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Rent Board

Regular Meeting

Portland, ME · May 27, 2026

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Agenda

RENT BOARD May 27, 2026 5:00 PM ZOOM INFORMATION: Join from PC, Mac, iPad, or Android: https://portlandmaine- gov.zoom.us/j/85205631634?pwd=nsqaWrLj07XiaOf7K2AwaXRIP9L7u1.1 Passcode:068783 Phone one-tap: +13092053325,,85205631634#,,,,*068783# US +13126266799,,85205631634#,,,,*068783# US (Chicago) Join via audio: +1 309 205 3325 US +1 312 626 6799 US (Chicago) +1 646 931 3860 US +1 929 205 6099 US (New York) +1 301 715 8592 US (Washington DC) +1 305 224 1968 US +1 689 278 1000 US +1 719 359 4580 US +1 253 205 0468 US +1 253 215 8782 US (Tacoma) +1 346 248 7799 US (Houston) +1 360 209 5623 US +1 386 347 5053 US +1 507 473 4847 US +1 564 217 2000 US +1 669 444 9171 US +1 669 900 6833 US (San Jose) Webinar ID: 852 0563 1634 Passcode: 068783 International numbers available: https://portlandmaine- gov.zoom.us/u/kcty8TKeSX II. ROLL CALL: III. APPROVAL OF MINUTES a. April 22, 2026 Minutes b. May 13, 2026 Minutes IV. COMMUNICATIONS: Please note: Written public comment must be received via email (rentboard@portlandmaine.gov) by 12pm the day before the scheduled meeting. The subject line needs to read "Written Public Comment" V. UNFINISHED BUSINESS: a. Rent Increase Application Owner: Justin Theberge, 14 Dry Pond Rd, Gray, ME 04039 Address: 8 Massachusetts Ave, all 3 units CBL: 186-D-024-001 b. Rent Increase Application - Completeness Review Owner: Wilbur Cheever, 38 William St, Portland, ME 04103 Address: 72 William St, all 3 units CBL: 117-C-019-001 c. Rent Increase Application - Completeness Review Owner: Wilbur Cheever, 38 William St, Portland, ME 04103 Address: 76 William St, all 3 units CBL: 117-C-017-001 d. Election of Chair & Vice Chair VI. New Business a. Rent Increase Application - Completeness Review Owner: Meloon George H Inc, 963 Washington Ave, Portland, ME 04103 Representative: Jeremy Hutchings, 1888 Gray Ct, Garnerville, NV 89410 Address: 963 Washington Ave, all 4 units CBL: 171-A-011-001 b. Approval of Findings of Fact & Conclusions of Law VII. Adjourn

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RENT BOARD May 27, 2026 5:00 PM ZOOM INFORMATION: Join from PC, Mac, iPad, or Android: https://portlandmaine- gov.zoom.us/j/85205631634?pwd=nsqaWrLj07XiaOf7K2AwaXRIP9L7u1.1 Passcode:068783 Phone one-tap: +13092053325,,85205631634#,,,,*068783# US +13126266799,,85205631634#,,,,*068783# US (Chicago) Join via audio: +1 309 205 3325 US +1 312 626 6799 US (Chicago) +1 646 931 3860 US +1 929 205 6099 US (New York) +1 301 715 8592 US (Washington DC) +1 305 224 1968 US +1 689 278 1000 US +1 719 359 4580 US +1 253 205 0468 US +1 253 215 8782 US (Tacoma) +1 346 248 7799 US (Houston) +1 360 209 5623 US +1 386 347 5053 US +1 507 473 4847 US +1 564 217 2000 US +1 669 444 9171 US +1 669 900 6833 US (San Jose) Webinar ID: 852 0563 1634 Passcode: 068783 International numbers available: https://portlandmaine- gov.zoom.us/u/kcty8TKeSX Page 1 II. ROLL CALL: III. APPROVAL OF MINUTES a. April 22, 2026 Minutes b. May 13, 2026 Minutes IV. COMMUNICATIONS: Please note: Written public comment must be received via email (rentboard@portlandmaine.gov) by 12pm the day before the scheduled meeting. The subject line needs to read "Written Public Comment" V. UNFINISHED BUSINESS: a. Rent Increase Application Owner: Justin Theberge, 14 Dry Pond Rd, Gray, ME 04039 Address: 8 Massachusetts Ave, all 3 units CBL: 186-D-024-001 b. Rent Increase Application - Completeness Review Owner: Wilbur Cheever, 38 William St, Portland, ME 04103 Address: 72 William St, all 3 units CBL: 117-C-019-001 c. Rent Increase Application - Completeness Review Owner: Wilbur Cheever, 38 William St, Portland, ME 04103 Address: 76 William St, all 3 units CBL: 117-C-017-001 d. Election of Chair & Vice Chair VI. New Business a. Rent Increase Application - Completeness Review Owner: Meloon George H Inc, 963 Washington Ave, Portland, ME 04103 Representative: Jeremy Hutchings, 1888 Gray Ct, Garnerville, NV 89410 Address: 963 Washington Ave, all 4 units CBL: 171-A-011-001 Page 2 b. Approval of Findings of Fact & Conclusions of Law VII. Adjourn Page 3 Remote Rent Board Meeting Minutes - Held Via Zoom Wednesday, April 22, 2026​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ II. Roll Call - 0:01:00 Matthew Lax, Tenant, District 1 - Chair James “Gordon” Platt, Landlord, District 2 Christopher “Buddy” Moore, Tenant, District 3 - Absent Jonas Burke, Landlord, District 4 Vacant, District 5 Anne-Laure Razat, Tenant, At-Large - Vice Chair Kristen Carreras, Landlord, At-Large Staff present: Dylan Orr, Rental Registration Coordinator Benjamin Plante, Esq., Counsel for the Rent Board III. Approval of Minutes - 0:01:20 a.​ March 25, 2026 Minutes - 0:01:20 0:01:35 - James “Gordon” Platt and Jonas Burke state on the record the preparations they have made to familiarize themselves with the agenda items. 0:02:37 - Anne-Laure Razat moves to approve the March 25, 2026 Rent Board minutes. Seconded by Kristen Carreras. (5-0; Moore absent) The motion passes. IV. Communications - 0:03:30 a.​ Written Public Comment - 0:03:34 No motions were made during this agenda item. b.​ Rent Control Report Q1 - 2026 - 0:05:53 0:05:53 - City staff summarizes the rent control statistics found in the report in the attached agenda items. c.​ Communications from City Staff - 0:06:55 0:06:55 - City staff summarizes the agenda memo. Page 4 d.​ Schedule Tenant Rights Appeal - 0:07:28 ​ 0:12:19 - Matthew Lax moves to schedule a special meeting on May 13, 2026 at 5:30 pm. Seconded by Kristen Carreras. (5-0; Christopher “Buddy” Moore absent) The motion passes. V. Unfinished Business - 0:14:36, 01:07:05 a.​ Rent Increase Application - Public Comment - 0:14:45 Owner: Justin Theberge, 14 Dry Pond Rd, Gray, ME 04039 Property Address: 8 Massachusetts Ave, all 3 units CBL: 186-D-024-001 ​ 0:15:15 - Anne-Laure Razat moves to table the application to the May regularly scheduled meeting. Seconded by James “Gordon” Platt. (5-0; Moore absent) The motion passes. b.​ Rent Increase Application - Public Comment - 0:16:21, 1:07:05 Owner: Anna Kuperman and Marina Kuperman-Beade, 17 Twelfth St, Providence, RI 02906 Property Address: 305 Deering Ave, both units CBL: 117-C-001-001 ​ 0:23:00 - Matthew Lax proposes to table until the applicant arrives. ​ VI. New Business - 0:24:04 a.​ Rent Increase Application - Completeness Review - 0:24:09 Owner: Wilbur Cheever, 38 William St, Portland, ME 04103 Property Address: 72 William St, all 3 units CBL: 117-C-019-001 No motions were made during this agenda item. b.​ Rent Increase Application - Completeness Review - 0:46:55 Owner: Wilbur Cheever, 38 William St, Portland, ME 04103 Property Address: 76 William St, all 3 units CBL: 117-C-017-001 No motions were made during this agenda item. 1:07:05 - The Board resumes item V.b. 1:08:50 - The property owner, Anna Kuperman, presents the application. Page 5 No objectors spoke. No public comment received. 