Anyone here understand lease jargon?

Signed a lease in Feb & got a great deal in a new rent stabilized apt (not sure how, but somehow stabilized in a newer building).

I’ve looked over my lease recently for something & noticed there’s a rider stating preferential rent is only for the term of the lease & then can be increased to the legal regulated rent. In 2019 I thought the law changed so that all renewals needed to be based off preferential rent & could only be raised with new tenants?

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Ianal but rent stabilized doesn’t mean it doesn’t increase, it only sets a cap on how much it will increase (usually not far off inflation) so that could be what you’re looking at

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Rent stabilized means that they are subject to an increase cap set by the city. That being said, the preferential rate you are paying is not the amount on the lease and will expire with the term. Rent will increase to gross and then they are subject to the increase cap, maybe 1-2% up from the gross for the renewal.

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op- what building is this? i’m looking for rent stabilized in a newer building too 🤣🤣

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Same

I’m in the same boat. Posted a thread on it a month or two ago. You’ll get the renewal in October. Just hang on and wait

I had something similar on my lease. When I got the renewal information the 1% increase was based on the maximum rent allowed. That value was added to my previous rent. I’m not sure if that’s standard though.

Yes, this is standard but I think they’ve done something dodgy by adding a clause that the preferential rent is only for the lease term and they can then charge the full amount for a renewal, which to my knowledge is against the 2019 act. The law says they can only increase to the maximum if a new tenant comes in so its very odd.

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