Pursuant to HSTPA, for verifiable IAI rent increases that take effect on or after June 14, 2019, in a building
that contains 35 or fewer apartments, the permitted increase in the legal regulated rent is 1/168th of the
total cost incurred by an owner. For IAI increases in a building with more than 35 apartments, the permitted
increase is 1/180th of the total cost of the improvements. Such rent increases must be removed from the
legal regulated rent thirty years from the date the increase became effective, inclusive of any increases
granted by the applicable rent guidelines board. IAI increases are based on the total substantiated cost of an
improvement including installation cost but excluding finance charges and excluding any costs exceeding
reasonable costs as established by DHCR. Owners are limited to an aggregate cost of $15,000 (fifteen
thousand dollars) that may be expended on no more than three separate individual apartment improvements
in a fifteen-year period.
This document is being reissued for informational purposes only.
The original document which contains signatures of authorization is
on file at DHCR’s Office of Rent Administration.