RRRA Doesn't Set Sublet Increase

Tenant asked the DHCR how the Rent Regulation Reform Act of 1997 (RRRA 97) affected rent increases permitted for subletting. In an opinion letter, the DHCR stated that RRRA 97 didn't set the amount by which landlord can temporarily increase the apartment when a rent-stabilized tenant sublets. The Rent Stabilization Code provides that landlord can collect a rent increase equal to the vacancy allowance, if any, allowed by the Rent Guidelines Board Order at the time the sublet begins. Under RGBO 28, landlords were allowed to take a 9 percent vacancy or sublet increase. Under RGBO 29, effective between Oct. 1, 1997, and Sept. 30, 1998, landlords can collect a 5 percent increase for sublets.

DHCR Opin. Ltr. by Charles Goldstein (7/23/97) [2-page document]