MCI Increase Revoked

Landlord applied for MCI rent hikes based on exterior restoration work, including terrace work and related engineer and consulting architect fees. The DRA ruled for landlord and increased rents by $77 per room. The DHCR denied tenants' PAR. Tenants then filed an Article 78 court appeal, and the case was sent back for further consideration. The DHCR then ruled for tenants. Landlord appealed and lost. Tenants argued that landlord's application was filed prematurely and that additional similar, major work was done later. Tenants submitted DOB records showing filings for two separate jobs. Landlord also had filed a second MCI application based on the second DOB project filing. Based on this additional proof, the DHCR revoked the MCI increase. Comprehensive exterior restoration work wasn't done during the first restoration project. This was an irregularity in a vital matter.

40 Park Avenue LLC: DHCR Adm. Rev. Docket No. ZC410007RP (5/18/12) [6-pg. doc.]