1:26:00 - Anne-Laure Razat moves to close the public hearing. Seconded by Kristen Carreras. (5-0; Moore absent) The motion passes. 2:53:34 - Matthew Lax moves to find the reasonable management fee for the current year is $31.50 based on the evidence provided by the applicant. Seconded by Kristen Carreras. (5-0; Moore absent) The motion passes. 3:00:00 - Matthew Lax moves for the Board to enter an Executive Session pursuant to 1 M.R.S. 405(6)(E) for consultation between the Rent Board and their attorney concerning the Board’s legal rights and duties as it relates to a rent increase application for 305 Deering Ave. Seconded by Kristen Carreras. (5-0; Moore absent) The motion passes. 3:05:08 through 3:19:35 - The Board enters into the Executive Session. 3:20:01 through 3:28:05 - The Board takes a recess. 3:43:15 - Anne-Laure Razat moves based on the discussion of ensuring the landlord gets a fair rate of return using their banked rent, which was a result from previous applications, but to also not double count their 2024 Allowable Increase Percentage increase, finds an allowable increase of $79.96 per month for unit 307 and $89.12 per month for unit 305. Seconded by Matthew Lax. (5-0; Moore absent) The motion passes. c.​ Election of Chair & Vice Chair - 3:46:22 3:46:51 - Anne-Laure Razat moves to table elections to the next regular meeting. Seconded by Kristen Carreras. (5-0; Moore absent) The motion passes. d.​ Approval of Findings of Fact & Conclusions of Law - 3:49:04 No motions were made during this agenda item. VII. Adjourn - 3:50:06 3:50:06 - Anne-Laure Razat moves to adjourn. Seconded by Kristen Carreras. (5-0; Moore absent) The motion passes. Page 6 Remote Rent Board Meeting Minutes - Held Via Zoom Wednesday, May 13, 2026 II. Roll Call - 0:01:08 Matthew Lax, Tenant, District 1 - Chair James “Gordon” Platt, Landlord, District 2 Christopher “Buddy” Moore, Tenant, District 3 Jonas Burke, Landlord, District 4 Vacant, District 5 Anne-Laure Razat, Tenant, At-Large - Vice Chair Kristen Carreras, Landlord, At-Large - Absent Staff present: Dylan Orr, Rental Registration Coordinator Benjamin Plante, Esq., Counsel for the Rent Board III. Communications - 0:01:35 No communications were received. IV. New Business - 0:02:00 a.​ Tenants Rights Appeal - Public Comment - 0:02:06 Appellant: Sean McGuire Address: 11 Smith St, Apt 3 Property Owner: Snowy Owl LLC CBL: 021-F-020-001 0:02:27 - James “Gordan” Platt states on record relation to the Objector (landlord). 0:03:54 - Anne-Laure Razat states on record relation to the tenants. 0:11:50 - The Appellant, Sean McGuire, presents appeal. 0:21:35 - The Objector, Snowy Owl LLC, presents. 0:58:30 - Anne-Laure Razat moves to close the public hearing of 11 Smith Street, apartment 3. Seconded by Christopher “Buddy” Moore. (5-0; Carreras absent). The motion passes. 1:19:42 - Matthew Lax moves to find Zoe’s appeal of rights email on March 20th, 2026 represents all tenants within the unit. Seconded by Christopher “Buddy” Moore. (5-0; Kristen Carreras absent). Page 7 1:34:00 - Anne-Laure Razat moves to find lease non-renewal is an adverse action that occurred within 6 months of the tenants asserting their rights under the ordinance and created a rebuttable presumption under Section 6-237(e). Seconded by Matthew Lax. 1:39:05 - Previous motion amended. Anne-Laure Razat moves to find lease non-renewal from the March 27th, 2026 email followed by the notice of non-renewal on April 2nd, 202th is an adverse action that occurred within 6 months of the tenants asserting their rights under the ordinance and created a rebuttable presumption under Section 6-237(e). Matthew Lax second stands. (4-1; Burke votes no, Carreras absent). The motion passes. 2:10:40 - 2:22:57 - The Board takes a recess. 2:27:52 - Matthew Lax moves that the landlord’s communication on the Friday, March 27th, 2026 email and followed by continued statements to some renovations to the unit and pursue exemptions to rent control rebuts the presumption of retaliation. Seconded by Jonas Burke. (5-0; Kristen Carreras absent). The motion passes. VII. Adjourn - 2:37:59 2:37:59 - Anne-Laure Razat moves to adjourn. Seconded by Christopher “Buddy” Moore. (5-0; Kristen Carreras absent). The motion passes. Page 8 City of Portland – Housing Safety Division LANDLORD APPLICATION FOR RENT INCREASE SUMMARY Date of Hearing January 28, 2026 - Tabled to February 25, 2026 - Tabled to March 25, 2026 - Tabled to April 22, 2026 - Tabled to May 27, 2026 Owner Name and Address Justin Theberge 14 Dry Pond Rd Gray, ME 04039 Agent Name and Address N/A Property Address 8 Massachusetts Ave, all 3 units CBL 186-D-024-001 Tenants/Interested Parties Yes Page 9 City of Portland | Permitting and Inspections Licensing and Housing Safety Division Rentboard@portlandmaine.gov | 207-874-8900 March 16, 2026 Re: Notice of Public Hearing To: Tenants of 8 Massachusetts Ave This is a notice of a public hearing before the Rent Board at their next scheduled meeting on Wednesday, March 25, 2026 at 5pm. This meeting will be held via Zoom. The property owner for the above address, Justin Theberge, has submitted a “Landlord Worksheet/Petition for Rent Board Approved Rent Increase”. The Zoom link will be accessible by March 18, 2026 at the link below: http://portlandmaine.gov/129/Agendas-Minutes *Please note: Written public comment must be received via email (rentboard@portlandmaine.gov) by 12pm the day before the scheduled meeting. Please make sure that the subject line reads “Written Public Comment”. Thank you, Dylan Orr Rental Registration Coordinator City of Portland 389 Congress St Portland, ME 04101 389 Congress Street, Portland, Maine 04101 | 207-874-8900 | rentboard@portlandmaine.gov Page 10 City of Portland Permitting and Inspections Department Landlord Worksheet/Petition for Rent Board Approved Increase Rent Increase using Fair Return Standard: Maintenance of Net Operating Income (MNOI) Note to Applicants All information and documentation provided in this application will be made available to the public, pursuant to applicable public access laws in the State of Maine. An Applicant may choose to redact sensitive information contained herein, including, but not limited to bank account information, debit card or credit card information, government-issued identification information, personal contact information such as phone numbers, email addresses, tenant or employee names, or other personally identifying information. The Rent Board may act within its authority to request any additional information it deems pertinent to the application at hand. Introductory Information A landlord is entitled to a fair return on investment, which means an amount sufficient to allow a just and reasonable rate of return, to encourage the investment of capital in the rental housing market, to fairly compensate investors for the risks they have assumed, and to achieve minimum constitutionally protected standards. Pursuant to the Rent Control Ordinance, the fair return on investment must be calculated using Maintenance of Net Operating Income (MNOI). This methodology presumes the net operating income the landlord earned from a Covered unit during the calendar year 2019 yielded a fair return on investment unless the landlord proves that special or peculiar circumstances prevented the landlord from receiving a fair return on investment during that period. To qualify for an MNOI increase, the landlord has to file this application for a hearing by the Rent Board. 