Hazardous Violation Cleared Before MCI Application Filed

Landlord applied for MCI rent hikes based on pointing, waterproofing, and architectural fees.  The DRA ruled for landlord, but upon reconsideration changed the effective date of the rent increases from Jan. 1, 2008, to May 1, 2010. The DRA changed the date because it found that a Class “C” HPD violation for lead paint wasn’t corrected until April 14, 2010, when the violation was removed from the HPD database. Landlord appealed, claiming that the violation actually was corrected by Feb. 9, 2007, nine months before landlord filed its MCI application. The violation remained on HPD’s database due to HPD’s inexplicable delay. The DHCR ruled for landlord and restored the Jan. 1, 2008, effective date. Landlord submitted a copy of HPD’s Summary Notice of Lead-Based Paint Violation Re-inspection showing that the lead paint violation was corrected as of Feb. 9, 2007. And the DHCR’s current procedure, which requires that landlord must prove that lead paint C violations have been removed from the HPD database before an MCI can be granted, wasn’t in effect when landlord filed its MCI application. 

105 Arden Street Tenants Association/JBS Realty LLC: DHCR Adm. Rev. Docket Nos. YL430027RT, YL430030RO (8/13/15) [3-pg. doc.]