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  1. #1
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    Jul 2008
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    Question Landlord Charging Tenants Full Amount for Controlled Rent

    My question involves landlord-tenant law in the State of: New York - NYC, to be exact.

    I recently found out that the room I rent is part of a rent-controlled converted 3-bedroom apartment (it's traditionally a 2-bedroom, but the dining room was converted into a 3rd bedroom). The landlord (the sole leaseholder) is one occupant & then there is the 2nd tenant- me, & the 3rd tenant- other roommate.

    I came across a misplaced rent invoice that the management company sent the leaseholder (fyi: I did not illegally open his mail, the invoice was laying on a coffee table in the living room)- the amount of rent the 3rd tenant & I pay totals out to the amount of rent that is due on the apartment. The reason I know it's a rent-controlled apartment is because the leaseholder has stated it a couple of times & in this neighborhood it's widely known that several of the apartments in this building are rent-controlled.

    The amount of rent we pay includes all utilities, so after estimating rent & utilities & the amount of rent given to him, he's pretty much only coming out of pocket for the utilities (which are only electricity, cable & internet- heat & hot water are provided by the building).

    Is this legal? What can I do (I'm almost sure I'll be told to move out if I don't want to get suckered anymore )

    Thanks

  2. #2
    Join Date
    Mar 2008
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    1,995

    Default Re: Landlord Charging Tenants Full Amount for Controlled Rent

    I live in NYC, and I am a landlord. I don't see anything illegal about it.

    For rent controlled apartments, there is a legal requirement that the tenant makes his apartment his legal residence. Apparently, he lives there, and does not have another home elsewhere?? He may or may not be following all the rules reporting additional occupants in his unit.

    In the world of leasing and rentals, it is NOT A REQUIREMENT that someone leases out a unit in the SAME amount that he rents it for. In fact, in commercial properties, it is very common that a sub-tenant rents the unit for more than what the direct leasholder is leasing it for, as commercial rents had gone up tremendously, so long as the landlord agrees to the subleasing. In fact, my dad rents a store out for $2,000, the tenant asked if he could sub-let it, and is collecting several hundred more from his tenant. My dad and the subtenant both knew about it, and it's perfectly legal.

    In fact, having looked at "rent controlled" (not rent stabilized) units in properties for sale, I know the rent on them are ridiculously low. I saw a 2 BR apartment rented to a "90 something lady" just a few years ago going for around $100.00. The apartment you live in may not rent for such a ridiculous price. Say the "90 something" year old lady need to take in a boarder to help with the medication, and now, with 2BR apartments in Queens county going for $1,500, and the old lady ask for $500.00?? Would that be fair??

    Or would the fair price of the rent be only $50.00?? i.e. 50% of what she's paying?? At $50.00, would it even be worth it for her to take in a boarder, or would it even help to pay for medication?? If I had a $100.00 apartment, I sure wouldn't take in a boarder for $50.00.

    I know that boarders often take a "socialist" approach, and says how can someone in the next room to me pay less than me, without realizing that the landlord is taking a "big hit" renting to this person, and that person does not have a legal requirement to share his good fortune with you.

  3. #3
    Join Date
    Jul 2008
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    Exclamation Landlord Charging Tenants Full Amount for Stabilized Rent

    I'm sorry- I confused the terminology...I meant Rent Stabilized.

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