On June 20, 1994, the Rent Guidelines Board (RGB) set the following maximum rent increases for leases commencing or being renewed on or after October 1, 1994 and on or before September 30, 1995 for rent stabilized apartments:
One-Year Lease Two-Year Lease 2% 4%
A supplemental adjustment of $15 per month may be added for apartments renting below $400 as of September 30, 1994 and located in buildings containing thirty dwelling units or less.
For tenants entering new leases the increases are the same as renewal leases, except 1) where the rent charged and paid on September 30, 1994 is less than $1000, an additional 5% over the rent charged on September 30, 1994 may be added; or 2) where the rent charged and paid on September 30, 1994 for apartments renting for less than $400 and located in buildings containing thirty units or less, an additional 10% may be charged. No vacancy increase is permitted if the rent is $1000 or more. Under Order 26, owners will be permitted to collect the vacancy allowance if vacancies occur during consecutive guideline periods; that is, even if a vacancy allowance was collected for the same unit under the previous order. No vacancy allowance can be taken under Order 26, however, if the apartment first enters rent stabilization within the guidelines period (from October 1, 1994 to September 30, 1995).
Any increase for a renewal lease as well as any for the vacancy allowance may be collected no more than once during the guideline period.
For Loft units that have met the legalization requirements under Article 7-C of the Multiple Dwelling Law, the Board established the following maximum rent increases for leases commencing or being renewed on or after October 1, 1994 and on or before September 30, 1995 for rent stabilized apartments:
One-Year Lease Two-Year Lease 2.5% 4.5%
Leases for units subject to rent control on September 30, 1994 which subsequently become vacant and then enter the stabilization system are not subject to the above adjustments. The rents for these newly stabilized units are subject to review by the New York State Division of Housing and Community Renewal (DHCR). In order to aid DHCR in this review the RGB has set a special guideline of 40% above the Maximum Collectible Rent paid by the prior tenant or 35% above the Maximum Base Rent, whichever is greater.