Velasquez v. New York State Division of Housing & Community Renewal, 130 A.D.3d 1045 (2015)

Citation: Velasquez v. New York State Division of Housing & Community Renewal, 130 A.D.3d 1045 (2015)
Parent Document: Velasquez v. New York State Division of Housing & Community Renewal, 130 A.D.3d 1045 (2015)
Jurisdiction: New York (state)
Effective Date: 2015-07-29
Original Source: https://www.courtlistener.com/opinion/6194996/velasquez-v-new-york-state-divi... ↗

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Moreover, because the rental history of the two-bedroom apartment “is no longer applicable due to the creation of a new unit” — i.e., a four-bedroom apartment — “there would be no rational method which DHCR could utilize to calculate the legal rent” (Matter of 300 W. 49th St. Assoc. v New York State Div. of Hous. & Community Renewal, Off. of Rent Admin., 212 AD2d at 253). In fact, this is borne out by the Deputy Commissioner’s own determination. Recognizing that the Marrones were entitled to a rent increase, having added two bedrooms to the apartment when the petitioner rented it, and apparently unsatisfied that the statutory formula for a rent increase for increased dwelling space — one-fortieth of the cost of the improvement (see Rent Stabilization Code [9NYCRR] § 2522.4 [a] [1], [4]) — sufficiently accounted for the significant alteration of the subject apartment, the Deputy Commissioner simply picked a number which he believed constituted a “reasonable” rent increase for the unit. Significantly, that rent increase, together with other allowable increases, brought the legal regulated rent to $1,200 per month, the first stabilization rent actually charged by the Marrones.

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