Tenant Never Had a Preferential Rent

Rent-stabilized tenant complained that landlord refused to renew her lease at the rent previously charged plus the applicable guidelines increase. The DHCR ruled against tenant, finding that she previously had a preferential rent that landlord wasn’t required to renew. Tenant filed a court appeal, claiming that the DHCR’s decision was arbitrary and unreasonable. The court ordered the DHCR to reconsider. The DHCR then ruled for tenant. Tenant’s base-date lease mentioned no preferential rent. Tenant’s initial lease and prior renewal leases from the 1990s through 2004 also contained no preferential rent clause. Landlord must offer tenant a renewal lease based on the actual rent paid.

Diazarango: DCHR Adm. Rev. Docket No. YA210009RP (5/17/10) [2-pg. doc.]