NYS DHCR Office of Rent Administration, Major Capital Improvement (OM) PAR Orders and Opinions (April-June 2026)

The Rent Administrator properly affirmed the MCI rent increase granted under the previously issued
GU4 l 0045OM order. The owner's claim that it was a violation of the owner's due process rights for
the Administrator to have retroactively applied the provisions of HSTPA to the MCI rent increase is
without basis. It is noted that the ovmer's claim that the HN4 l 0003RK order modified the rent
increase so as to make the MCI temporary in nature is contrary to the facts, in that the HN4I0003RK
order contains no such language and in fact affirmed the GU4 l 0045OM order as issued. However,
the HN4 l 0003RK order does contain an informational paragraph notifying the parties that the
previously granted rent increase is subject to the provisions of Section 26-51 I. I (a)(8) of the Rent
Stabilization Law which, by its express terms, limits the collection of all MCI rent increases granted
after June 16, 2012 and before June 16, 2019 to two percent per year upon the signing of a renewal
lease for any tenant in occupancy when the MC.I was granted. In that the GU4I0045OM order
initially granting the rent increase was issued on January 9, 2019 (after June 16, 20 I 2 and before
June 16, 2019) the above-referenced provision of HSTPA applies to this rent increase. In view of the
express language contained in Section 26-511. l(a)(8), the Commissioner finds no error by the
Administrator in inserting the informational paragraph into the HN4l0003RK order notifying both
the owner and the tenants of the applicable change in the collectability of the rent increase. 1