Building Service Reduction Order Without Rent Reduction No Bar to MCI Rent Hikes

Landlord applied for MCI rent hikes based on the installation of a new roof. The DRA ruled against landlord because there was another DHCR order in effect directing landlord to restore building-wide services. Landlord appealed and won. Landlord pointed out that the building-wide services order merely directed a restoration of services and didn't provide for any rent reduction. Therefore, landlord wasn't required to apply for rent restoration or take other action. Under Policy Statement 90-8, such an order doesn't act as a bar to the filing of an MCI rent increase application. Since there was no outstanding rent reduction order, landlord was entitled to MCI rent hikes.

726 Ocean Avenue: DHCR Adm. Rev. Docket No. UC210056RO 9/29/06 [3-pg. doc.]