Apartment Improvements

[<jane>]

I live in a rent stabilized apartment in downtown NYC, when a landlord is renovating an apartment, what counts as capital improvements? I know painting does not, but what if he fixes the electrical wiring or puts in new pipes or knocks down a wall or puts new windows into the apartment, does that count as a capital improvements?

Thanks!

[Cranky Tenant]

It really depends on whether he's making a repair or an improvement. The LL is required to keep fixtures in decent working order. If the windows are broken, or the sink leaks, he's reuired to make repairs.

On the other hand, if he "renovates" or makes substantial improvements to electrical lines, installs new windows, etc, he may be entitled to a rent increase.

[TenantNet]

Look at it in different ways. First, there can be individual apartment "capital" improvements (for which 1/40th the cost may be added to the rent on vacancy) and then there are building-wide capital improvements. To qualify for the latter, it must be done throughout the building -- meaning that ALL windows must be replaced (except for certain lot-line windows), or it must be a building-wide system, like a boiler or an elevator. It can be for pointing, or a new roof, or a variety of things. Also critical fir MCI's is that the useful life or the existing item (the one to be replaced) has been exhausted. The RSC has a list of these useful lives. This means that a new elevator can't be installed every three years. If its useful life is 25 years, then the landlord must wait that long before attempting another MCI rent increase application. In a few instance of which we know, DHCR denied a MCI for a new boiler because the old boiler did not exist (the building had been heated by Con Ed steam pipes), therefore there was no useful life to be exhausted. For individual units, some of the same rationale holds -- they can't get increases for new refrigerators every five years. Painting does not qualify -- and we think that other things like floor sanding also do not qualify. New plumbing would, also new electrical systems. Depends on what it is and DHCR's case law.

[morryc]

My landlord is seeking an MCI increase for painting the fire escapes. Is this allowed? I've read that painting does not qualify, but I assume that refers to interrior painting.

Thanks

[consigliere]

morryc wrote:
 
My landlord is seeking an MCI increase for painting the fire escapes. Is this allowed? I've read that painting does not qualify, but I assume that refers to interrior painting.
 
 
Painting fire escapes is routine maintenance and should not be a basis for a Major Capital Improvement (MCI) rent increase. However, landlords often try to slip in routine maintenance when it's done at the same time as an MCI.
 
P.S.: morryc should have started a separate thread for this question.