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reduction in service correction=MCI?

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

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Re: reduction in service correction=MCI?

Postby Cranky Tenant » Wed Mar 06, 2002 1:41 pm

It would be helpful if you described why the rent reduction was ordered but basic logic would say, if the rent was decreased because the LL isn't providing a basic service, restoring the service would only restore the rent to where it was before the order was issued.
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Re: reduction in service correction=MCI?

Postby <Jerry> » Wed Mar 06, 2002 2:05 pm

Well you're talking about two different things and don't get them confused. First, the "original me" said nothing about a DHCR determined rent reduction (based on a service decrease). All he said was that he notified the landlord of a service decrease. Don't jump to that conclusion.

But if he had filed with DHCR for a service decrease, the rent would have been reduced if it had been determined as such. And when the owner restored the service, then the owner could filed for a rent restoration, so they would be back at the status quo,

But what he's worried about is a MCI, where the landlord can permanently increase the rent by 1/84th the cost of the improvement. This means the rent would be increased to a level much higher than the original rent. This can happen even if the tenant never filed for or got a rent decrease.

So the answer is yes, the owner can replace the equipment and get an MCI for it -- even if it was his reduction of the service that prompted a complaint. MCI's must be replacement of something that currently exists, subject to useful life regulations (he can't get an MCI for a replacement if he made a similar replacement just a few years ago.)

If it's a major item, then it's time for the tenants to get organized and figure out a strategy.
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Re: reduction in service correction=MCI?

Postby TenantNet » Thu Mar 07, 2002 9:09 pm

Wether or not you get the rent reduction order, if the MCI qualifies, that would be added to the permanent lease rent. With MCI's focus on if it works, if it qualifies for having an expired useful life, if the payment info is correct, etc. Check the RSC for detailed MCI info - also DHCR policy statements, etc.
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