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Need Advice: RS rent jump from 2700 to 3400 in 1 year

NYC Rent Regulation: Rent Control/Rent Stabilized, DHCR Practice/Procedures

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Need Advice: RS rent jump from 2700 to 3400 in 1 year

Postby nyctenant2022 » Tue Apr 05, 2022 10:56 pm

Hi Everyone,

Thank you so much for reading my post. Here are the info:
What I know so far about my building from digging through the open database
-- Building is receiving tax abatement (421-a) (1-15)
-- Benefit start date is 01/2009
-- Term : 25 years

I received the rent history:
1984 - 2007 : *Reg Not Found for Subject Premises ***
2008: RS - $2350 Filing date: 12/2012 IMPRVMNT - 1 year lease
2009: RS-V $2200
2010: RS - $2200 - Filing date: 10/2018 - 1 Year Lease
2011: RS - $2290 - Filing date: 10/2018 - 1 Year Lease / Percent increase : 4.09 %
2012: RS - $2350 - Filing date: 10/2018 - 1 Year Lease / Percent increase : 2.06 %
2013: RS - $2450 - Filing date: 10/2018 - 1 Year Lease / Percent increase : 2.06 %
2014: RS - $2600 - Filing date: 10/2018 - 1 Year Lease / Percent increase : 6.12 %
2015: RS - $2700 - Filing date: 10/2018 - 1 Year Lease / Percent increase : 3.846 %
2016: RS -V $2700
2017: RS - $3400 - Filing date: 10/2018 - 2 Year Lease/ Percent increase : 25.93%
2018: RS - $3400 - Filing date: 10/2018 - Percent increase : 0%
2019: RS - $4054 - Filing date: 07/2021 - VAC/LEASE -1 Year Lease/ Percent increase : 19.23% -
2020: RS - $4824 - Filing date: 07/2021 - VAC/LEASE -1 Year Lease / Percent increase : 18.99%
2021: RS - $4897 - Filing date: 07/2021 - LEAS/RNL - 1 Year Lease/ Percent increase : 1.51%


Apartment Services: Stove; Refrigerator
Building Services: Bell and Buzzer System

I am new tenant and my current rent is $3300. Tenant pays for heat, hot water, and gas. Laundry in building. I did not received a rent-stabilized rider when I signed the lease nor was I told my apartment is rent-stabilized. I found out my doing my own research.

Does the rent history look normal? I called HCR and they told me they don't know why the rent went from $2700 to $3400. I will have to file an overcharge complaint in order for them to investigate. Does $3300 seem like the legal rent ?

If I calculated rent based on the RGB:
2008: RS - $2350
2009: RS-V $2200
2010: RS - $2200 - Based on RGB: 3% -$2266
2011: RS - $2290 - Based on RGB: 2.25% -$2316
2012: RS - $2350 - Based on RGB: 3.75% -$2402
2013: RS - $2450 - Based on RGB: 2% - $2450
2014: RS - $2600 - Based on RGB: 4% - $2548
2015: RS - $2700 - Based on RGB: 1% - $2574
2016: RS -V $2700 Based on RGB: vacancy bonus 20%
2017: RS - $3400 - Based on RGB: vacancy bonus 20% - $3089
2018: RS - $3400 - Based on RGB:0% - $3089 (2 year lease)
2019: RS - $4054 - Based on RGB: 1.5% - $3135
2020: RS - $4824 - Based on RGB: 0%
2021: RS - $4897 - Based on RGB: 0% - $3135

There's no reporting for 2021-2022. The apartment was vacant when I signed the lease.

Between 2019 - 2020; they added a wall and turned the living room into a room without closet. It was initially a 3bedroom apartment but now advertised as 4 bedroom.
Last edited by nyctenant2022 on Tue Apr 12, 2022 10:19 am, edited 1 time in total.
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Re: RS rent jump from 2700 to 3400 in 1 year

Postby TenantNet » Tue Apr 05, 2022 11:02 pm

Can't look at this right now (if I forget after a few days, issue a bump or nag me), but please look at the Forum rules. You posted the same thing twice. I deleted one of the posts.
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Re: RS rent jump from 2700 to 3400 in 1 year

Postby nyctenant2022 » Tue Apr 05, 2022 11:15 pm

thanks. Sorry about posting twice. It was not my intention.
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Re: RS rent jump from 2700 to 3400 in 1 year

Postby nyctenant2022 » Tue Apr 12, 2022 10:17 am

Any suggestion @tenantNet ?
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Re: Need Advice: RS rent jump from 2700 to 3400 in 1 year

Postby TenantNet » Sun Apr 17, 2022 9:26 am

Apologies for taking so long to respond. Very much backlogged.

You say the 421a benefits run from 2009 to 2034. (25 years). To which "open database" are you referring? Is it just 421a status, or is there more information there?

From the DHCR rent history, there is no data from 1984-2007 (obviously, as the building is new).

From your moving in, does your lease say it's RS?

Little curious on the details here -- says the 421a starts in 2009, but the so-called affordable rent starts in 2008. Why would there be a one-year delay? It might not impact you, but just curious. I don't know what an improvement dated 12/2012 means.

It also seems that the LL failed to register anything until 2018. In our view, there should be no increases until then (DHCR will have a different view on that).

