Prior Preferential Rent Was Below Deregulation Threshold

Landlord sued to evict unregulated tenant after tenant's lease expired. Tenant claimed that he was rent stabilized and that the apartment was improperly deregulated. The court ruled for tenant and dismissed the case. The prior tenant was rent stabilized and her last renewal lease in 2013 provided for a legal regulated rent of $2,028 and a preferential rent of $1,661. Tenant's first unregulated rent in 2014 was $1,750. Because landlord charged the prior rent-stabilized tenant a preferential rent, the apartment remained rent stabilized under Rent Stabilization Law Section 26-511(c)(14)(i) even though the complaining tenant's legal vacancy rent was set above the vacancy deregulation threshold before June 2015 when the Rent Stabilization Law was amended to provide generally for continued rent stabilization coverage to a new rent above the deregulation threshold when the last prior rent was below that threshold. 

1650 Realty Associates LLC v. Ovadiah: Index No. 95549/17 (Civ. Ct. Kings; 4/27/18; Ofshtein, J) [4-pg. doc.]