removing these violations would substantially equal or exceed the assessed valuation of the structure established by the city, town or village wherein it is located, as adjusted by applying thereto the ratio which such assessed valuation bears to the full valuation as determined by the State Board of Equalization and Assessment on the basis of the assessment rolls of such city, town or village for the most recent year and certified for such year be [FN*]such board pursuant to section 1212 of the Real Property Tax Law; provided, however, that where at the time of filing of the application, such board has computations indicating a different ratio for subclasses of residential property in a city, town or village, the commissioner shall give due consideration to such different ratio, or (c) where the landlord is a hospital, convent, asylum, public institution, college, school or any institution operated exclusively for charitable or educational purposes on a nonprofit basis and requires the housing accommodations or the land for its own immediate use in connection with its charitable or educational purposes, or (d) that the continued operation of the housing accommodations would impose other undue hardship upon him. No certificate shall be issued under this section where the granting of the certificate is inconsistent with the purposes of the Act.
N.Y. Comp. Codes R. & Regs. Tit. 9 § 2104.9