Only Part of Architect's Fee Included

Landlord applied for MCI rent hikes based on window replacement and terrace doors. The DRA ruled for landlord and also granted a rent hike for related architect's and engineer's fees. Tenants appealed, claiming that the architect's and engineer's fees were unnecessary. The DHCR ruled for tenants in part. Landlord replaced 1,675 windows that were over 70 years old. Landlord was entitled to some architect's and engineer's fees. The contract between landlord and the architect's firm listed the price for services at $20,000. Landlord didn't explain to the DRA why it paid an additional $70,000 to the architect for ''extras.'' Also, landlord wasn't entitled to an additional cost of $38,000 for a second architect/engineer to supervise the work. This duplicated the work of the first architect. So the DHCR only allowed landlord to include the $20,000 stated in the contract.

241 Central Park West: DHCR Adm. Rev. Dckt. Nos. RL430017RT & RJ430069RT (4/6/05) [5-pg. doc.]