SRO Tenant Subject to Hotel Stabilization

Tenant complained of a rent overcharge. The DRA ruled for tenant and ordered a refund with triple damages. Landlord appealed and lost. Landlord claimed that the DRA incorrectly applied hotel rent guidelines to calculate tenant's legal rent, instead of apartment rent guidelines. But the building was a single room occupancy multiple dwelling used for low-income housing. Landlord had incorrectly registered the apartment as temporarily exempt from 2007 through 2010 as a "hotel/SRO." Landlord claimed that the building was exempt because it was operated on a nonprofit basis. But an SRO or rooming house is subject to hotel stabilization, and landlord failed to prove that the building was operated exclusively for nonprofit charitable purposes. Tenant was a permanent tenant subject to hotel stabilization.

Lutheran Social Services: DHCR Adm. Rev. Docket No. YJ210060RO (2/2/12) [4-pg. doc.]