Increase for New Occupant Not ‘Capped' by MBR

Landlord asked the DHCR if an increase to the rent-controlled rent based on tenant having a roommate was ''capped'' by the maximum base rent (MBR). In an opinion letter, the DHCR said no. Rent control regulations permit a rent increase if tenant takes in a roommate who isn't an immediate family member or if tenant sublets the apartment without landlord's permission. Landlord must file an ''OI'' application to collect the rent increase. This rent increase is temporary and only for the period of increased occupancy or subletting. It isn't used in calculating future permanent rent increases and isn't capped by the MBR. It may be collected as an increase to the MCR payable by the rent-controlled tenant.

DHCR Opin. Ltr. by Charles Goldstein (8/12/97) [2-page document]