Air Handler Unit Replaced in Recreation Room

Landlord applied for MCI rent hikes based on the installation of an air-handler unit, producing both heat and air-conditioning in the building's recreation room. The DRA ruled against landlord because landlord had gotten a prior MCI increase for recreation room reconstruction only one and a half years earlier. Landlord appealed. When landlord reconstructed the recreation room, it didn't replace the air handler unit because it was still functioning. Now, 30 years after the installation, its useful life was exhausted. The DHCR ruled for landlord. This installation qualified as an MCI.

Executive Towers at Lido LLC: DHCR Adm. Rev. Dckt. No. OA710077RO (10/6/00) [2-pg. doc.]