Landlord's Lawsuit Against DHCR for Post-HSTPA IAI Policy Change Dismissed

LVT Number: #31826

Landlord sued the DHCR, claiming that the agency's post-HSTPA policies and procedures concerning individual apartment improvement (IAI) rent increases were improper. After HSTPA was enacted, landlords were required to file a Notification Form, related before and after photographs, and a tenant's informed consent form, for work done in occupied apartments. Landlord had bought the building in 2014, hired a contractor, and filed permits with DOB in early 2019 to perform building interior renovations.

Landlord sued the DHCR, claiming that the agency's post-HSTPA policies and procedures concerning individual apartment improvement (IAI) rent increases were improper. After HSTPA was enacted, landlords were required to file a Notification Form, related before and after photographs, and a tenant's informed consent form, for work done in occupied apartments. Landlord had bought the building in 2014, hired a contractor, and filed permits with DOB in early 2019 to perform building interior renovations.

The court granted the DHCR's request to dismiss the case. Landlord didn't have a vested interest in the pre-HSTPA IAI rent increase formula, in effect until June 14, 2019, and it wouldn't suffer a "hardship" from the court's refusal to entertain its challenge to Rent Stabilization Law Section 26-511(c)(13). The court found that the case wasn't ripe and dismissed landlord's claim that the new policies were unconstitutional. The court found no harm, despite landlord's claim.

300 Wadsworth LLC v. DHCR: Index No. 158207/2020, 2022 NY Slip Op 30095(U), NYLJ No. 1643045402 (Sup. Ct. NY; 1/14/22; Goetz, J)