Effective October 17, 2024, the IAI cap of $15,000 is increased up to $30,000 in the first tier. The amortization
rates for the first tier remain the same but the increase is now permanent. In a building that contains 35 or fewer
apartments, the permitted increase in the legal regulated rent is 1/168th of the total cost of the improvements.
In a building with more than 35 apartments, the permitted increase in the legal regulated rent is 1/180th of the
total cost of the improvements.
Owners must include with DHCR Form RN–19N INDIVIDUAL APARTMENT IMPROVEMENT:
NOTIFICATION, “Before and After” photographs related to the IAI(s), and DHCR Form RN–19C INDIVIDUAL
APARTMENT IMPROVEMENT: TENANT’S INFORMED CONSENT, if applicable. Such consent form must
be executed in accordance with the filing instructions in DHCR Form RN–19C INDIVIDUAL APARTMENT
IMPROVEMENT: TENANT’S INFORMED CONSENT (See Notification Terms, Section I. above).
Second Tier – Vacant Rent Stabilized Apartments that Were Timely Registered Vacant for 2022, 2023
and 2024 or Continuously Occupied for at least 25 Years Immediately Prior to Commencement of the
IAIs Subject to the $50,000 Limitation
Effective October 17, 2024, IAIs of up to $50,000 may be recoverable if they were installed (a) in a vacant
apartment that was timely registered as vacant in 2022, 2023, and 2024; or (b) during a vacancy following a
period of continuous occupancy of at least 25 years that occurred immediately prior to the commencement of
the IAI. An owner may recover costs based on (a) no more than once.