Rent Amount Reflecting On-Time Payment Discount Was Legal Regulated Rent
LVT Number: #33604
Rent-stabilized tenant complained to the DHCR of rent overcharge. The DHCR ruled for tenant, finding that the on-time discounted rent charged to tenant, rather than the higher rent listed on tenant's lease, was the legal regulated rent. Landlord filed an Article 78 court appeal, claiming that the DHCR's decision was arbitrary and unreasonable. The court ruled against landlord, who appealed and lost. The appeals court held that the DHCR's decision was supported by a rational basis and wasn't arbitrary and capricious.
166 St. LLC v. DHCR: Index No. 718548/22, 2025 NY Slip Op 00855 (App. Div. 2 Dept.; 2/13/25; Iannacci, JP, Chambers, Warhit, Golia, JJ)