Tenant Who Moved into Substantially Rehabbed Building Was Unregulated

Landlord asked the DHCR for a determination that its building had been substantially rehabilitated after Jan. 1, 1974, and therefore was exempt from rent stabilization. The DRA ruled for landlord. Tenant appealed and lost. Tenant claimed that landlord gave her a rent-stabilized lease when she moved into the building in 2010. But that didn't matter. Pursuant to Rent Stabilization Code Section 2520.11(e), landlord proved that in 1984 it had replaced at least 75 percent of building and apartment systems with new systems in a building that was in substandard or seriously deteriorated condition. The DHCR's ruling also was retroactive to 1984. Although the building received a 20-year J-51 tax abatement as a result of the work, this conveyed rent-stabilization status only to tenants who lived in the building before June 2003. Since tenant moved into the building in October 2010, she was unregulated. 

Rodriguez: DHCR Adm. Rev. Docket No. GM210010RT (1/4/19) [3-pg. doc.]