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Vacancy Lease After An Eviction (Pre-HSTPA)

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

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Vacancy Lease After An Eviction (Pre-HSTPA)

Postby BK_Tenant » Sun Apr 10, 2022 11:34 pm

The previous tenant in my rent stabilized apartment was evicted before their 2-year renewal lease was completed. I was given a RS vacancy lease - which also commenced before that previous two year lease had elapsed - and in it, the landlord took the vacancy and longevity-based increases (not to mention fraudulent IAIs)...

Is there anything in the rents laws or case law about a landlord's right to add the vacancy bonus when they've just evicted a tenant?

The closest thing I found was RSC 2524.4(a)(5)...but doesn't truly address the issue here.
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Re: Vacancy Lease After An Eviction (Pre-HSTPA)

Postby TenantNet » Mon Apr 11, 2022 4:54 am

That issue is some times addressed in the annual RGB order. In some cases it's been explicit; in others you have to read closely.

The current order is at https://rentguidelinesboard.cityofnewyo ... -order-53/

It details the level of permissible increases over the rent that was paid on Sept 30, 2021.

What that says is that the LL can't get one increase if an increase was taken (for example) on Nov. 1st, then if that tenant up and moves, the LL can't get a second increase on Feb. 1st. In a case like that, the LL would have already taken its increase on Nov. 1st, so they can't get a second increase during that period. In other words, the LL can take one increase a year ... and they only get the one increase no matter how many tenants move in and out.

Over the years, the order has been more explicit.

It gets complicated on vacancy increases. In the 1990's, it was set by the RGB, then starting in 1997, it was by statute at 20% (for a 2-year vacancy).

In 2019, the vacancy and longevity increases were repealed and the RGB may not add one without Albany's approval. (see the Lebovitz book).

If you look at prior RGB orders, usually after 1997, it will state when and how vacancy increases maybe imposed. See page 12 (section 5-A) of the 1997 law here: https://rentguidelinesboard.cityofnewyo ... rrra97.pdf

I don't know if or how current DHCR Fact Sheets treat this (as the vacancy increase no longer exists), but you should consult the Fact Sheet as it existed on the date in question. The current version is at https://hcr.ny.gov/system/files/documen ... 9-2020.pdf
-- but they do change.

I would try to FOIL the DHCR Fact Sheet as it existed for the year in question. Absent a Fact Sheet, FOIL any document that details how vacancy increases were determined for the year in question.

Of course they keep these things as they need to cite the regulations as they existed when determining whether an overcharge took place.

The current version states:

HSTPA eliminated the statutory vacancy rate and
does not permit Rent Guidelines Boards to establish a
separate vacancy rate. However, the owner may add a
one or two-year lease guideline that has been approved
by a Rent Guidelines Board. The owner can’t add more
than one of these guideline adjustments within the same
year


Also see Fact Sheet No. 26 (and prior versions) https://hcr.ny.gov/system/files/documen ... 7-2021.pdf

I can't be more specific as you haven't indicated details in your question.
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Re: Vacancy Lease After An Eviction (Pre-HSTPA)

Postby BK_Tenant » Mon Apr 11, 2022 2:17 pm

This is incredibly helpful, thank you! I'll look for the fact sheet, etc.

My vacancy lease began July 1, 2018. The previous evicted tenant's two year renewal lease (with 2.5% increase) began August 1, 2016.

I was not offered a two year lease when I moved in. So my rent was: Previous Rent + 18% vacancy + 0.6 x 26 years (longevity) + IAIs.
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Re: Vacancy Lease After An Eviction (Pre-HSTPA)

Postby TenantNet » Mon Apr 11, 2022 3:14 pm

In 2018, that's before the 2019 HSTPA, so the vacancy would have been a statutory 20% (for 2 years). So you're saying the tenant before you who was evicted, got a 20% increase and that the LL hit you with another 20%. Did they apploy longevity to both leases?

Look at when the prior tenant took occupancy. If he had been there for more than a year prior to being evicted, then maybe the second 20% would have been permissible (but not the longevity for you).

Sorry I don't have the specific language, but look at the places I mentioned and a little digging might help. I'd call the RGB and see what they say (someone down there might know). Based on my experience, I can't say that DHCR would know or even understand the question. But you never know.
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Re: Vacancy Lease After An Eviction (Pre-HSTPA)

Postby BK_Tenant » Mon Apr 11, 2022 3:37 pm

Ok will do, thanks.

And just to be clear, the prior evicted tenant did not get any vacancy increase, just RGB mandated increases with each renewal. She had been there at least 26 years. My original vacancy lease started a month before her lease would've ended had she not been evicted. I was just unclear whether they could take vacancy AND longevity AND IAIs on a new tenant after an eviction (mainly vacancy)...

Hypothetically - if this were legal - it means that a landlord prior to HSTPA take an RGB increase, evict multiple tenants over those two years (again just hypothetically) and take multiple vacancy increases...in whatever timeframe the evictions might occur.

My case is obviously not so extreme in this regard, but it does lead to the question of whether LLs should be given any financial incentive, within the last, signed RS lease cycle, for evicting longstanding tenants.
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Re: Vacancy Lease After An Eviction (Pre-HSTPA)

Postby TenantNet » Mon Apr 11, 2022 3:48 pm

NOW you say that? Maybe I jumped to the wrong conclusion, but I thought you were saying there were two vacancy increases within one year.

But now you clear up my confusion (or maybe lead to more confusion), that the prior tenant got a renewal increase (not a vacancy increase) within a year before you took occupancy. The rationale then is a bit different, but I believe the conclusion is the same.

Any renewal increase can only be applied as a percentage on top of the rent as it existed on Sept. 30 of the prior period. Read the text of each RGB order and it will say exactly that.

So you could have gotten a vacancy and longevity increase, but maybe not the renewal increases as they arguably had already been applied to her last renewal period. I would need to know the exact dates of all this, but that's what it sounds like. This is not a situation where the LL gets two vacancy increases in short order.
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