Starting in 2012, there's a series of 1 year leases. They don't say vacancy or renewal. Even so, they don't seem to conform with allowable RS percentage increases as set by the RGB. See:
https://rentguidelinesboard.cityofnewyo ... tchart.pdf

The history (that you posted) does not say when the leases started ... that is crucial to determining which RGB order is applied. (the RGB orders apply to any lease commencing from 10/1 to 9/30 of a given year.)

Also understand that RS rents are usually not even dollar amounts as they are calculated by using percentages. Looking at the change from 2010 to 2011, not only are the amounts even dollars, but even tens. That's near impossible with RS.

Also, they numbers don't add up. If it was 4%, the increase would be to $2,288, not $2,290. It's not the $2 that matters, it's the accuracy and correctness of the calculation.

The RGB increases for one year in Order #42 was 2.25% and for Order #43, it was 3.75%. So that doesn't add up either.

So either the LL overcharged the tenant at the time, or gave bad numbers to DHCR (DHCR doesn't check), or you posted incorrect and incomplete data.

I'd look closely as to the exact date in 2019 as the rent laws changed in June 2019, and there are no longer any vacancy increases.

It seems there is an overcharge here, but we lack complete information. You could file with DHCR or in the courts. But you should do further research before taking any action.

You don't say when you moved in, but that your current rent is $3,300. How is that when the LL registered the rent as $4,897 (again, you don't list any pennies - that is important).

Is there a preferential rent? Was there a preferential rent rider attached to your original lease (not renewal, but original)?

You say tenant pays for heat and hot water? Is that gas or electric? In our experience, LLs usually pay for HHW, but not sure if that's required by law. The Housing Maintenance Code does require central heating (not individual units) unless a waiver is granted (probably by DOB or HPD). That might depend on the building's construction.

Usually initial leases will say if a unit is RS or not, although that is not the critical key to status. Being registered is also important, but some LL's will claim it's a mistake. You say the building is 421a ... is this one of the "affordable" units or an unregulated unit? I would also look for the 421a regulatory agreement, either with DHCR or HPD (might be posted on ACRIS from DOF.). You should be absolutely sure of the status, which is why we suggest you do more research. But there are many variables at work here.

If you eventually file with DHCR, you can do so on your own, but we find (as do most tenant groups) that DHCR can take years and usually favors landlords. Going to court would be shorter, but we would advise getting a tenant attorney for that ... and that can be expensive. Judges run the gamut. Some understand the problem; others don't care.

I would also follow-up periodically to see if there is a registration for last year and this year. FYI, LLs are required to send registrations to DHCR (copy to tenants) by 7/31 of each year and need to list the rent, increases and reasons for increases as of 4/01 of that year. So the last registration that would/should be on file with DHCR should have been filed in July of last year and reflect the rent as of 4/1/21.

As for the bedrooms.

1) did they file and get DOB permits?

2) changing walls can create changes for egress (and be a serious fire hazard). See https://en.wikipedia.org/wiki/2022_Bronx_apartment_fire
and
https://en.wikipedia.org/wiki/Black_Sunday_(2005)

3) changing the number of bedrooms does not change (necessarily) the outer walls of the apartment; just the interior walls. That does not create any reason for any rent increase. It might even be a decrease in service, but that would depend on details.

4) You don't say, but is the LL renting the place to one primary tenant who then can use the bedrooms for family members or roommates? If so, the prime tenant is still responsible for all rent for the apartment. OR ... is the LL renting the place out as 4 separate rooms with shared bathroom and kitchen, billing each occupant individually? If the latter, then that essentially creates a rooming house-type situation, and is probably illegal.

Bottom line, there's a lot we can't answer here. Again, you need to do more research before taking any action, or even consulting with a tenant attorney -- who will likely ask many of the same questions we have.
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Re: Need Advice: RS rent jump from 2700 to 3400 in 1 year

Postby TenantNet » Mon Oct 17, 2022 1:06 pm

We're way behind on other projects, which is why we haven't been as attentive as we should be on this forum. In any case, this might be of interest:
https://itkowitz.com/blog/2018/03/new-p ... -rent.html

On this one, we don't have a copy of the decision, but see Cedot Realty Corp. v. Estwanik, NYLJ, March 24, 1995, p. 28, col. 6 (App.Term 1st Dep’t)
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Re: Need Advice: RS rent jump from 2700 to 3400 in 1 year

Postby nyctenant2022 » Tue Feb 28, 2023 2:44 pm

Thank you for the help. I didn't act because I wanted to see how my landlord handled the lease renewal. Unfortunately, to piggyback, we did not receive a rent-stabilized lease last year. Over the summer, we requested our rental history a second time, and the landlord did not put our name as the tenant. They registered with DHCR on July 2022, and we moved in April 2022.

Our lease is up for renewal, and we received a letter from the landlord stating that our rent is increasing by 19%.
They are treating the apartment as if it is at market rate. Department of Finance states they are on a 25-year tax abatement (421a-15). They also have yet to pay any rent-stabilized fee. HCR confirmed that the landlord registered the apartment with them as rent-stabilized.

I know I can file an overcharge complaint, but are there any other options I can take?

It would be nice if the current apartment could stay rent-stabilized until I move out. The 25-year will expire in 2034. The tax reduction will start to diminish in 2029. Given how my landlord handles the lease, can I still be charged the 2.2% fee in 2029?
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