Prior DHCR Order Determined That Building Was Exempt

Tenant asked the DHCR to rule on whether his building was rent stabilized. Landlord claimed that the building was exempt based on a prior 1997 DHCR decision finding that the building had been substantially rehabilitated. Tenant asked the DHCR for a copy of its file from the prior case, but the DHCR couldn’t locate those records. The DRA ruled against tenant and, based on the DHCR’s prior decision, ruled that the apartment wasn’t subject to rent stabilization. Tenant appealed and lost. Tenant claimed fraud in connection with the DHCR’s issuance of the prior order, but this claim was unsupported. In the prior case, the DHCR found that 13 out of 17 building-wide and apartment systems, equal to 76 percent of all systems, had been replaced or made new. The prior decision referred to building applications, permits, a new Certificate of Occupancy, work invoices, and cancelled checks submitted by landlord. And while the prior case didn’t concern tenant’s apartment specifically, it covered the whole building.

Allan: DHCR Adm. Rev. Docket No. DS410010RT (7/15/16) [5-pg. doc.]