thank you both. based on what you are saying I cant simply say NO ROOMATES, but can impose conditions that roommates will be eliminated.

The senior lender will want a subordination agreement and may impose restrictions on repayment.

@Vivian O. the simplest way to think of it is that a Warranty Deed gives full ownership and maximum rights to the owner with no restrictions other than those imposed by the government on all properties and by your lien holder if you have a mortgage.A Trustee Deed gives ownership with restrictions. 

Doing so creates unnecessary situations like this one.

If you have any unnecessary debts, get rid of some stuff.

Account Closed You can certainly pay an Attorney for this service, my experience says it's an un-necessary expense. 

In NJ under the Anti-Eviction Act, a landlord cannot impose a rent increase so large that it is "unconscionable", meaning an increase that is extremely harsh or unreasonable. 

There are ideas to minimize taxes, but no need to create unnecessary expenses.

The remaining half has an unnecessary (per existing city code, though they are considering changing that) parking lot and two very old residential units.

@Allison Panila Based on pure speculation, it sounds like the LL imposed the extra $50/month in the hopes that it would cause the tenant to want to leave.