421-a Tax Exemption Question
My 3 family building may get this 421a tax exemption, but with slightly lower than market rate initial rents. I understand that one can raise the rent 2.2% plus the 421a 2.2% increase, but what about for vacancies? After a vacancy, can one raise the unit’s rent 17.75% like normal rent-stabilized apartments? Any help would…
My 3 family building may get this 421a tax exemption, but with slightly lower than market rate initial rents. I understand that one can raise the rent 2.2% plus the 421a 2.2% increase, but what about for vacancies? After a vacancy, can one raise the unit’s rent 17.75% like normal rent-stabilized apartments? Any help would be appreciated. Thanks.
Thanks!
When you get the 421a, you can join the Rent Stabilization Association for $75 year and, as a member, they will answer all your questions for free. They also offer a bunch of related services. Call Theresa @ membership 212 214 9254, she is nice and will guide you trough. website: http://rsanyc.net
You can also contact DHCR – Division of Housing & Community Renewal directly. I would call the NY state office rather than the Brooklyn one: Call (518) 486-3367 and ask for Tammy. She should be able to answer your specific question.
BTW Rent increases vary every year, for 2010-2011 are set at 2.25% for one year leases and 4.5% for two.
Good luck.