Preferential Rent Below $2,000

Tenant moved into an apartment after rent-controlled tenant moved out. Landlord sent tenant an initial registration (RR-1) form stating that the monthly stabilized rent was $2,000 and that tenant's preferential rent was $1,900. Tenant asked the DHCR which amount would be considered the first rent-stabilized rent and whether the apartment was deregulated upon registration of the $2,000 rent. In an opinion letter, the DHCR stated that the initial legal regulated rent was $1,900, not $2,000. Since the initial actual rent paid by the first stabilized tenant was $1,900, the apartment wouldn't be considered deregulated based on high-rent vacancy decontrol.

DHCR Opin. Ltr. by Charles Goldstein (7/23/97) [2-page document]