Rent Reduction Doesn't Apply to Vacancy Lease

Rent-stabilized tenant complained of a rent overcharge. The DRA ruled for tenant and ordered landlord to refund over $11,000, including triple damages. Landlord appealed. Landlord argued that from Sept. 1, 2001, through March 30, 2005, tenant's legal rent was $725 per month, not $613.60. The DHCR ruled for landlord. The DRA had reduced tenant's collectible rent from $725 to $613.60 under a service reduction order, effective Sept. 1, 2001, during tenant's vacancy lease. The rent was later restored, effective April 1, 2005. But since tenant was under a vacancy lease when the service reduction order went into effect, tenant's rent could only be frozen, not reduced. So the legal rent during the period of claimed overcharge was $725, the same as the rent charged.

1420-1424 Gateway Blvd.: DHCR Adm. Rev. Dckt. No. TE110018RO (7/20/05) [3-pg. doc.]