Apartment Deregulated Due to High-Rent Vacancy

February 23, 2015

LVT Number: #26013

Tenant complained of rent overcharge. The DRA ruled against tenant, who appealed and lost. Landlord proved that prior tenant lived in the apartment from 1977 until 2010. Landlord then did a full demolition of the apartment interior and renovated the unit for $45,000. Adding a vacancy increase, 1/40th increase, and longevity increase to the prior rent resulted in a new rent of over $2,000 per month in 2012. The apartment therefore became deregulated. Tenant claimed that certain work wasn't done.

Tenant complained of rent overcharge. The DRA ruled against tenant, who appealed and lost. Landlord proved that prior tenant lived in the apartment from 1977 until 2010. Landlord then did a full demolition of the apartment interior and renovated the unit for $45,000. Adding a vacancy increase, 1/40th increase, and longevity increase to the prior rent resulted in a new rent of over $2,000 per month in 2012. The apartment therefore became deregulated. Tenant claimed that certain work wasn't done. But even if $12,000 was deducted from the cost of individual apartment improvements (IAIs) as tenant suggested, the new rent still would be greater than $2,000 per month and therefore deregulated.

Jorges: DHCR Adm. Rev. Docket No. BX410033RT (12/3/14) [3-pg. doc.]

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