Landlord Submitted No Proof of IAI Labor Costs Paid in Cash

Rent-stabilized tenant complained of rent overcharge. The DRA ruled for tenant and ordered landlord to refund $2,400, including triple damages. Landlord appealed and lost. Tenant paid rent of $974 per month when she moved into the apartment. Landlord claimed that it made individual apartment improvements (IAIs) before tenant moved into the apartment that included $4,125 in labor costs for kitchen renovations. The DHCR upheld the DRA’s disallowance of the labor costs. Landlord submitted no cancelled checks or other proof of the labor costs that it claimed were paid in cash.

8014 Realty LLC: DHCR Adm. Rev. Docket No. DT210026RO (10/22/15) [4-pg. doc.]