Limitation on Rent Increases Sample Clauses
Limitation on Rent Increases. Annual rent increases on a Restricted Unit shall be limited to the percentage of the annual increase in the lower of City Median Income or Median Income for the Area, as applicable. Rent increases which are permitted but not made in a given year may not be carried forward and made in any subsequent year.
Limitation on Rent Increases. Subject to Section 5(l) below with respect to Existing Tenants, and to the extent not inconsistent with federal, state or local laws that further limit the imposition of rent increases, the Owner agrees to comply with the following provisions pertaining to annual rent increases:
(i) Rents for all units may be increased once annually by the amount which corresponds to the percentage increase of the annual change in Median Income for the Area.
(ii) With the City’s prior written approval, rent increases for units exceeding the amounts permitted under subsection (i) may be permitted once annually in order to recover increases in project expenses, provided that: (i) in no event may single or aggregate increases exceed ten percent (10%) per year unless such an increase is contemplated in a City- approved temporary relocation plan or is necessary due to the expiration of Section 8 or other rental subsidies; and (ii) rents for each unit may in no event exceed the maximum rent permitted under Section 4(a)(vi) of this Regulatory Agreement. City approval for such rent increases that are necessary to meet approved project expenses shall not be unreasonably withheld.
(iii) For any Tenant participating in a rent or operating subsidy program where the rent charged is calculated as a percentage of household income, adjustments to rent charged may be made according to the rules of the relevant subsidy program. There is no limit on the increase/decrease in rent charged under this provision, as long as it does not exceed the maximum rent permitted under Section 4(a)(vi) of this Regulatory Agreement. There is no limit on the number of rent adjustments that can be made in a year under this provision.
(iv) For any Tenant who becomes ineligible to continue participating in a rent or operating subsidy program, there is no limit on the increase in rent charged as long as it does not exceed the maximum rent permitted under Section 4(a)(vi) of this Regulatory Agreement.