1. Presumption of Base Year Net Operating Income It shall be presumed that the net operating income received by the landlord during the calendar year 2019 (the Base Year) yielded a Fair Return on investment. This presumption may be rebutted, in which case an adjusted Base Year Net Operating Income shall be used. 2. Fair Return A landlord has the right to obtain a net operating income equal to the Base Year (2019) net operating income adjusted by 100% of the percentage increase in the Consumer Price Index (CPI), since the Base Year. It shall be presumed this standard provides a Fair Return. 3. Base Year: a. Calendar year 2019 is the Base Year. b. In the event that a prior determination of the allowable Rent is made pursuant to a Fair Return petition, if a subsequent petition is filed, the Base Year shall be the year that was considered as the “current year” in the prior petition. c. Unless otherwise exempted from the limitation on rent increases by local, state or federal laws or regulations, if a Rental Unit enters the marketplace for the first time after 2019, the Base Year shall be the year the Unit entered the marketplace. 4. Current Year The “current year” shall be the calendar year preceding the petition. 5. CPI (Consumer Price Index) The annual CPI for the current year for All Urban Consumers for the Greater Boston Metro area (All Urban Consumers, All Items) provided by the U.S. Bureau of Labor Statistics [Bureau of Labor Statistics Data (bls.gov)]. 6. Limits of Allowable Rent Increases in Any One Year If the amount of any rent increase granted pursuant to a fair return petition exceeds 10%, the portion in excess of 10% shall be deferred to the next year or years following the procedure for Banked Rent. Page 11 General Information About the Property 8 Massachusetts Ave Street Address: ___________________________________________________________________________ 186-D-024-001 Parcel Numbers(s): ________________________________________________________________________ 2015 Year Property Purchased by Current Owner: ____________________________________________________ 3 Total Number of Units on the Property: ________________________________________________________ 3 Total Number of Units Affected by Proposed Rent Increase: ________________________________________ Are there Rental Units that are Partially or Fully Exempt (circle)? Yes No If yes, number of Exempt Rental Units and Basis for Exemption: _____________________________________ ________________________________________________________________________________________ I. Landlord Information Name: Justin Theberge __________________________________________________________________________________ 207-740-5653 Phone(s): _______________________________________________________________________________ 14 Dry Pond Rd Business Address: ________________________________________________________________________ Gray, ME, 04039 City, State, Zip: ___________________________________________________________________________ justin.theberge5@gmail.com Business E-mail: __________________________________________________________________________ II. Agent Information (if applicable) Name: __________________________________________________________________________________ Phone(s): _______________________________________________________________________________ Business Address: ________________________________________________________________________ City, State, Zip: ___________________________________________________________________________ Business E-mail: __________________________________________________________________________ III. Services Please check the applicable box to identify the manner in which each service is paid. Paid by Landlord, but Landlord pays service Tenants pay service not passed through to and passes cost directly Tenants through to Tenants Gas ✔ Electricity ✔ Water ✔ Sewer ✔ Garbage Other: Page 12 IV. Changes to Services Briefly describe the services provided to the rental units. Include all services provided and state which services are provided without additional charge. Landlord provides lawn care, snow removal, sanding and landscaping for no additional charge to the tenants as well as all maintenance within each unit. If there have been any changes to the services listed above or in the responsibility for their payment since the base year, please explain: No, change to the above services since the base year. Page 13 V. Income and Expense Explanation and Calculation Calculation of Net Operating Income Net operating income shall be calculated by subtracting operating expenses from gross rental income. Gross Rental Income Gross rental income includes: • Scheduled rental income at one hundred percent (100%) occupancy plus all other income or consideration received or in connection with the use or occupancy of the Rental Unit. If there is a change in the number of rental units between the Base Year & Current Year, the rental income and expenses for the same number of units shall be used in calculating the net operating income for both periods. The purpose of this provision is to provide a fair compensation between the Base Year and the Current Year. • Vacant or owner-occupied rental units at the time a petition is filed, that provided rental income in the Base Year, shall count toward the calculation of gross rental income in the Current Year. The Rent Program shall attribute rental income calculated on the basis of average rents for comparable units at the property that were most recently rented. If no comparable units on the property were rented within the last two years, initial rents for comparable units in the City may be used if there is no other basis for its calculation. Gross rental income shall not include: • Utility charges that are sub-metered, for gas, electricity or water paid directly by the tenant; • Charges for refuse disposal, sewer service or other services (which are either provided solely on a cost pass-through basis if they are regulated by state or local law) VI. Operating Expenses Operating expenses include reasonable costs of operation and maintenance of the Rental Unit, including: • Management Expenses; • Utility Costs except a utility that are paid directly by the tenant(s); • Real Property Taxes Assessed and Paid; • Insurance; • License, Registration and other Public Fees; • Landlord-performed Labor; • Legal Expenses; • The Amortized Costs of Capital Improvements; and • Other Reasonable Operating Expenses. Operating expenses shall not include the following: • Mortgage principal or interest payments or other debt service costs and costs associated with obtaining financing; • Any