MCI Rent Hike Granted for Asbestos Removal Related to Roof Replacement

Landlord applied for MCI rent hikes based on installation of a new roof, asbestos removal, air monitoring, and placement of a sidewalk bridge during the work. The DRA ruled for landlord and increased tenants' rents.

Tenants appealed and lost. Tenants claimed that landlord failed to provide any proof that the useful life of the MCI installations had expired or to apply for a useful life requirement waiver. They also claimed that landlord failed to specify the type of roof installed or that asbestos removal was directly related to the roof replacement. Tenants also said there were C violations against the building while the MCI application was pending.

But the DHCR noted that there were no prior MCI rent increases for any of the work done. So there was no applicable useful life requirement or need to seek a waiver. Landlord also had submitted documentation that it installed a new roof using modified bitumen materials, which was an MCI-qualifying installation. Landlord's removal of pre-existing asbestos-containing roof material was needed to accomplish the new roof installation. DOB and DEP also had issued notices stating that asbestos removal was needed in connection with the roof work. As to "C" violations, when landlord's MCI application was filed in 2018, there were five non-lead paint "C" violations at the building and landlord submitted an architect's affidavit confirming that these violations had been corrected. So the violations didn't bar the granting of the MCI increases. 

Various Tenants of 225-227 West 110th Street: DHCR Adm. Rev. Docket No. HR430003RT (8/12/22)[3-pg. document]