Mitchell-Lama Surcharges Became Part of Initial Rent

LVT Number: 16331

Landlord owned a Mitchell-Lama rental building. Landlord intended to discontinue the Mitchell-Lama corporation. The building then would become rent stabilized. Landlord asked the DHCR if the Mitchell-Lama surcharges currently paid by tenants would be included in tenants' initial legal regulated rents under rent stabilization. In an opinion letter, the DHCR said yes. These surcharges include those for excess income and appliances.

Landlord owned a Mitchell-Lama rental building. Landlord intended to discontinue the Mitchell-Lama corporation. The building then would become rent stabilized. Landlord asked the DHCR if the Mitchell-Lama surcharges currently paid by tenants would be included in tenants' initial legal regulated rents under rent stabilization. In an opinion letter, the DHCR said yes. These surcharges include those for excess income and appliances.

DHCR Opin. Ltr. by Charles Goldstein (10/30/02) [2-pg. doc.]

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