penalties, fees or interest assessed or awarded for violation of any provision of this chapter or of any other provision of law; • Land lease expenses; • Political contributions and payments to organizations or individuals which are substantially devoted to legislative lobbying purposes; • Depreciation; • Any expenses for which the Landlord has been reimbursed by any utility rebate or discount, Security Deposit, insurance settlement, judgment for damages, settlement or any other method or device; • Unreasonable increases in expenses since the Base Year; • Expenses associated with the provision of master-metered gas and electricity services; Page 14 • Expenses which are attributable to unreasonable delays in performing necessary maintenance or repair work or the failure to complete necessary replacements. (For example if a roof replacement is unreasonably delayed, the full cost of the roof replacement would be allowed; however, if interior water damage occurred as a result of the unreasonable delay, that expense would not be allowable to support a fair return); and • Unreasonable Expenses. Claim for Base Rent Adjustment A claim may be made for a Base Year Rent Adjustment if the Base Year Rent and/or earlier rent amounts were disproportionately low. A Base Year Rent Adjustment will be considered if the evidence supporting a requested adjustment is provided and sufficiently compelling enough to show that special or peculiar circumstances prevented the landlord from receiving a fair return on investment during that period. Landlords may rebut the presumption that the Base Year net operating income provided a fair return. If a claim is made on this basis, the petitioner must complete Section XIX, Claim for Adjustment of Base Year Net Operating Income and Associated Rent Adjusted Claim at the end of this Application. Check here if a claim for a Base Year Rent Adjustment is included in this application and complete Section XVIII of this Application. Page 15 VII. Income Worksheet Base Year (2019) 1 Current Year (2024) Rental Income 1. Gross scheduled rental income (total for 46,200 52,320 $ __________________ $ __________________ the calendar year) including uncollected rent. 2. Portion Attributable to Vacancy 0 $ __________________ 0 $ __________________ Fees (indicate what fee is for): 3. Late fees 0 $ __________________ 0 $ __________________ 4. List fees, other than utilities, collected for $ __________________ $ __________________ services & amenities not included in rent 5. ____________________________ $ __________________ $ __________________ 6. ____________________________ $ __________________ $ __________________ 7. ____________________________ $ __________________ $ __________________ Other Income (list separately by type) 2: 8. ____________________________ $ __________________ $ __________________ 9. ____________________________ $ __________________ $ __________________ 10. ___________________________ $ __________________ $ __________________ Fees charged by landlord for Utilities 11. Gas 0 $ __________________ 0 $ __________________ 12. Electricity 0 $ __________________ 0 $ __________________ 13. Water 0 $ __________________ 0 $ __________________ 14. Sewer 0 $ __________________ 0 $ __________________ 15. Garbage & Recycling 0 $ __________________ 0 $ __________________ Other Utilities (list separately by type): 16. ___________________________ $ __________________ $ __________________ 17. ___________________________ $ __________________ $ __________________ 18. TOTAL INCOME 46,200 $ __________________ 52,320 $ __________________ (add only lines 1 and 3-17) 1 or an alternative year in the event of extenuating circumstances. 2 Interest earned by Landlord on Tenant security deposits, other interest, or investment income. Page 16 VIII. Operating Expense Worksheet Additional operating expense items can be listed for this worksheet using separate page(s) as needed. Base Year (2019) Current Year (2024) 1. Assessments $ __________________ $ __________________ 2. Real Property Taxes 7,012.74 $ __________________ 8,967.22 $ __________________ 3. License Tax/Fee 0 $ __________________ 186 $ __________________ 4. Rent Board Registration Fees 0 $ __________________ 142.50 $ __________________ 5. Insurance 1,419 $ __________________ 2,371 $ __________________ 6. Accounting $ __________________ $ __________________ 7. Legal (explain types of legal expenses) $ __________________ $ __________________ 8. Manager /Management Services $ __________________ $ __________________ 9. Security $ __________________ $ __________________ 10. Office Supplies $ __________________ $ __________________ 12. Normal Repairs $ __________________ $ __________________ 13. Owner-Performed Labor $ __________________ $ __________________ 14. Plumbing Maintenance $ __________________ $ __________________ 15. Pool Maintenance $ __________________ $ __________________ 16. Landscape Maintenance/snow removal 550 $ __________________ 600 $ __________________ 17. Other Maintenance $ __________________ $ __________________ 18. Parking Lot/Street Maintenance $ __________________ $ __________________ 19. Gas (separately metered only) $ __________________ $ __________________ 20. Electricity (separately metered only) $ __________________ $ __________________ 21. Water 1,424.47 $ __________________ 1,869.59 $ __________________ 22. Sewer $ __________________ $ __________________ 23.Amortized portion of Capital Expense (see Sections X, XI and XII column (i)) $ __________________ 3,954.85 $ __________________ 24. Vandalism Repairs $ __________________ $ __________________ 25. Uninsured Damages $ __________________ $ __________________ 27. TOTAL OPERATING EXPENSES 10,406.21 $ __________________ 18,091.16 $ __________________ Page 17 IX. Allowances for Capital Improvements Operating expenses include the amortized costs of capital improvements plus an interest allowance to cover the amortization of those costs. A capital improvement shall be any improvement to a unit or property which materially adds to the value of the property, appreciably prolongs its useful life or adapts it to a new use and has a useful life of more than one year and a direct cost of $250.00 or more per unit. Allowances for capital improvements shall be subject to the following conditions: 1. The amortization period shall be in conformance with the schedule adopted by the City, as provided in Section XI, unless it is determined that an alternate period is justified based on the evidence presented at the Rent Board hearing. 