Lease Rider Limit on Preferential Rent Not Required
LVT Number: 17107
Tenant rented a rent-stabilized apartment for more than 10 years. Each lease and renewal lease he received until 2003 contained a preferential rent rider. On June 29, 2003, tenant received a renewal lease offer with no preferential rent provision. Tenant asked the DHCR if landlord could do this. In an opinion letter, the DHCR said yes. Section 6 of Chapter 82 of the Laws of 2003 became effective on June 15, 2003. The law says that landlords have the option of not offering lease renewals at preferential rents, even if they had previously. A specific lease clause or written agreement permitting landlord to terminate a preferential rent is no longer necessary.
DHCR Opin. Ltr. by Charles Goldstein (7/29/03) [2-pg. doc.]