Landlord's Violation Clearance Complied with Law

Landlord applied for MCI rent hikes based on building-wide rewiring, plumbing re-piping, and gas re-piping. The DRA ruled for landlord and tenants appealed, making a number of claims. They argued that: (1) the work was done in a piecemeal fashion; (2) DOB failed to inspect every apartment in connection with landlord's electrical application; (3) there were immediately hazardous HPD violations that should have barred the MCI rent increase; (4) landlord failed to apply for a useful life waiver prior to commencing the work; and (5) roof leaks occurred after the MCI increase was granted.

The DHCR reviewed the record and ruled against tenants. Landlord correctly complied with applicable procedures for the work. There was one outstanding "C" violation when landlord filed its application and this was cleared before the DRA's order was issued. Since the DRA's order was issued before HSTPA amendments took effect on June 14, 2019, changes to violation clearance requirements now applicable to MCI applications didn't apply. There also was no proof of an unexplained, unusually long cessation and later recommencement of the claimed MCI work, and no indication that the work was done in separate and distinct phases. And the DHCR couldn't review whether DOB made proper inspections. Since there was no prior MCI increase granted for any of the work involved, the useful life of any prior system was irrelevant. And any subsequent roof leaks were unrelated to the work in question here.

Various Tenants of 1581 President Street: DHCR Adm. Rev. Docket No. GW230027RT (12/8/21)[3-pg. document]