Landlord Who Converted Building for Owner Occupancy Didn't Prove Exemption from Rent Stabilization

Landlord asked the DHCR to rule on whether his building was exempt from rent stabilization due to substantial rehabilitation after the Tenant Protection Unit (TPU) questioned why landlord hadn't filed annual rent registrations for 2009, 2011, and 2012. Landlord pointed out that the building had been converted from an eight-unit to a one-unit, owner-occupied building and that there were no current tenants. Landlord also submitted a copy of a DOB-approved A2-Alteration application for renovating the existing eight-family dwelling. The DRA ruled against landlord because landlord never responded to requests from the DRA to submit additional information. Landlord appealed and lost. Although he claimed that he had submitted information, landlord never responded to two DRA requests for additional information. Landlord failed to demonstrate that 75 percent of the building's systems had been replaced or renewed. The conversion of an eight-unit building to a one-family building, by itself, didn't exempt the building from rent regulation absent proof of a substantial rehabilitation. 

Wang: DHCR Adm. Rev. Docket No. FP410068RO (1/3/18) [5-pg. doc.]