DHCR Requires Free Key Fobs, Rent Reduction for Approving New Intercom

Landlord asked the DHCR for permission to substitute a traditional wired intercom system with a modernized telephone-based intercom system, and to substitute a traditional key lock system with an electronic key fob system to gain entry to its building. The DRA ruled for landlord while imposing a number of conditions on the service modification. Landlord appealed, objecting to requirements that: (a) tenants receive an unlimited number of free key fobs, including fobs for children if requested; and (b) tenants receive a $15 permanent monthly rent reduction to offset the approximate cost of basic telephone service.

The DHCR ruled against landlord. But the DHCR's standard policy applicable to all system changeovers to key fobs is that tenants may receive up to four additional key fobs or keycards at no charge for the use of tenant's employees subject to an electronically expiring card that is renewable at tenant's option or the tenant's guests, who are defined as family members or friends who can be expected to visit on a regular basis or visit as needed to care for a tenant or the apartment if tenant is away. Landlord is otherwise free to exercise reasonable guidelines aimed at limiting key fob access to other parties.

It is also the DHCR's standard policy applicable to all intercom changeovers that the conversion must include a touch-tone landline phone in order to maintain intercom service to an apartment and that tenants receive a rent reduction to offset landline costs. And landlord could file a new application for service modification approval for its now claimed intention to install wireless fixed hardware intercom units in order to potentially eliminate costs associated with maintaining a landline.

Akelius Real Estate Management LLC: DHCR Adm. Rev. Docket No. EX210010RO (5/18/17) [3-pg. doc.]