Landlord Submitted Sufficient Proof of IAIs

Rent-stabilized tenant complained of rent overcharge. The DRA found no overcharge but ordered landlord to refund $1,700 because landlord charged tenant a two-month rather than a one-month security deposit. Tenant appealed and lost. Tenant argued that landlord failed to submit sufficient proof of claimed individual apartment improvements (IAIs). Tenant pointed out that DHCR Operational Bulletin 2016-1 required more proof than landlord submitted to the DRA. But Operational Bulletin wasn't in effect when the IAIs were done in 2015. At that time, DHCR Policy Statement 90-10 required that IAIs be supported by at least one form of proof. In this case, landlord submitted a signed invoice itemizing renovations at the apartment dated July 1, 2015, a sworn statement from the contractor stating that he did the work and was paid $6,100 in cash, and a bank statement showing withdrawal of the cash payment amount on July 1, 2015, contemporaneous with the signing of the work invoice. There was no proof that the contractor had any identity of interest with landlord. Tenant's statements that certain work wasn't done was insufficient to rebut landlord's evidence of the IAIs.

Rivera: DHCR Adm. Rev. Docket No. GQ110015RT (3/6/19) [4-pg. doc.]