2. Capital improvement costs do not include costs incurred to bring the Rental Unit into compliance with a provision of Portland Code or state law where the original installation of the improvement was not in compliance with code requirements. Example of a Capital Improvement with Amortized Expenses and an Interest Allowance: Owner filed a Petition on March 1, 2023 for an individual rent adjustment for a roof that was completed covering a four-rental unit building. The cost of the Capital Improvement was $20,000 benefiting all four units in the building. The amortization period for a roof is ten (10) years according to the below tables. The applicable interest allowance based on the Primary Mortgage Survey is 3.88% + 2% for this example. The calculation of the capital improvement per month is: Total Principal & Capital Improvement Interest Total Interest – Life of Period Interest – Life of Cost Allowance Improvement Improvement 10 years $20,000 5.88% $26,500.52 $6,500.52 (120 months) Annual Amortized Cost Monthly Amortized Cost # of Units Monthly Cost per Unit $2,650.05 $220.84 4 $55.21 Page 18 X. Amortization Period of Capital Years Improvements/Expenses In amortizing capital improvements/ expenses, the Screen Doors 5 following schedule shall be used to determine the amortization period of the capital improvements Fencing and Security* 5 and expenses. Improvements add to the health & safety of the rental unit. Management 5 Years Tenant Assistance 5 Appliances Air Conditioners* 10 Structural Repair and Retrofitting Refrigerator* 5 Foundation Repair* 10 Stove* 5 Foundation Replacement* 20 Garbage Disposal 5 Foundation Bolting* 20 Water Heater* 5 Iron or Steel Work 20 Dishwasher 5 Masonry-Chimney Repair* 20 Microwave Oven 5 Shear Wall Installation* 10 Washer/Dryer 5 Electrical Wiring* 10 Elevator* 20 Basic Items Fans* 5 Fencing Cabinets* 10 Chain 10 Carpentry 10 Block 10 Counters* 10 Wood 10 Doors* 10 Knobs 5 Page 19 Years Years Fire Systems Fire Alarm System* 10 Glass Fire Sprinkler System* 20 Windows* 5 Fire Escape* 10 Doors* 5 Mirrors 5 Flooring/Floor Covering Hardwood 10 Heating* Tile and Linoleum 5 Central 10 Carpet 5 Gas 10 Carpet Pad 5 Electric 10 Subfloor 10 Solar 10 Fumigation Tenting* 5 Insulation 10 Furniture 5 Automatic Garage Door Openers* 10 Landscaping Planting 10 Gates Sprinklers 10 Chain Link 10 Tree Replacement 10 Wrought Iron 10 Wood 10 Lighting Page 20 Years Years Interior* 10 Decking 10 Exterior* 5 Plastering 10 Exterior Sump Pumps* 10 Locks* 10 Railings* 10 Mailboxes* 10 Meters* 10 Roofing* Shingle/Asphalt 10 Plumbing Built-up, Tar and Gravel 10 Fixtures* 10 Tile 10 Pipe Replacement* 10 Gutters/Downspouts 10 Re-Pipe Entire Building* 20 Shower Doors* 5 Security* Entry Telephone Intercom 10 Painting Gates/Doors 10 Interior 5 Fencing 10 Exterior 5 Alarms 10 Paving Sidewalks/Walkways* 10 Asphalt 10 Stairs 10 Cement 10 Stucco 10 Page 21 Years Tilework 10 Wallpaper 5 Window Coverings* Drapes 5 Shades 5 Screens 5 Awnings 5 Blinds/Mini-blinds 5 Shutters 5 *Capital Improvements generally concern any change or addition to a unit or property which materially adds to the value of the property, appreciably prolongs its useful life or adapts it to a new use and has a useful life of more than one year and a direct cost of $250 or more per unit. The * items are likely capital improvements. Other items may depend on the circumstances. Page 22 XI. Interest Allowance on Capital Improvements If an amount was reported as an amortized portion of expenses on Section IX, Operating Expense Worksheet, line 23 of the Base Year or current operating expense table above, complete this section. An interest allowance may be calculated on the cost of amortized expenses. The interest allowance shall be the interest rate equivalent to the "average rate" for a thirty-year fixed rate on home mortgages plus two percent (2%). The "average rate" shall be the rate Freddie Mac last published in its weekly Primary Mortgage Market Survey (PMMS) as of the date of the initial petition. http://www.freddiemac.com/pmms/archive.html Please use the Microsoft Excel version of this page (available from the Housing Safety Office) or an online amortization calculator to ensure that your numbers are correct. Completed Capital Improvement and Expense Worksheet (Base Year) (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) Item # Brief Description # of Units Initial Cost Interest Rate Amortization Interest Total Cost Annual Cost Monthly Monthly Impacted Allowed* Period (years)* Amount [Principal + Cost Cost Per Interest] Unit ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ *Use the amortization table in this Attachment and the information about interest rates. 0 Total for Base Year [add amounts in column (d)]: $ _______________ 0 Annual Cost for Base Year [add amounts in column (i)]: $ ________________ Page 23 Completed Capital Improvement and Expense Worksheet (Current Year) This list may include any capital expenses that are still being amortized in the current year. For example, if a roof was replaced last year, the amortized portion may be counted in the current year. (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) Item # Brief Description # of Units Initial Cost Interest Rate Amortization Interest Total Cost Annual Cost Monthly Monthly Impacted Allowed* Period (years)* Amount [Principal + Cost Cost Per Interest] Unit 1 Roof 3 16,000 8.5 10 $7,805.25 $23,805.25 $2,380.53 $198.38 $66.13 ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ 2 Cabinets/Countertops 1 5,286 8.5 10 $2,578.66 $7,864.66 $786.47 $65.54 $65.54 ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ 3 Back Porch Doors 3 $5,295.27 8.5 10 $2,583.18 $7,878.45 $787.85 $65.65 $21.88 ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ *Use the amortization table in this Attachment and the information about interest rates. 26,581.27 Total for Current Year [add amounts in column (d)]: $ _______________ 3,954.85 Annual Cost for Current Year [add amounts in column (i)]: $ ________________ Page 24 XII. Blank Worksheet (Optional – Available for Petitioner Use) Good Afternoon, As you can see from Sheet 18 Section XV there is a deficit of Fair Net Annual Operating Income of $8,605.59 annually or $239.04 monthly per unit. This is driven by a couple of reasons: A) Units 1 and 3 did not have any rent increases between 2015 and 2019 which means the 2019 Base did not factor any CPI. B) Capital improvements over the last couple of years that are being amortized but have not been factored into Rents. Below is my Ask/Proposal. I have a strong relationship with my tenants and run a good quiet building. I try very hard to keep communication open and not disturb long term tenants. Unit 1 These tenants have been in this unit for over 30 years. There rent was $1,050 in 2015 as well as in 2019 and only started increasing when rent control went into effect. Today they are at $1,400 as of April 2025 which is the Fair Market Rent for Portland, ME from 2019 according to the chart in this application. I plan to leave them at $1,400 for the foresee future but I am requesting $338.64 monthly in Banked Rent ($239.04 current year deficit + 99.60 (please refer to Excel Sheet labeled "Investments 2025 Completed" cell N11)) This way I have the ability over the next couple years to recover my capital investment. Unit 2 This tenant has lived in the building since 2021. Their initial rent was $1,700 and they received their 1st rent increase ever in April 2025 bringing them up to $1,800. Currently there is $190.43 monthly in Banked Rent. Similar