Tenant's Apartment Was Vacancy Deregulated More Than Four Years Before Complaint

Tenant complained of rent overcharge. The DRA ruled against tenant and found that the apartment wasn't subject to rent stabilization. Tenant appealed, and the DHCR denied her PAR. Tenant then filed an Article 78 court appeal, claiming that the DHCR's decision was unreasonable. The DHCR agreed to take the case back for reconsideration.

The DHCR then ruled against tenant. The four-year base date for tenant's overcharge complaint was May 12, 2008. Landlord showed that the apartment had been deregulated by high-rent vacancy deregulation in 2004 when the apartment rent exceeded $2,000 per month and landlord filed an exit registration. The DRA therefore correctly determined that the apartment was no longer subject to rent stabilization. The DHCR isn't authorized to investigate an apartment's rental history before the filing of an exit registration that occurs prior to the base date. And tenant's claim that there were unexplained rent increases from 2002 to 2004 was insufficient to warrant investigation into the base date rent based on a fraudulent scheme to deregulate the apartment. There also was no discrepancy between rent history records and rent registrations. And J-51 tax benefits received for the building had expired by the time the apartment was deregulated. 

Choe: DHCR Adm. Rev. Docket No. DX410008RP (10/23/18) [4-pg. doc.]