Landlord Can't Submit Comparability Data on Appeal

Tenant filed a fair market rent appeal. The DRA ruled for tenant and ordered landlord to refund $31,000. Landlord appealed and submitted comparability data for the first time with its PAR. The DHCR ruled for landlord, raised the amount established as the fair market rent, and reduced tenant's refund to $900. Tenant then appealed, claiming that the DHCR's decision was unreasonable. The court ruled for tenant and sent the case back. The court said landlord must show good cause for its failure to submit comparables to the DRA. Otherwise, the DHCR couldn't accept the comparables with the PAR. On reconsideration, the DHCR ruled against landlord. Landlord was given many chances to submit the comparability data to the DRA. Landlord claimed that the DHCR should have searched its own records for comparability data, but the DHCR isn't required to do so.

The 400 E. 58th St. Co.: DHCR Adm. Rev. Dckt. No. RD410012RP (3/24/04) [6-pg. doc.]