Skip to content

Free NYC compliance tool

IAI Rent Increase Calculator

An Individual Apartment Improvement (IAI) lets the owner of a rent-stabilized apartment add a permanent rent increase for qualifying capital improvements. The increase is the creditable improvement cost divided by an amortization period — 168 months for buildings of 35 units or fewer, 180 months for larger buildings.

HSTPA caps the cumulative creditable cost over a rolling 15-year window: $15,000 for work before October 17, 2024, and $30,000 on or after that date. Enter the cost to see the monthly increase.

Total qualifying capital cost of the apartment improvement.

≤35 units → ÷168; >35 → ÷180.

Cap rose to $30,000 on 2024-10-17.

Permanent monthly IAI rent increase

Creditable cost

Under the $30,000.00 lifetime cap

$20,000.00

Amortization (÷ 168 months)

35 units or fewer

÷ 168

Monthly rent increase

= $20,000.00 ÷ 168

$119.05

Under HSTPA, the lifetime IAI cost cap is $15,000 for work before 2024-10-17 and $30,000 on or after it, measured cumulatively over a rolling 15-year window. The monthly increase is the creditable cost divided by 168 months (buildings of 35 units or fewer) or 180 months (larger buildings). Post-HSTPA IAI increases are temporary (a 30-year removal applies); documentation and, in some cases, DHCR filing are required.

General information, not legal advice. These calculators are educational estimates based on published NYC/NYS figures and may not reflect the latest orders, your specific lease, or building-specific facts. Always verify with NYS HCR / NYC DHCR (and counsel where needed) before acting.

Frequently asked

How is the IAI rent increase calculated?
It is the creditable improvement cost divided by the amortization period in months: ÷ 168 for buildings of 35 units or fewer, ÷ 180 for buildings with more than 35 units. The result is a permanent (subject to a 30-year removal post-HSTPA) monthly rent increase.
What is the IAI cost cap?
Under HSTPA the cumulative creditable IAI cost is capped over a rolling 15-year window — $15,000 for improvements made before October 17, 2024, and $30,000 for improvements on or after that date. Prior IAI work on the same apartment counts against the cap.
Is the IAI increase permanent?
Post-HSTPA IAI increases are temporary — a 30-year removal applies, after which the increase comes out of the legal rent. Pre-HSTPA increases were permanent. Tenant consent and DHCR documentation requirements can also apply.
What about MCI increases?
A Major Capital Improvement (MCI) is building-wide rather than per-apartment, and carries its own rules — a 2%-per-year collectibility cap (post-HSTPA), a longer amortization, a 30-year removal, and a bar in buildings below a regulated-unit threshold. MCI is not modeled by this calculator; consult HCR Fact Sheet #24.

Let the rent-cap gate do the IAI math.

Urbero derives the IAI monthly increase from the improvement cost, enforces the $15k/$30k lifetime ceiling at insert, and rolls the uplift into the regulated rent cap on every lease. Start a 14-day free trial.