No Portion of MCI Hike Allocated to Commercial Tenants

Landlord applied for MCI rent hikes for a new front door to the building, common area windows, and an intercom system. The DRA ruled for landlord and allocated a portion of the cost to the building's commercial tenants. This resulted in a monthly increase per room per residential tenant of $0.54. Landlord appealed, pointing out that the common area windows were in a residential portion of the building only. Landlord argued that the front door, windows, and intercom were installed for the benefit of residential tenants and didn't affect the commercial tenants. Landlord asked the DHCR to recalculate the rent hike. The DHCR ruled for landlord. There should be no commercial allocation of any portion of the costs in this case. The monthly rent hike was increased to $3.62 per room per month.

19 Crosby Street: DHCR Adm. Rev. Docket No. UI410049RO (9/25/07) [3-pg. doc.]