What Happens If Building Owners Ignore an UNSAFE Status? A Costly Warning for NYC Properties
When a Building is Marked "Unsafe"
When a building receives an “UNSAFE” status under NYC Local Law 11 (FISP), time is no longer on the owner’s side. This designation means the Department of Buildings (DOB) has identified conditions that pose a safety hazard to the public and in NYC, the consequences of inaction escalate quickly.
If you own or manage a property with an UNSAFE filing, here’s what happens if nothing is done.
1. Daily Fines Add Up Fast
The DOB issues recurring penalties until unsafe conditions are corrected.
Up to $1,000 per month for failure to file
Daily fines until hazardous conditions are stabilized
Additional penalties for late reports or incomplete repairs
For many owners, fines stack into tens of thousands of dollars while the underlying issue remains unresolved.
2. Increased Legal Liability
If a piece of masonry or facade material falls and injures someone, the building owner may be held directly liable for negligence.
This can trigger:
Lawsuits
Insurance premium hikes
Denied claims (if the building was already flagged UNSAFE)
Ignoring the problem is not just costly, it’s dangerous.
3. Mandatory Sidewalk Sheds That Hurt Property Value
An UNSAFE status requires immediate installation of a sidewalk shed and they often stay up for months or years, hurting a building's:
Curb appeal
Leasing potential
Tenant satisfaction
Property value
What starts as a temporary measure becomes a long-term eyesore if repairs aren’t done quickly.
4. Stop-Work Orders & Delays
DOB may halt:
Renovations
Capital improvement projects
Tenant build-outs
Sale or refinancing
Banks often require compliance documentation, making it harder to close deals until unsafe conditions are addressed.
5. Escalation to Emergency Repairs
If conditions worsen, the DOB can order immediate emergency repairs, which must be performed at the owner’s expense typically at a much higher cost and with zero negotiation.
Ignoring an UNSAFE status isn't just a risk, it's a guaranteed path to higher costs, legal exposure, and operational headaches.
The fastest solution? Address the unsafe conditions immediately with certified Local Law 11 contractors, like New Fedco who can stabilize the hazard and complete DOB-approved repairs without delay.