Tenant in Occupancy During Substantial Rehabilitation Remains Rent-Stabilized

April 1, 2003

LVT Number: 16481

Tenant complained that landlord refused to give him a rent-stabilized renewal lease. Landlord claimed tenant was no longer rent-stabilized because the building had been substantially rehabilitated after Jan. 1, 1974. The DHCR ruled for tenant. Tenant had lived in his apartment prior to the substantial rehab and at all times while the work was being done. Little work was done to his apartment. Landlord appealed, claiming that the ETPA contained no exceptions to the substantial rehab exemption from rent stabilization. The court and appeals court ruled against landlord.

Tenant complained that landlord refused to give him a rent-stabilized renewal lease. Landlord claimed tenant was no longer rent-stabilized because the building had been substantially rehabilitated after Jan. 1, 1974. The DHCR ruled for tenant. Tenant had lived in his apartment prior to the substantial rehab and at all times while the work was being done. Little work was done to his apartment. Landlord appealed, claiming that the ETPA contained no exceptions to the substantial rehab exemption from rent stabilization. The court and appeals court ruled against landlord. The law didn't state the scope of the exemption and the DHCR's long-standing interpretation of granting continued rent stabilization coverage to tenants in occupancy since before the work was done was reasonable.

The 12th Co. LLC v. DHCR: NYLJ, 3/31/03, p. 20, col. 2 (App. Div. 1 Dept.; Tom, JP, Mazzarelli, Sullivan, Williams, Gonzalez, JJ)

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