Two Apartments Deemed Combined for High-Rent/High-Income Purposes

Landlord applied for high-rent/high-income deregulation. Tenants occupied two adjoining apartments in the building, and landlord said that the rent for the combined apartments was over $2,000 per month. Tenants argued that the DHCR shouldn't consider the two apartments as one when deciding their rent. Tenants also claimed that the former opening between the apartments had been sealed. The DRA ruled for tenants. Landlord appealed and won. It didn't matter that the apartments were registered separately and that rent was paid by separate checks. At the time that tenants were sent the income verification form, the archway between the two apartments was open and tenants' son lived in the second apartment. The son had lived there for a long time, as a child and as an adult. The apartments were combined structurally for family living purposes. So it was proper to consider them as one unit when considering high-rent/high-income deregulation.

Mayfair York, LLC: DHCR Adm. Rev. Dckt. No. OE410064RO (12/15/00) [3-pg. doc.]