Cost Breakdown Not Required

Tenant complained of a rent overcharge. The DRA ruled for tenant and ordered landlord to refund $4,500. The DRA allowed a 1/40th increase for apartment improvements costing $25,000. Tenant appealed, claiming that landlord's invoice for the improvements didn't contain an itemized breakdown of the work. The DHCR ruled for tenant in part. The items included in landlord's invoice were removal of old cabinets, installation of new plumbing in walls of Sheetrock in the kitchen, installation of new kitchen cabinets, kitchen appliances, and a new kitchen floor. All of this work constituted improvements rather than repairs or maintenance. So no breakdown of the cost was needed to distinguish the cost of allowable improvements from the cost of repair or maintenance items. An invoice that tenant submitted for work done in another apartment in the building wasn't relevant to the cost of the work done in tenant's apartment. Landlord wasn't required to get the lowest cost for the improvements. Landlord documented the claimed expense with the invoice and cancelled checks.

Dorfman: DHCR Adm. Rev. Dckt. No. TE210001RT (7/8/05) [4-pg. doc.]