As used in this chapter, the following terms shall have the
meanings indicated:
APARTMENT
All or a portion of a building or structure which is available
for rent to tenants, as a single unit, for living and dwelling purposes,
together with all privileges, services, furnishings, furniture, equipment,
facilities and improvement connected with the use or occupancy of
this portion of the property.
AVAILABLE FOR RENT TO TENANTS
Fit for habitation as defined by state and local housing
and health codes, whether occupied or unoccupied, and offered for
rent to tenants.
BASE RENT
The rent paid upon initial occupancy plus any percentage
increases based on the Consumer Price Index as specified in this chapter.
CAPITAL IMPROVEMENT
Any improvement, addition or alteration of housing space
or equipment that provides a new benefit to a tenant, as well as any
improvements mandated by law, and that must not be upkeep, maintenance,
repairs, rehabilitation of items or services.
COMPLEX
A group of adjoining dwellings under common ownership with
centralized management.
CONSUMER PRICE INDEX
The Consumer Price Index for All Items for New York Region/Northeastern
New Jersey and Philadelphia Metro for All Urban Consumers, as issued
by the United States Department of Labor, Bureau of Labor Statistics.
DWELLING
Any building or structure, all or part of which consists
of apartments.
GROSS RENTAL INCOME
The total rental income derived by the landlord from the
rental of all rental units, which shall also include, but not be limited
to, rents, garage rentals, commissions, vending machines and laundromats.
HARDSHIP INCREASE
A situation wherein a landlord's net operating income shall have decreased below a "just and fair return." A Just and Fair Return Formula is set forth in Article
VIII of this chapter.
LANDLORD
The owner of the dwelling or complex, whether individual
or organization, including but not limited to partnership, corporation,
or limited-liability company.
NET OPERATING INCOME
The difference between the gross rental income and the necessary
and reasonable operating expenses.
OPERATING EXPENSES
Expenses incurred during the period which were necessary
for the efficient operation of a residential rental property. The
Rent Control Board will review these expenses to determine the reasonableness
under the circumstances. Debt service cost, depreciation and amortization
are excluded from necessary and reasonable operating expenses.
RENT
The consideration demanded or received in connection with
the use or occupancy of housing space, including, but not limited
to, parking, pets, facilities, privileged services, equipment, furnishings,
or any charge, no matter how set forth, paid by the tenant in connection
with the housing space.
SUBSTANTIAL COMPLIANCE
That the housing space and dwelling are free from all heat,
hot water, elevator and all health, safety and fire hazards as well
as 90% qualitatively free of all other violations of the current Borough
Housing Code, and the International Property Maintenance Code, where
applicable.
SURCHARGE
Charge in addition to base rent, as specified by this chapter,
payable by the tenant to the landlord. Surcharges are not to be considered
part of the base rent when calculating percentage increases based
on the Consumer Price Index.
TENANT
Anyone who rents or is a subtenant, lessee, or sublessee
of a rental unit, or successor to a renter's interest, or any
group of tenants, subtenants, lessees, or sublessees of any rental
unit, or any other person entitled to the use or occupancy of such
rental unit.
Establishments of rents between landlords and tenants for dwellings
and rental units as defined in this chapter shall hereafter be determined
by the provisions of this chapter.
A. The allowable annual rent increase shall be published by the Borough
and posted on the Borough website and in Borough Hall in a public
location by October 15 of each year for the upcoming calendar year.
No landlord shall request or receive a percentage increase in rent
from an existing tenant that is greater than the lesser of the following:
(1) The average of the Consumer Price Index (CPI) for All Urban Consumers
over the previous twelve-month period; or
(2) Five percent of the rent in effect under such lease at the expiration
thereof.
B. All prospective tenants shall be furnished by the landlord with a
written statement that the rental unit is subject to the terms and
conditions of the Borough of Highland Park Rent Control Ordinance.
Said statement shall further provide that a copy of said ordinance
may be obtained from the Clerk of the Borough of Highland Park, 221
South 5th Avenue, Highland Park, New Jersey 08904-2600, or by calling
(732) 572-3400. Said notice shall also be prominently posted on the
premises wherein the rental unit is located.