At James G. Dibbini & Associates, P.C., we are seeing a notable increase in complaints filed by tenants with the New York State Division of Housing and Community Renewal (DHCR). A growing number of these complaints involve allegations of failure to renew a lease or illegal rent increases.
This trend signals an urgent need for vigilant recordkeeping and compliance readiness for all property owners and landlords operating under rent stabilization laws.
Why Are Complaints Increasing?
The rise in DHCR complaints stems from:
- Tenant awareness of rent overcharge protections.
- Scrutiny over improvements used to justify rent increases.
- Recent regulatory changes, including NYS DHCR Operational Bulletin 2024-2.
- Activist and legal aid organizations encouraging tenants to file challenges.
These factors are prompting deeper investigations by DHCR, especially into rent histories and the legitimacy of IAIs and MCIs.
What Records Should You Maintain?
To defend against tenant complaints and justify lawful rent increases, landlords must be prepared to produce comprehensive records dating back to no later than 2015, including:
- Leases for all tenants.
- Rent ledgers and payment history.
- IAI-related documentation:
- Contracts with licensed contractors.
- Invoices and itemized receipts.
- Cancelled checks showing payment.
- Work permits, inspection reports, and certificates of completion.
- Before-and-after photographs of work done.
- MCI-related documentation:
- Proof of building-wide improvements.
- DHCR-approved applications.
- Engineering or architectural certifications, if applicable.
These documents serve as your main defense in the event of a tenant’s rent overcharge complaint or challenge to a rent increase.
Risks of Incomplete Documentation
If a landlord cannot produce proper documentation upon DHCR request, the agency may:
- Disallow the claimed rent increases.
- Roll back the legal rent to the base date.
- Impose treble damages—tripling the amount owed to the tenant.
This can lead to tens of thousands of dollars in liability, including refunds and penalties.
How We Can Help
Our firm is prepared to assist you with:
- Conducting a compliance audit of your current records.
- Preparing responses to active DHCR complaints.
- Advising on best practices for tenant communication and lease documentation.
Contact Us
If you receive a DHCR complaint or simply want to ensure your property is fully compliant, contact us today to schedule a consultation. Protect your investment by staying ahead of enforcement trends. Feel free to contact James at 914-240-8270 or jdibbini@dibbinilaw.com.
The attorneys at James G. Dibbini & Associates, P.C. collectively have over 70 years of experience providing legal services in the areas of:
