I moved into my apartment as a sublettor 3+ years ago. This sublet was illegal which I discovered when the landlord was looking for her tenant. So, the landlord broke the lease with the old tenant, and signed a new, one year lease with me for $1050. I know that the previous tenant's rent was $850. Since then I signed a two year lease, and now my lease is up for renewal again.
I want to know if the inital increase was legal. Does 9 NYCRR § 2522.8 apply? I think that she should have only raised the rent 20% of $850 - (4% of $805 - 2% of $850), that is if I am reading the statute correctly and it applies to me. That would leave me at $1003.
Does anyone know if this is correct? And how I should go about implementing the reduction?
Thanks!