to Unit 1 I am not looking to increase the rent for this unit in the foreseeable future but I am requesting additional banked rent for the capital Investments already made. Today's Banked Rent is $190.43 + 239.04 for Current Year Capital Improvements + 99.60 for FY25 Capital Improvements the new Banked Rent would be $529.07 monthly. Unit 3 This unit was at $1,100 in 2015 as well as in 2019 and only started seeing rent increases in 2021, so no CPI was factored into the Base Year. Tenant passed away in Feb 2025 and rent was $1,360, which is under the Fair Market Rent for Portland, ME from 2019. Unit was renovated in 2025 and I am seeking an adjusted rent of $2,200 for this unit. This was determined by (1,360 + 239.04 current year deficit (sheet 18) + 610.52 FY25 completed renovation amortization (please refer to Excel Investments 2025 Completed cell N13) = 2,200 ) I think this is a very fair proposal, as it allows me the landlord to receive a fair rate of return based on the forms/calculations provided to me. It also does not impact Units 1 and 2 currently as those are longer term tenants. For unit 3 it allows a fair market return for an updated unit and had no impact on existing tenants. Page 25 XIII. Owner-Performed Labor Landlord-performed labor shall be compensated at reasonable hourly rates. However, no Landlord-performed labor shall be included as an operating expense unless the Landlord submits documentation showing the date, duration, and nature of the work performed. There shall be a maximum allowed under this provision of five percent (5%) of gross income unless the Landlord demonstrates that greater services were performed for the benefit of the residents. Owner Performed Labor – Base Year Date (or Range) Hours Hourly Rate Units Impacted Type of Work Owner Performed Labor does not materially vary between years ____________ _________ ________ _____ ___________________________________________ ____________ _________ ________ _____ ___________________________________________ ____________ _________ ________ _____ ___________________________________________ ____________ _________ ________ _____ ___________________________________________ ____________ _________ ________ _____ ___________________________________________ Owner Performed Labor – Current Year Date Hours Hourly Rate Units Impacted Type of Work Owner Performed Labor does not materially vary between years ____________ _________ ________ _____ ___________________________________________ ____________ _________ ________ _____ ___________________________________________ ____________ _________ ________ _____ ___________________________________________ ____________ _________ ________ _____ ___________________________________________ Page 26 XIV. Planned Capital Improvements To encourage necessary capital improvements and expenses, a Landlord may include anticipated future expenses for the amortized cost of capital improvements and expenses in a fair return petition. An allowance shall be made for anticipated expenses that the Landlord intends to incur during the twenty-four month period following the date of a final Rent Program determination. This procedure should not be used for anticipated expenses for ordinary maintenance and repairs. The portion of any allowable rent increase attributable to the capital improvement and expense shall not go into effect until completion has been documented to the Rent Program. Complete this table only if you are seeking preliminary approval for improvements you plan to complete within the next twenty-four (24) months. A rent increase cannot be granted until the improvements are completed and documentation of the cost of the improvements has been reviewed and approved by the City. (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) Item # Brief Description # of Units Initial Cost Interest Rate Amortization Interest Total Cost Annual Cost Monthly Monthly and Expected Date Impacted Allowed* Period (years)* Amount [Principal + Cost Cost Per of Completion Interest] Unit 1 New Windows 1 7,236 8.5 5 1,671.46 8,907.46 1,781.49 148.46 148.46 ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ April 2025 ________________ 2 New Sewer Line 3 6,499.06 8.5 10 3,170.43 9,669.49 966.95 80.58 26.86 ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ Jan 2025 ________________ 3 New Furance 3 17,600 8.5 10 8,585.78 26,185.78 2,618.58 218.21 72.74 ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ Sept 2025 ________________ 4 Cabinets/Bathroom/Flooring 1 16,590.66 8.5 10 8,093.39 24,684.05 2,468.41 205.70 205.70 ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ Aug 2025 ________________ 5 Appliances/ Painting/ Fans 1 7,640.97 8.5 5 1,765 9,405.97 1,881.19 156.77 156.77 ___ ________________ ______ $ _________ _____% _____ $ ________ $ _________ $ _________ $ ________ $ _______ Aug 2025 ________________ *Use the amortization table in this Attachment and the information about interest rates. 55,566.69 Proposed Capital Expenses [add amounts in column (d)]: $ _______________ 9,716.62 Annual Cost for Proposed Capital Expenses [add amounts in column (i)]: $ ________________ Page 27 XV. Net Operating Income (NOI) Net Operating Income = Income – Operating Expenses Base Year (2019) Current Year (2024) 1. Total Annual Income 46,200 $ ________________ 52,320 $ ________________ 2. Annual Operating 10,406.21 $ ________________ 18,091.16 $ ________________ Expenses 3. Net Annual Operating 35,793.79 $ ________________ 34,228.84 $ ________________ Income 4. CPI [Annual Average CPI] 281.082 336.376 5. Percent Annual Increase in CPI Base Year to Current Year 19.67 ___________ % Line 4 Current Year-Line 4 Base Year × 100 Line 4 Base Year 6. Fair Net Annual Operating Income = Base Year Net Operating Income Adjusted by CPI Increase 42,834.43 $ ________________ Line 5 + 100 × Line 3 Base Year 100 7. Fair Net Annual Operating Income Minus Current Net Operating Income = Allowable Rent Increase 8,605.59 $ ________________ Line 6 − Line 3 Current Year 8. Allowable Rent Increase/Unit/Month 3 239.04 $ ________________ Line 7 ÷ 12 ÷ # of Units 3 If applied equally per unit. The Landlord may propose to allocate using a different rational basis. To detail a different allocation, complete XVIII Proposed Adjustment Worksheet. Page 28 XVI. Monthly Rent Worksheet List the monthly rent, including all fees, charged each tenant, for the twelve (12) months preceding the date of the petition. If the rent was raised during the twelve-month period preceding the petition, including the amount of any fees, list each rent charged and indicate the date each raise was implemented. Provide the year and amount of any unused (banked) Annual Increase Percentage (AIP), Tax Rate Rent Adjustment (prior to 2023), or New Tenancy, or any other rent increase authorized by the Rent Board that have been banked with proper notice to each tenant for future rent increases. Unit # Rent AIP & New Date of Increase AIP & New AIP & New Other Comment Tenant Tenant Taken Tenant Charges Increase (%) Deferred (Please (%) specify) 1 ___ 1,400 $__________ 100 $_________ April 2025 ____________ 7.1 ______ % ______ % $ ________ Increased from 1,300 to 1,400 ______________________________ 2 ___ 1,800 $__________ 100 $_________ April 2025 ____________ 5.5 ______ % ______ % $ ________ 1st Rent increase since 2021. $190.43 remaining in Banked Rent ______________________________ 3 ___ 1,360 $__________ $_________ ____________ ______ % ______ % $ ________ Tenant passed away in Feb 2025 - Unit underwent Renovation ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ Page 29 ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ ___ $_________ $__________ ____________ ______ % ______ % $ ________ ______________________________ Page 30 XVII. Proposed Adjustment Worksheet Use the worksheet below to document current and proposed rents on a per-unit basis. MNOI increases should be distributed on a per capita basis or proportionally to the square footage or costs and expenses attributed to each unit. Please refer to XII for Analysis of the below Indicate method of allocation: _____________________________________________________________________________________________ Unit # Base Period Date Tenancy Initial Rent of Date of Last Rent Rent used in Rent as of Date Proposed Rent Year Commenced Current Tenant/s Increase Current Year Petition Rent (2019) (mm/dd/yyyy) (mm/dd/yyyy) Income Submitted Calculation 1 ___ 1,050 $ ______ Unknown ____________ 1,050 $ ________ 04/01/2025 ___________ 0 $ ________ 1,400 $ ________ 1,400 $ ________ 2 ___ 1,700 $ ______ 07/01/2021 ____________ 1,700 $ ________ 04/01/2025 ___________ 0 $ ________ 1,800 $ ________ 1,800 $ ________ 3 ___ 1,100 $ ______ 08/01/2025 ____________ 2,200 $ ________ N/A ___________ 849.56 $ ________ 2,200 $ ________ 2,200 $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ Page 31 ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ ___ $ ______ ____________ $ ________ ___________ $ ________ $ ________ $ ________ Page 32 XVIII. CLAIM FOR ADJUSTMENT OF BASE YEAR NET OPERATING INCOME AND ASSOCIATED RENT ADJUSTED CLAIM The ordinance dictates that the Rent Board must presume the net operating income the landlord earned from a covered unit during calendar year 2019 yielded a fair return on investment, unless the landlord proves that special or peculiar circumstances prevented the landlord from receiving a fair return on investment during that period. Complete this Section XIX and the following Sections XX and XXI only if you are seeking an adjustment in base rent due to special or peculiar circumstances. Check the factors below that are applicable to your claim. A. Exceptional Expenses in the Base Year. The landlord’s operating expenses in the base year were unusually high or low in comparison to other years. In such instances, adjustments may be made in calculating operating expenses in order that the base year operating expenses reflect average expenses for the property over a reasonable period of time. Check which factor(s) contributed to your claim: a. Extraordinary amounts were expended for necessary maintenance and repairs b. Maintenance and repair expenditures were exceptionally low as to cause inadequate maintenance or significant deterioration in the quality of services provide c. Other expenses were unreasonably high or low notwithstanding the application of prudent business practices. B. Exceptional Circumstances in the Base Year. The gross income during the base year was disproportionately low due to exceptional circumstances. In such instances, adjustments may be made in calculating base year gross rental income consistent with the purpose of analyzing base year net operating income. Check which factor(s) contributed to your claim: a. The gross income during the base year was lower than it might have been because some residents were charged reduced rent. b. The gross income during the base year was significantly lower than normal because of the destruction of the premises and/or temporary relocation for construction or repairs. c. The pattern of rent increases in the years prior to the base year were less than increases in the CPI. C. Other exceptional circumstances: (specify) If the Rent Board determines that one or more of the above circumstances apply, the calculation of MNOI in Section XX will be performed with an Adjusted Gross Income, and that will be substituted for the Section XVI calculations. This figure represents the income that would have been expected absent the exceptional circumstances. Options for determining Adjusted Gross Income include, but are not limited to: A. Base year rents charged for any comparable units in the same building. B. The FY 2019 Fair Market Rents for Portland, ME, reported by the US Department of Housing: 4 Efficiency One-Bedroom Two-Bedroom Three-Bedroom Four-Bedroom $989 $1,071 $1,387 $1,829 $2,198 4 These values do not include the cost of utilities. If using these numbers, do not include the cost of utilities in the base year when completing the expense portion of the worksheet. Page 33 C. An appraisal of comparable fair market rental values as of 2019 for units similar to the units that are the subject of this application which has been prepared by a Maine licensed appraiser and is attached to this application. Actual Gross Income for 2019: $ ____________ Proposed Adjusted Gross Income for 2019: $ ____________ Briefly describe the method for obtaining the proposed income and attach any relevant documentation in support of the claim for an adjustment of base year rent. Page 34 XIX. Income and Operating Expense Worksheet With Adjustment of Base Year Base Year (2019) Current Year (2024) Rental Income 1. Adjusted Gross Income (with Adjusted Base Year as proposed in $ __________________ $ __________________ Section XIX) 2. Portion Attributable to Vacancy $ __________________ $ __________________ Fees (indicate what fee is for): 3. Late fees $ __________________ $ __________________ 4. List fees, other than utilities, collected for services & amenities not included in $ __________________ $ __________________ rent 5. ____________________________ $ __________________ $ __________________ 6. ____________________________ $ __________________ $ __________________ 7. ____________________________ $ __________________ $ __________________ Other Income (list separately by type) 5: 8. ____________________________ $ __________________ $ __________________ 9. ____________________________ $ __________________ $ __________________ 10. ___________________________ $ __________________ $ __________________ Fees charged by landlord for Utilities 11. Gas $ __________________ $ __________________ 12. Electricity $ __________________ $ __________________ 13. Water $ __________________ $ __________________ 14. Sewer $ __________________ $ __________________ 15. Garbage & Recycling $ __________________ $ __________________ Other Utilities (list separately by type): 16. ___________________________ $ __________________ $ __________________ 17. ___________________________ $ __________________ $ __________________ 18. TOTAL