Agreement Not to Charge Increase Doesn't Apply to New Tenant
LVT Number: 8438
Landlord signed a stipulation with prior tenant agreeing not to add an MCI increase to tenant's rent. Landlord asked the DHCR if it could add the MCI increase to next tenant's rent. In an opinion letter, the DHCR stated that, under the Rent Stabilization Code, a stipulation between landlord and tenant is binding only on them and not binding on any new tenant. Landlord is free to charge new tenant the MCI increase. And landlord can even add the amount of the MCI increase to prior tenant's last rent and use this amount as the base rent for calculating new tenant's rent.
DHCR Opin. Ltr. by Nathaniel Geller (3/9/92) [1-page document]