Tenants No Longer Rent Stabilized After Substantial Rehab

Landlord asked the DHCR to rule on the building's status. Landlord claimed that the building was substantially rehabilitated after Jan. 1, 1974, and was therefore exempt from rent stabilization. The DRA ruled for landlord, but found that two tenants remained rent stabilized because they had lived in the building since before the rehab took place between 2004 and 2006. Landlord appealed, claiming that the two tenants were former part-owners of the building, and therefore weren't rent stabilized to begin with. The DHCR ruled for landlord. Tenants then filed an Article 78 court petition, claiming that the DHCR's decision was unreasonable. The case was sent back to the DHCR for reconsideration. The DHCR then ruled for landlord. Both tenants were part-owners of the building at the time the rehab work took place. They were therefore exempt from rent stabilization. In addition, one of the tenants moved voluntarily into a different apartment that had been newly renovated.

Synder Street Estates, LLC: DHCR Adm. Rev. Docket No. XB210007RP (8/20/09) [6-pg. doc.]