Sidewalk Shed Cost Included in MCI Increase

Landlord applied for MCI rent hikes based on facade and parapet wall replacement. The DRA ruled for landlord in part, but disallowed “mobilization costs” of $11,500. Landlord appealed and won. The mobilization costs cited in landlord’s application were not merely incidental but referred to the installation of a sidewalk shed that was a necessary security measure for exterior restorations and for continued mobilization. This cost was includable as part of the MCI cost.

Langsam Property Services Corp.: DHCR Adm. Rev. Docket No. BS610046RO (6/24/16) [2-pg. doc.]