Landlord Didn't Waive Collection of Legal Regulated Rent

LVT Number: #20124

Tenant complained of a rent overcharge. The DRA ruled for tenant and directed landlord to refund the overcharge collected. The DRA found that although the legal regulated rent was $708 upon renewal of tenant's lease on April 1, 2003, landlord collected only $705 starting on Jan. 1, 2004. Therefore, landlord waived the right to collect $708, and the legal rent became $705. Landlord appealed and won. Landlord charged tenant less than the legal regulated rent only to reflect tenant's share of a real property tax benefit landlord received under the J-51 program.

Tenant complained of a rent overcharge. The DRA ruled for tenant and directed landlord to refund the overcharge collected. The DRA found that although the legal regulated rent was $708 upon renewal of tenant's lease on April 1, 2003, landlord collected only $705 starting on Jan. 1, 2004. Therefore, landlord waived the right to collect $708, and the legal rent became $705. Landlord appealed and won. Landlord charged tenant less than the legal regulated rent only to reflect tenant's share of a real property tax benefit landlord received under the J-51 program. So tenant's legal regulated rent remained $708, and landlord had collected no overcharge.

Kew Gardens Associates, LLC: DHCR Adm. Rev. Docket No. VC110068RO (10/3/07) [2-pg. doc.]