Tenant's Building Was Part of Horizontal Multiple Dwelling

Tenant complained to the DHCR that landlord failed to offer him a rent-stabilized renewal lease. Landlord claimed that tenant's building contained fewer than six apartments and therefore wasn't subject to rent stabilization. The DRA then opened a separate proceeding to determine the building's rent stabilization status. The DRA ruled that tenant's building was one of two buildings on the same tax parcel and shared enough common systems that it was rent stabilized as part of a horizontal multiple dwelling. The DHCR denied landlord's PAR. Landlord then filed an Article 78 court appeal and the case was sent back to the DHCR for reconsideration because the court found that the DHCR failed to give landlord sufficient opportunity to submit proof of its claim.

The DHCR again ruled against landlord. Evidence submitted showed that the two buildings shared a common heating system, a chimney, common exterior lighting system, common exterior walls with an interior wall between the basements, common fire escape at the front of the building, common facade that was a continuous connected siding, and shared common roof space with adjacent/adjoining buildings. The buildings also shared a long history of common ownership shown by deeds indicating the buildings were sold as one parcel in one deed between 1972 and 2003. So there were sufficient indicia of common facilities, common ownership, management, and operation to warrant treating the housing as an integrated unit and multiple dwelling subject to rent regulation. 

Pollock: DHCR Adm. Rev. Docket No. JR420005RP (8/1/24)[7-pg. document]