MBR Increase Denied Due to Rent-Impairing Violations

Landlord applied for a 2004-05 maximum base rent increase for rent-controlled tenants. The DRA ruled against landlord. Landlord appealed, claiming that its architect's affidavit and HPD records showed that there were no building violations that would bar the MBR increases. The DHCR again ruled against landlord. Because the DHCR had denied several prior MBR applications for prior periods, the DRA ordered an inspection. The inspector found three rent-impairing violations at the building. The inspector's report was sufficient reason to deny landlord's application. In addition, since there had been no MBR increases at the building for many years, the DRA properly considered all violation records from 1986 through January 2003. HPD still had three rent-impairing violations pending against the building.

Weinberger: DHCR Adm. Rev. Docket No. UI420028RO (1/23/07) [3-pg. doc.]