Landlord Proved Gut Renovation of Apartment

(Decision submitted by Terry L. Hazen of the Manhattan law firm of Mitofsky Shapiro Neville & Hazen, LLP, attorneys for the landlord.) Tenant complained of a rent overcharge. The DRA ruled against tenant. Landlord submitted documentation of apartment improvements made before tenant moved in that cost over $52,000. The DRA allowed a 1/40th rent increase of $1,300. Tenant appealed, claiming that the contract for the gut renovation work claimed by landlord wasn't signed by landlord or its contractor, that the canceled checks landlord submitted didn't list the apartment, that some of the work listed in the contractor wasn't done, that there was no telephone listing for the contractor in a New York area phone directory, that the building super did much of the work, and that the work cost less than $52,000. The DHCR ruled against tenant. Landlord had submitted a copy of a contract modification signed by landlord and the contractor before the DRA ruled on tenant's complaint. The DHCR allowed landlord to submit affidavits from the contractor and the building super with its PAR to respond to tenant's claims on appeal. Tenant had claimed that the contract listed an eat-in kitchen that wasn't installed. But the contract stated that an electric line was to be installed for the eat-in kitchen/ ignition pilot in the kitchen. The contractor explained that this was standard language and merely referred to the electric line installation, not the installation of an eat-in kitchen. The contractor also admitted that he used landlord's building employees to do the work but that they were paid separately from their building salary to do so. Landlord also had submitted canceled checks, payable to the contractor. Since the contract and contract modification listed the apartment number, it wasn't necessary that the apartment number be listed on the checks. The DHCR also found that it didn't matter that the contractor wasn't listed in the phone book.

Levoff: DHCR Adm. Rev. Dckt. No. RG410007RP (8/8/03) [4-pg. doc.]