Newark Rent Control (Title 19 §2) caps annual base-rent increases at 4% or CPI, but allows landlords to seek board-approved hardship and capital-improvement pass-throughs subject to strict procedural and substantive limits.
Newark's Rent Control Ordinance (Title 19 §2) limits annual rent increases on covered units to the lesser of 4% or the regional CPI. Beyond that ceiling, landlords may petition the Newark Rent Control Board for hardship pass-throughs (when net operating income falls below a fair-return baseline) or capital-improvement surcharges (for major systems like roof, boiler, or facade work that exceed normal maintenance). Pass-throughs require itemized cost documentation, a public hearing, and a board order specifying amount, duration, and amortization. Tax and water/sewer pass-throughs follow separate rules. Improperly assessed pass-throughs are recoverable by tenants and can be set off against future rent.
Charging unapproved pass-throughs, exceeding the 4%/CPI cap without a board order, or failing to itemize capital costs allows tenants to recover overcharges and seek board sanctions against the landlord.
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