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Rights for non-regulated tenants

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New Lease

Postby gilab7 » Sun Sep 26, 2010 11:03 am

I met with a person from the management company and signed a rent stabilized preferential rate lease for an apartment in Manhattan.

I gave a $5000 (bankers check) deposit and received a receipt but never received a copy signed by the landlord.

Two weeks later, they want me to sign a new lease, not rent stabilized.

They are saying that since, I don't have a copy signed by landlord, the lease is not binding.

But they took my money!!! They are willing to return it and forget the whole thing, but I want the apartment with the rent stabilized lease.

What can I do. If they refuse to give me a copy of the rent stabilized lease, can I file for a restraining order preventing them to rent the apartment to anyone else?
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Postby TenantNet » Sun Sep 26, 2010 11:13 am

Have you taken occupancy?

Did you get a copy of lease just signed by you?

Tomorrow, call the Division of Housing and Community Renewal (DHCR) and see if the unit is stabilized. Is it a building build prior to 1947? Are there six or more units in it? Is it a coop/condo conversion? Was the previous tenant stabilized?

Are they willing to rent it out at the same rent just not on a stabilized lease? If so, your rights are substantially increased if you actually have occupancy (and obligations too BTW). If you find out later that it is stabilized you will be able to do something about it. Without being in occupancy, it's difficult if not impossible to force the situation.
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Postby gilab7 » Sun Sep 26, 2010 1:05 pm

We signed the lease September 7th and the apartment was suppose to be occupied by us beginning October first, so we have not moved in yet. It is a pre 1947 building with many apartments, most are rent stabilized, as the previous tenant was also rent stabilized.

I have a blank copy of the lease I signed.
I will call DHCR tomorrow.

Than you so much.
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Postby TenantNet » Sun Sep 26, 2010 1:47 pm

If the previous tenant was RS, then the owner could try to destabilize it by high rent destabilization, if the rent is over $2,000. That depends on what the old rent was and how they got it to over $2,000, and if that was done legally. In many instances it's not legal and subject to challenge.

Note: DHCR will not send you a rent history unless you have proof you're a tenant. A blank lease is likely not sufficient. But they should tell you if the unit was stabilized.

I have heard that a lease is valid even if the LL fails to execute it (sign it). The idea is that the offer and your acceptance is valid. However you should get a legal opinion on that from a tenant lawyer, and understand if you push it, you might end up in litigation. More over, you don't have occupancy.
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Postby Cranky Tenant » Sun Sep 26, 2010 2:46 pm

Is the so-called "non-stabilized" lease for the same amount? If it is, that might actually be a benefit since, I believe, it would set that amount as the base rent should the apartment turn out to be stabilized.
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Postby TenantNet » Sun Sep 26, 2010 6:06 pm

Cranky, where do you get that?
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Postby Cranky Tenant » Mon Sep 27, 2010 2:35 am

If the landlord were to lease a Rent Stabilized apartment and claim the apartment wasn't regulated, there would be no reason mention a preferential rent or state the legal regulated rent in the initial (vacancy) lease.

But if the apartment is indeed Rent Stabilized, wouldn't subsequent RGB increases have to be based on the rent stated in the vacancy lease, presuming there's been no overcharge? The DHCR form #40 on Preferential Rents certainly gives that impression.

The legal regulated rent must
have been written in the vacancy or renewal lease in which the preferential rent was first charged. Registration
with DHCR of the legal regulated rent by itself will not establish the legal regulated rent for future usage (see
Example #2).
The legal regulated rent need not be written in any subsequent renewal lease; however, failure to do so within a four (4) year period will effectively result in the preferential rent being established as the legal regulated rent.


Of course this is just one possible scenario based on the presumption that a LL wouldn't state a preferential rent for an unregulated apartment. Landlords don't do what might seem logical.
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Postby TenantNet » Mon Sep 27, 2010 3:55 am

Your first paragraph makes sense.

RGB increases are based on the last legal rent that existed on September 30th of the prior year (or two years ago if the expiring lease is for two years). Any increases are not necessarily that which is stated in the lease (should be, but not necessarily).

I think you're looking at when a pref. rent becomes the legal rent. I suppose there might be instances where that enters into it, but this situation appears to be possible one where the LL is just making a false claim that the unit is no longer regulated.
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