Engineering and Expediting Fees Disallowed for Roof and Parapet Installation

LVT Number: #31649

The DHCR's DRA granted landlord's application for MCI rent hikes based on installation of a new roof and parapets. But the DRA disallowed additional costs, including engineer's fees, expediting, and asbestos fees. Landlord appealed and lost. Landlord claimed that the additional costs were necessary and customary for completion of the approved MCIs. But the DHCR found that the roof and parapets didn't involve a complexity requiring the expertise of an engineer to ensure a quality installation.

The DHCR's DRA granted landlord's application for MCI rent hikes based on installation of a new roof and parapets. But the DRA disallowed additional costs, including engineer's fees, expediting, and asbestos fees. Landlord appealed and lost. Landlord claimed that the additional costs were necessary and customary for completion of the approved MCIs. But the DHCR found that the roof and parapets didn't involve a complexity requiring the expertise of an engineer to ensure a quality installation. And the expediting work involved ineligible costs related to filing fees and other costs for obtaining government approvals that were properly disallowed. 

247 Mulberry Street Company LLC: DHCR Adm. Rev. Docket No. GR430015RO (9/16/21)[3-pg. document]

Downloads

31649.pdf170 KB