Second Successive Pass-On Tenant's Consent Required for Improvements Increase

July 31, 2002

LVT Number: 16013

Landlord was about to give a renewal lease to a second successive pass-on tenant under rent stabilization and noted that the rent stabilization code permitted collection of a vacancy rent increase. Landlord asked the DHCR if it could also collect a 1/40th apartment improvement increase from the second successive pass-on tenant without written consent, since the lease was, in effect, a vacancy lease. In an opinion letter, the DHCR said no. Since there was no actual vacancy, landlord wasn't making improvements in an apartment with no tenant.

Landlord was about to give a renewal lease to a second successive pass-on tenant under rent stabilization and noted that the rent stabilization code permitted collection of a vacancy rent increase. Landlord asked the DHCR if it could also collect a 1/40th apartment improvement increase from the second successive pass-on tenant without written consent, since the lease was, in effect, a vacancy lease. In an opinion letter, the DHCR said no. Since there was no actual vacancy, landlord wasn't making improvements in an apartment with no tenant. So tenant's consent to the improvements was required for landlord to collect a 1/40th increase.

DHCR Opin. Ltr. by Charles Goldstein (6/13/02) [3-pg. doc.]

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