Buildings with Same Heating System Are Horizontal Multiple Dwelling

Landlord owned two buildings; one contained two rent-stabilized units and two permanently exempt apartments, the other contained two rent-stabilized apartments and one rent-controlled apartment. Landlord asked the DRA whether the two buildings were in fact rent stabilized. Since each building contained fewer than six units, landlord believed that the buildings were exempt. An inspection showed that there was a central heating system for both buildings, located in the cellar of the front building. There was a single water main from the street to the buildings. The water meter was located in the front cellar. There was a common sewer pipe for both buildings. There were separate building entrances, although the door to the rear building was connected to a passageway that led to the rear yard. All seven mail boxes were located in the front building lobby. There were separate lighting systems, electric and gas meters, cellars, bell buzzer systems, addresses, roofs, and facades, and no adjoining walls. The buildings shared common ownership and management, and were located on the same tax lot. The DRA ruled against landlord. Landlord appealed and lost. The two buildings were set up like those found in a garden-type dwelling complex. And prior landlord's registration of apartments as rent stabilized at various times since 1984 showed that landlord treated buildings as horizontal multiple dwelling for many years.

Rennagel/Musser: DHCR Adm. Rev. RF420042RO (2/3/06) [6-pg. doc.]