Building Substantially Rehabilitated

Landlord applied to the DHCR for a ruling that a building had been substantially rehabilitated and so was exempt from rent stabilization. The DRA ruled against landlord based on a finding that the work hadn't been completed. Landlord appealed. The DHCR found that the actual work had been completed and, upon reconsideration, ruled for landlord. The six-story building had been converted from 142 hotel-style studio and efficiency apartments to 89 one- and two-bedroom family units. Prior to the rehab, there were numerous building violations and the vacancy rate was 80 percent. Landlord also submitted extensive documentation of replacement of many building-wide and apartment systems, including plumbing, heating, gas, electrical wiring, intercom, windows, roof, elevator, waste compactor, interior stairways, kitchens, bathrooms, floors, ceiling and wall surfaces, pointing, doors, and door frames. Landlord had also agreed at the outset that the 24 tenants who remained in occupancy during the rehab work would retain their rights under the ETPA.

L.B. 25, Inc.: DHCR Adm. Rev. Dckt. No. KB710073RO (8/18/97) [3-page document]