Property Management

In New York City, 'Major Capital Improvement' (MCI) rent increases in rent-stabilized buildings allow landlords to:

ARaise rents immediately by any amount
BPetition the DHCR for a small permanent rent increase to recover costs of qualifying building-wide capital improvements✓ Correct
CDeregulate units affected by the improvements
DTerminate the leases of all existing tenants

Explanation

MCIs are building-wide improvements (new boilers, elevators, roofs, etc.) that can support a permanent rent increase petition to the DHCR in rent-stabilized buildings. The 2019 HSTPA placed new limits on MCI increases.

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