Landlord Who Removed Illegal Walls Must Reduce Rent

Landlord asked the DHCR for permission to modify tenant's rent-stabilized apartment by removing illegal partition walls. This would revert the four-room apartment to a legal two-room apartment. The DRA ruled for landlord, finding that landlord was complying with a DOB order and a court-ordered settlement agreement with tenant. But the DRA also reduced tenant's rent. Landlord appealed and lost. The change from four rooms to two rooms wasn't de minimis--that is, minor. So tenant's rent was permanently reduced by the most recent guidelines increase. 

169 Hester Street Corp.: DHCR Adm. Rev. Docket No. ZK410040RO (4/5/13) [3-pg. doc.]