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New York Real Estate Law ReporterColumns & DepartmentsLandlord Tenant LawLitigation

Landlord & Tenant Law

By NYRE Staff
February 01, 2022
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DHCR Had Rational Basis for MCI Determination

Matter of MM&I Realty Cl., LLC v. Division of Housing and Community Renewal NYLJ 11/19/21, p. 27, col. 6 AppDiv, Second Dept. (memorandum opinion)

In landlord's article 78 proceeding challenging DHCR's denial of its application for a major capital improvement rent increase, landlord appealed from Supreme Court's denial of the petition and dismissal of the proceeding. The Appellate Division affirmed, holding that DHCR's determination had a rational basis.

Landlord filed for a rent increase following completion of a project that involved pointing, waterproofing, and installation of a new intercom system. The District Rent Administrator denied the application because landlord's application was submitted within the 15-year useful life of work for which landowner had previously obtained an MCI increase, and landlord had not sought a waiver of the useful life requirement. The Deputy Commissioner upheld that determination, and landlord then brought this article 78 proceeding. When Supreme Court denied the petition, landlord appealed.

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