Landlord Must Continue Preferential Rent

Tenant complained of a rent overcharge. He claimed that his rent-stabilized lease contained a preferential rent rider. Upon recent renewal, landlord had discontinued the preferential rent and charged tenant the full legal rent. Landlord claimed that the rider didn’t require lease renewal at a preferential rent. The DRA ruled for landlord and dismissed the case. Tenant appealed and won. Tenant’s preferential rent riders stated that tenant would be charged a rent amount lower than the legal rent “during the term of occupancy.” The riders also stated that the preferential rent was personal to tenant and didn't apply to any successor tenants, and that it was granted in exchange for tenant’s relocation from one apartment to another. The riders also stated that the “preferential” rent was subject to adjustment in accordance with the Rent Stabilization Law. The language of tenant’s lease riders shows that landlord agreed to continue tenant’s preferential rent as long as he remained a tenant.

120 Kenilworth Place: DHCR Adm. Rev. Docket No. XA210029RT (3/3/09) [3-pg. doc.]