MCI / IAI Increases

9 NYCRR § 2522.4; N.Y.C. Admin. Code § 26-511(c) (MCI and IAI rent adjustments)

Under 9 NYCRR § 2522.4 and NYC Admin Code § 26-511(c), owners of rent-stabilized units may seek rent increases for Major Capital Improvements (building-wide) or Individual Apartment Improvements (in-unit). As amended by the 2019 HSTPA, IAI increases are limited to a total aggregate cost of $15,000 across no more than three improvements over any 15-year period, are amortized at 1/168th of cost in buildings with 35 or fewer units (1/180th in larger buildings), and—for occupied apartments—require the tenant's written informed consent on a DHCR form plus DHCR documentation (before/after photos and an itemized list). IAI increases are temporary (removed after 30 years), and MCI increases are subject to a 2% annual collectibility cap and are likewise removed from the rent after 30 years.