Replacement Air Conditioners Didn't Qualify as MCI

Landlord applied for MCI rent hikes based on the replacement of individual unit air conditioners on a building-wide basis. The DRA ruled against landlord because there was no proof that new sleeves had been installed or that DOB had signed off on the work. Landlord appealed and lost. Landlord claimed that the air conditioning units also functioned as heaters and that the requirements should therefore be different. But it is DHCR policy that, to qualify as an MCI, air conditioner unit installations must include new sleeves penetrating the walls and an electrical sign-off from DOB.

400 East 63rd Street: DHCR Adm. Rev. Docket No. VC410086RO (1/12/12) [2-pg. doc.]