No Preferential Rent Agreement Without Lease

Rent-stabilized tenant complained of a rent overcharge. The DRA ruled for tenant and ordered landlord to refund $6,800, including triple damages. Landlord appealed. Tenant had been the building super until 2005 when he began paying $450 per month without a written lease. New landlord gave tenant a lease and raised his rent to $800 per month in 2008. Landlord claimed that tenant's legal rent on the base date was $1,000 per month and that he paid a preferential rent to prior landlord. The DHCR ruled against landlord. Tenant had no lease agreement stating a preferential rent. On the base date, he paid $450 per month as a month-to-month tenant. So the legal regulated rent on the base date was $450, and landlord improperly increased tenant's rent to $800 upon renewal.

BZ Estates LLC: DHCR Adm. Rev. Docket No. XH610047RO (11/24/09) [4-pg. doc.]