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Rules of the City of New York § 14-04

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Rules of the City of New York § 14-04
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§ 14-04 Disposition Rent Increases.

(a) Disposition rent increases are necessary to raise rents to a level sufficient to cover the maintenance and operating expenses in a particular building during the first year of private ownership.

(b) The DAMP Lessee may prepare a request to the appropriate DAMP Program Director for a disposition rent increase for Tenants to take effect prior to the sale of the particular building.

(c) If a request for a disposition rent increase is not submitted, the DAMP Program Director may propose a disposition rent increase in accordance with the provisions of this chapter.

(d) The DAMP Lessee or DAMP Program Director shall prepare a statement of estimated maintenance and operating expenses which form the basis for the disposition rent increase, a history not to exceed the prior year of billing and collection of rents in the particular building and a current rent roll. The statement of estimated maintenance and operating expenses shall contain:

(1) the past actual expenditures for maintenance and operation of a particular building, including, but not limited to: the cost of fuel for heat and hot water, payments for common space utilities, repair and maintenance, supplies, insurance and custodial services; fees for management and professional services; and a capital and/or operating reserve, if any.