New Doorbells Directly Related to MCI-Qualifying Apartment Entry Doors

Landlord applied for MCI rent hikes based on the installation of apartment entry doors and common-area windows. The DRA ruled for landlord in part, but excluded from the calculated MCI increases the cost of security chains; wood and marble door casings; plastering and painting; painting of doors, frames, and casings; and new doorbells.

Landlord appealed and won, in part. The cost of door security chains was included in the initial approved costs. Landlord removed the chains during some portion of the MCI work, then added additional claimed costs resulting from a Change Order. The DRA correctly found the additional costs to be duplicative and properly rejected them. The door casings at issue were ordinary repair and maintenance work that didn't qualify as an MCI or other directly related, necessary work. They were cosmetic in nature and installed merely to enhance the appearance of the entryways. Painting of the new doors, frames, and casings also was considered ordinary repair and maintenance work under long-standing DHCR policy.

However, plastering and painting was performed with and directly related to the installation of new apartment doors. So the cost of that work should be included in the MCI. And the new doorbells are an essential part of the apartment entry doors and therefore are other necessary work directly related to the MCI-qualifying apartment doors. They should be included in the MCI costs.

Greystone Properties 81 LLC: DHCR Adm. Rev. Docket No. FV430001RO (8/11/20) [3-pg. doc.]