Landlord Didn't Submit Documentation Required for Demolition

Landlord asked the DHCR for permission to evict rent-stabilized tenant in order to demolish a Single Room Occupancy (SRO) hotel building in an Historic District, with one remaining tenant. The DRA ruled against landlord, finding that landlord failed both to submit certain DOB approval documentation and to prove it was financially able to complete the proposed demolition and construction project.
Landlord appealed and lost. Landlord claimed that the demolition would cost $100,000 and the construction would cost $500,000. The bank loan statements landlord submitted to the DRA were issued more than two years before landlord filed its application. Landlord didn't show that the loan money may be used, or was even still available, for the construction project. The loan statements also indicated landlord's monthly mortgage payment owed but didn't indicate the amount still available for use in connection with the proposed work. Landlord also failed to prove that it had approved plans from DOB for the proposed work. Contrary to its claim, landlord was required to submit to the DRA plans perforated by DOB, as proof that DOB approved the plans.

1804 Washington Avenue Corporation: DHCR Adm. Rev. Docket No. WJ420025RO (7/9/09) [6-pg. doc.]