IAIs Done Before Operational Bulletin 2016-1 Issued Required Less Proof

Tenant complained of rent overcharge. The DRA ruled against tenant, finding that all rent increases since the base rent date were lawful. Tenant appealed and lost. Tenant claimed that landlord failed to prove that individual apartment improvements (IAIs) costing $23,500 had been performed. But landlord proved that it had installed a new kitchen wall, kitchen cabinets, stove, refrigerator, sink, and toilet. Costs of cleaning the apartment, debris removal, and reglazing the bathtub also qualified as IAIs, since they were done as part of a coordinated apartment renovation project. Since the IAIs were done before the DHCR issued Operational Bulletin 2016-1, which required four types of proof of IAIs, landlord was required to comply only with prior Policy Statement 90-10 to prove the IAIs. Under the Policy Statement, landlord was required to submit less proof. Landlord adequately documented the work done. [Download PDF of decision here.]

Homere: DHCR Adm. Rev. Docket No. ER410063RT (3/8/17) [4-pg. doc.]