Landlord Can Collect MCI Rent Hike Effective Before Date of Rent Reduction Order

Rent-stabilized tenant complained to the DHCR of rent overcharge. The DRA ruled for tenant and, after finding that landlord already had given tenant a rent credit in December 2023 for $1,802, directed landlord to refund additional overcharges to tenant totaling $105.15. Landlord appealed and won, in part. Among other things, landlord argued that the DRA incorrectly froze tenant's rent at $1,602.53 due to a prior rent reduction order without permitting collection of a retroactive MCI charge of $25.85 per month. The DHCR agreed. The MCI arrears in this case may continue to be collected because they were being collected before the rent reduction order was issued. The collectible rent as of Dec. 30, 2023, should include an increase of $25.85 to reflect the MCI rent increase.

251 West 30th Owner, LLC: DHCR Adm. Rev. Docket No. MN410019RO (6/5/24)[3-pg. document]