Prior Landlord Can't File MCI Application

LVT Number: 8515

Landlord applied for MCI rent hikes, based on pointing and a new roof. Landlord's application was filed more than two years after the work was completed. So the DRA allowed rent increases for rent-controlled, but not rent-stabilized, tenants. Tenants appealed, claiming that the MCI application was filed by prior landlord over a year after he'd sold the building. New landlord claimed this didn't matter. Under the building sale agreement, benefits of the MCIs went to new landlord. The DHCR ruled for tenants.

Landlord applied for MCI rent hikes, based on pointing and a new roof. Landlord's application was filed more than two years after the work was completed. So the DRA allowed rent increases for rent-controlled, but not rent-stabilized, tenants. Tenants appealed, claiming that the MCI application was filed by prior landlord over a year after he'd sold the building. New landlord claimed this didn't matter. Under the building sale agreement, benefits of the MCIs went to new landlord. The DHCR ruled for tenants. Prior landlord had no legal right to file the MCI application after the building was sold. Under the Rent Stabilization Code, only "landlord'' may file an MCI application. And the Code defines landlord as an owner, lessor, assignee, or other person receiving or entitled to receive rent.

273-275-277 East 239th Street: DHCR Adm. Rev. Dckt. Nos. GE 620200-RT, GE 630144-RT, GE 630233-RT---GE 630235 (11/23/93) [3-page document]

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