Tenant Remained Rent Stabilized When J-51 Benefits Ended

LVT Number: #20701

Tenant complained of a reduction in services. The DRA ruled for tenant and reduced his rent. Landlord appealed, claiming that tenant was no longer rent stabilized. Landlord said that tenant was deregulated when the building's J-51 tax benefits expired on July 1, 2006. The DHCR ruled against landlord. Landlord was required to notify tenant in each renewal lease of the approximate date on which the J-51 benefits would end. Tenant's 2004 and 2005 lease renewals each contained a rider stating that the J-51 benefits were scheduled to expire on June 1, 2007.

Tenant complained of a reduction in services. The DRA ruled for tenant and reduced his rent. Landlord appealed, claiming that tenant was no longer rent stabilized. Landlord said that tenant was deregulated when the building's J-51 tax benefits expired on July 1, 2006. The DHCR ruled against landlord. Landlord was required to notify tenant in each renewal lease of the approximate date on which the J-51 benefits would end. Tenant's 2004 and 2005 lease renewals each contained a rider stating that the J-51 benefits were scheduled to expire on June 1, 2007. June 1, 2007 wasn't approximate to July 1, 2006. So tenant's lease rider didn't provide the required notice of J-51 expiration, and he wasn't deregulated when the J-51 benefits actually expired.

Awaye Realty Mgt. LLC: DHCR Adm. Rev. Docket No. VD210014RO (6/20/08) [6-pg. doc.]

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