NYS DHCR Office of Rent Administration, Overcharge R-PAR Orders (July 1 - Sept 29 2025, Part 2)

The RA did a full review of the entire rental history to determine whether the apartment is
subject to rent stabilization, as required by RSC Section 2526.7. Agency records do not reveal any
irregularity in the deregulation of the subject apartment in 2006, when the first regulated tenant after
the temporary exemption from 1998-2004 ended. The owner contemporaneously registered the
apartment as "RS-TEMP EXEMPT .. . OWNER OCCUPIED/EMPLOYEE" in each year from 1998
through 2004 inclusive. Under the RSC, as it applied in 2004, when the first tenants after such
temporary exemption took occupancy, the first stabilized rent was the rent agreed to by the owner
and the tenant upon such initial occupancy. In this case, as shown by contemporaneous registrations,
the first stabilized tenants after the 1998-2004 temporary exemption were - and -
- • who took occupancy pursuant to a lease spanning 09/01/2004 through 08/31/2006 at a
stabilized rent of $2,005.00 per month. Because the legal regulated rent upon the vacatur o f such
tenants was over the then deregulation threshold, the apartment became deregulated upon such
vacatur. There is nothing irregular or pointing to fraud in the amount of the agreed upon rent or in
such deregulation. Again, it is emphasized that the owner did not behave in any way fraudulently
and that there was no malfeasance in the amount of the rent set after the temporary exemption or in
the subsequent deregulation of the apartment upon vacatur of the first stabilized tenants after such
exemption when the legal rent exceeded the then threshold for deregulation. lt is noted that Agency
records do not show any duplicative or otherwise suspicious re&istrations for the subject apartment.