No Improvements Increase if DHCR Uses Default Procedure

Tenant complained of a rent overcharge. The DRA ruled for tenant using its default procedure because landlord didn't submit leases or rent ledgers. Landlord appealed, arguing that it couldn't get rent history data from prior landlord before the DRA order was issued. Landlord now submitted rent history information and claimed that the DHCR should permit a rent increase for 1/40th improvements made before tenant moved in. The DHCR ruled against landlord. The DHCR couldn't accept the rent history records for the first time on appeal, especially since landlord never before stated that it was trying to get these records from prior landlord. And it's the DHCR's practice not to include any increase for apartment improvements in rent calculated under the default method.

A&M Park Place Enterprises: DHCR Adm. Rev. Dckt. No. TG210035RO (11/15/05) [4-pg. doc.]