New Hot-Water Heater

Landlord applied for MCI rent hikes based on the installation of a new hot-water heater. The DRA ruled against landlord because landlord had gotten a prior rent hike for a hot-water heater in 1998. The useful life of the prior hot-water heater hadn't expired. Landlord appealed. Landlord had requested a prior opinion from the DHCR and pointed out that it had installed two hot-water heaters in 1984. One was replaced in 1998, but the other hot-water heater later required replacement after 18 years because it sprang a leak. The DHCR ruled for landlord. The DRA didn't realize that there were two hot-water heaters and had mistakenly denied landlord's application based on the 1998 MCI rent hike for one boiler.

Manolatos: DHCR Adm. Rev. Dckt. No. RE430043RO (7/8/03) [3-pg. doc.]