Post-Conversion Co-op Subtenant Not Subject to Rent Stabilization

LVT Number: #25626

Tenant claimed that he was rent stabilized and asked the DHCR to determine his status. The DRA ruled against tenant, finding that he was unregulated. Tenant appealed and lost. DHCR rent registration records were inconsistent, showing registration as rent stabilized in some years but as exempt in other years. But landlord showed that the building had been converted to cooperative ownership in 1985. Landlord was the shareholder and proprietary lessee of the apartment. Tenant first rented the apartment from him by sublease dated July 1, 2002.

Tenant claimed that he was rent stabilized and asked the DHCR to determine his status. The DRA ruled against tenant, finding that he was unregulated. Tenant appealed and lost. DHCR rent registration records were inconsistent, showing registration as rent stabilized in some years but as exempt in other years. But landlord showed that the building had been converted to cooperative ownership in 1985. Landlord was the shareholder and proprietary lessee of the apartment. Tenant first rented the apartment from him by sublease dated July 1, 2002. Although the apartment was incorrectly registered during some years, the apartment is unregulated as a matter of law since tenant didn't live there at the time of the co-op conversion.

DiGioia: DHCR Adm. Rev. Docket No. BN410049RT (5/16/14) [2-pg. doc.]

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