Landlord Collected Full MCI Increase Despite Getting J-51 Tax Benefits

Rent-stabilized tenant complained of rent overcharge because landlord collected a full MCI rent increase while also receiving a J-51 tax abatement for the work performed. The DRA ruled for tenant and ordered landlord to refund $324, including triple damages. Landlord appealed and lost. On May 1, 2013, the DRA granted landlord's application for an MCI rent increase. The DRA later issued an order on Dec. 23, 2015, that modified the MCI increase due to landlord's receipt of J-51 benefits. Tenant's rent therefore was temporarily reduced, to be restored at the end of the tax abatement period when landlord was required to file a notice for rent-stabilized tenants.

NYSANDY3 NBP4 LLC: DHCR Adm. Rev. Docket No. FQ610013RO (11/28/17) [2-pg. doc.]