Landlord Claims Apartment Was Deregulated

Tenant complained to the DHCR of a reduction in services. The DRA ruled for tenant and reduced his rent based on problems with the bedroom and dining room ceilings. Landlord appealed, claiming that tenant's apartment wasn't rent stabilized. Before tenant moved in, landlord had made individual apartment improvements that resulted in a new rent that was above the deregulation threshold. The DHCR ruled for landlord in part. Landlord never responded to tenant's complaint when it was before the DRA. So the DRA properly reduced tenant's rent. However, because landlord raised the issue of whether the DHCR had jurisdiction over the apartment that landlord claimed was deregulated, the DHCR opened a separate Administrative Determination proceeding to decide whether tenant's apartment was subject to rent stabilization. If the apartment is found to be deregulated, the rent reduction will become void and without effect.

Ocean 483 LP: DHCR Adm. Rev. Docket No. BX210002RK (4/15/14) [3-pg. doc.]