Tenants can file an appeal within 35 days of the No. The owner is entitled by law to collect the rent
date on the DHCR order that granted the MCI rent increase.
increase. Specify any errors or mistakes that DHCR
may have made in issuing this order. The review in 13. How does this increase apply to my rent?
the appeal proceeding is generally limited to the
facts or evidence presented to DHCR during the DHCR’s MCI order will specify the rent increase
MCI case processing. If you are seeking to submit for your apartment and when such increase is
new facts or evidence on appeal such material collectible. The MCI rent increase is limited to 2%
should be identified with your reason why it should of your rent that was in effect when the owner
now be accepted and reviewed. The application to filed the application (in the MCI order, DHCR refers
file the appeal, DHCR’s Petition for Administrative to this as the rent roll date) during any 12-month
Review form RAR-2, is available at period from the collectible date on the order. Any
www.hcr.ny.gov/tenant-owner-forms amount that is more than 2% of the rent may only
be collected in future 12-month periods.
A PUBLICATION OF THE DIVISION OF HOUSING AND COMMUNITY RENEWAL OFFICE OF RENT ADMINISTRATION FS-24 (04/2025)
FACT SHEET #24: MAJOR CAPITAL IMPROVEMENTS (MCI) PAGE 9 OF 9
14. Why do I have to pay the MCI increase when
my rent is already set in my lease?
Even if your rent is set by your lease, the owner
may still increase the rent based on an MCI rent
increase ordered by DHCR. The DHCR issued
standard lease renewal form contains language
that states “The rent, separate charges and total
payment provided for in this renewal lease may
be increased or decreased by order or annual
updates of the DHCR or Rent Guidelines Board.”