Preferential Rent Renewal Not Limited by Guidelines Increases

Tenant complained of rent overcharge. The DRA ruled against tenant, who appealed and lost. Since the base rent date, tenant's renewal leases have all contained preferential rent riders and landlord preserved both the legal regulated rents and preferential rents. Tenant paid the preferential rents under each of the renewal leases during the four-year period before he filed his overcharge complaint. Tenant claimed that landlord increased his preferential rent by more than the allowable rent guidelines increases. But preferential rent can change with each renewal lease and doesn't have to follow rent guidelines increases. There was no overcharge.

Erwinski-Smith: DHCR Adm. Rev. Docket No. CP410027RT (1/1/15) [4-pg. doc.]