Cost of Prior Roof Work Deducted from Approved Cost of Roof Replacement

LVT Number: #26572

The DRA denied landlord’s application for MCI rent hikes based on a new roof installation. Landlord appealed and won, in part. Landlord proved that a comprehensive roof replacement was performed. Tenants didn't disprove landlord’s claim that the roof replacement was necessary due to deteriorated conditions on the existing roof. But landlord was granted a prior MCI rent increase for roof work, and that MCI hadn't exhausted at least 75 percent of its expected useful life.

The DRA denied landlord’s application for MCI rent hikes based on a new roof installation. Landlord appealed and won, in part. Landlord proved that a comprehensive roof replacement was performed. Tenants didn't disprove landlord’s claim that the roof replacement was necessary due to deteriorated conditions on the existing roof. But landlord was granted a prior MCI rent increase for roof work, and that MCI hadn't exhausted at least 75 percent of its expected useful life. So the DHCR deducted the submitted cost of the prior roof work from the new roof replacement before calculating a new MCI rent increase. 

 

 
Villa Court Associates, LP: DHCR Adm. Rev. Docket No. CO710024RO (8/27/15) [5-pg. doc.]

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