Tenant Claims Income Was ‘Nonrecurring'

(Decision submitted by Jeffrey Turkel of the Manhattan law firm of Rosenberg & Estis, P.C., attorneys for the landlord.) Landlord applied in 1995 for high-rent/high-income deregulation of tenant's rent-stabilized apartment. Tenant acknowledged that in 1993 and 1994 his annual household income was greater than $250,000. But tenant claimed that this was a ``non-recurring'' event resulting from the liquidation of tenant's business. The DRA ruled for landlord since tenant's income exceeded the $250,000 threshold for each of the two test years. Tenant appealed, again claiming that his high income was temporary and wouldn't recur. Tenant claimed he was now retired and that he and his wife lived on a fixed income. The DHCR ruled against tenant. The rent stabilization law's sections on high-rent/high-income deregulation didn't provide any exceptions for income variations. In fact, the Legislature arguably made allowances for income changes by requiring the DHCR to examine the household income for a two-year period rather than a one-year period.

Gore: DHCR Adm. Rev. Dckt. No. KC410037RT (10/1/96) [2-page document]