Landlord Proved Construction Manager Needed for Project

LVT Number: 17158

Landlord applied for MCI rent hikes based on the replacement of the heating system for a building complex containing 3,300 apartments. The DRA ruled for landlord for the installation but disallowed the cost of a construction manager hired to supervise the work. Landlord appealed and won. In light of the nature and extent of the work for the whole building complex, the construction manager's services were needed to complete the heating modernization and didn't duplicate any other work. So the cost could be included in calculating the MCI.

Landlord applied for MCI rent hikes based on the replacement of the heating system for a building complex containing 3,300 apartments. The DRA ruled for landlord for the installation but disallowed the cost of a construction manager hired to supervise the work. Landlord appealed and won. In light of the nature and extent of the work for the whole building complex, the construction manager's services were needed to complete the heating modernization and didn't duplicate any other work. So the cost could be included in calculating the MCI.

Queens Fresh Meadows, LLC: DHCR Adm. Rev. Dckt. No. QI110038RO et al.; No. QI110020RT et al.; No. RJ110017RP (1/28/04) [15-pg. doc.]

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