Donald Torr, of Celebration, Florida, was under investigation after several families sued him for videotaping renters of his Winterberry Lane property in East Hampton last year without their permission.
The lawsuit said video cameras were pointed at beds, including from a bedroom radiator and a television speaker, and others were in the shower areas.
The tapes ran 24 hours a day, and some footage allegedly shows victims in the nude.
East Hampton police and the Suffolk County District Attorney investigated and reviewed the tapes.