INCOME $ __________________ $ __________________ (add only lines 1 and 3-17) 5 Interest earned by Landlord on Tenant security deposits, other interest or investment income. Page 35 XX. Calculation of Fair Return Rent Adjustment with Adjustments of Base Year Amount Complete only if seeking an adjustment of base year rent. Base Year (2019) Current Year (2024) 1. Total Annual Income $ ________________ $ ________________ 2. Annual Operating $ ________________ $ ________________ Expenses 3. Net Annual Operating $ ________________ $ ________________ Income 4. CPI [Annual Average CPI] 281.082 336.376 5. Percent Annual Increase in CPI Base Year to Current Year ___________ % Line 4 Current Year-Line 4 Base Year × 100 Line 4 Base Year 6. Fair Net Annual Operating Income = Base Year Net Operating Income Adjusted by CPI Increase $ ________________ Line 5 + 100 × Line 3 Base Year 100 7. Fair Net Annual Operating Income Minus Current Net Operating Income = Allowable Rent Increase $ ________________ Line 6 − Line 3 Current Year 8. Allowable Rent Increase/Unit/Month 6 $ ________________ Line 7 ÷ 12 ÷ # of Units 6 If applied equally per unit. The Landlord may propose to allocate using a different rational basis. To detail a different allocation, complete XVIII Proposed Adjustment Worksheet. Page 36 XXI. Other Claims Explain any other claims in support of this application and provide/attach any evidence in support of those claims. Please use additional pages as appropriate: Page 37 3/3/26, 8:21 AM City of Portland Mail - Rent Board - Completeness Review Requests Dylan Orr <dorr@portlandmaine.gov> Rent Board - Completeness Review Requests Theberge, Justin T <Justin.Theberge@td.com> Fri, Feb 27, 2026 at 2:27 PM To: Dylan Orr <dorr@portlandmaine.gov> Good Afternoon Dylan, Please see attached the requested materials for 8 Massachusetts Ave. Please reach out with any questions. Thank you Justin From: Dylan Orr <dorr@portlandmaine.gov> Sent: Thursday, February 26, 2026 10:39 AM To: Theberge, Justin T <Justin.Theberge@td.com> Subject: Rent Board - Completeness Review Requests CAUTION: EXTERNAL MAIL. DO NOT CLICK ON LINKS OR OPEN ATTACHMENTS YOU DO NOT TRUST ATTENTION : COURRIEL EXTERNE. NE CLIQUEZ PAS SUR DES LIENS ET N'OUVREZ PAS DE PIÈCES JOINTES AUXQUELS VOUS NE FAITES PAS CONFIANCE [Quoted text hidden] Notice: Under Maine law, documents - including e-mails - in the possession of public officials or city employees about government business may be classified as public records. There are very few exceptions. As a result, please be advised that what is written in an e-mail could be released to the public and/or the media if requested. https://mail.google.com/mail/u/0/?ik=11a4336f94&view=pt&search=all&permmsgid=msg-f:1858307893335225410&simpl=msg-f:1858307893335225410 1/2 Page 38 3/3/26, 8:21 AM City of Portland Mail - Rent Board - Completeness Review Requests Internal This message and any attachments may contain confidential or privileged information meant only for the use of the intended recipients of this message. If you are not the intended recipient of this message, please notify the sender by return email, and delete this and all copies of this message and any attachments from your system. Any unauthorized disclosure, use, distribution, or reproduction of this message or any attachments is prohibited and may be unlawful. 3 attachments Rent Adjustment Notice Unit 1 FY25.docx 29K Rent Adjustment Notice Unit 3 FY25.docx 29K Rent Increase Notice Unit 2 FY25.docx 26K https://mail.google.com/mail/u/0/?ik=11a4336f94&view=pt&search=all&permmsgid=msg-f:1858307893335225410&simpl=msg-f:1858307893335225410 2/2 Page 39 Rent Adjustment Notice 8 Massachusetts Ave (Unit 1) 1/27/2026 Dear , I hope you are doing well. I am writing to you as a follow up to my call with you to update you on an important matter regarding the property and your rental rate. Over the past several months, I have been actively working with the City of Portland to address ongoing concerns related to the property. During this process, there are still details that need to be reviewed and resolved, and the final outcome has not yet been determined. In the meantime, I want to ensure that you are treated fairly while these discussions continue. As a result, your rent will be temporarily reduced to $1,236 monthly until an agreed-upon resolution is reached with the City. Please note that this is a temporary measure meant to support you during the review period and to ensure I remain in compliance. Once the City and I reach a final agreement, I will provide written notice of any updates or changes moving forward. Thank you for your patience and understanding. As always if you have any questions or concerns feel free to call me directly. Thank You Justin Theberge 207-740-5653 Internal Page 40 Rent Adjustment Notice 8 Massachusetts Ave (Unit 3) 1/27/2026 / Dear , I hope you are doing well. I am writing to you as a follow up to my call with you to update you on an important matter regarding the property and your rental rate. Over the past several months, I have been actively working with the City of Portland to address ongoing concerns related to the property. During this process, there are still details that need to be reviewed and resolved, and the final outcome has not yet been determined. In the meantime, I want to ensure that you are treated fairly while these discussions continue. As a result, your rent will remain at $2,200 so it complies with your lease, however I will issue you a monthly rebate of $849 to reduce rent to $1,351 monthly until an agreed-upon resolution is reached with the City. Please note that this is a temporary measure meant to support you during the review period and to ensure I remain in compliance. Once the City and I reach a final agreement, I will provide written notice of any updates or changes moving forward. Thank you for your patience and understanding. As always if you have any questions or concerns feel free to call me directly. Thank You Justin Theberge 207-740-5653 Internal Page 41 Rent Increase Notice 8 Massachusetts Ave (Unit 2) 1/1/2025 Dear , Just wanted to inform you that effective April 1, 2025, that the rent for your unit will increase by $100 dollars per month. This rent increase is based on the fact that the City of Portland completed a Tax Reassessment which had a significant impact to the Tax Base as well as the passing of Rent Control which locks me (Justin Theberge Landlord) into certain restrictions. Base Rent $1,700.00 Banked Rent Used $100.00 Banked Rent Remaining $179.93 New Rent $1,800.00 Based on Rent Control, your base rent is increasing based on the Greater Portland CPI for FY24 as well as the portion of Banked Rent that has been accruing because of the Rent Control Ordinance. If you have any questions and want to discuss anything further, please feel free to contact me below. Thank You Justin Theberge 207-740-5653 Internal Page 42 City of Portland – Housing Safety Division RENT INCREASE APPLICATION – MAINTENANCE OF NET OPERATING INCOME Date of Hearing: April 22, 2026 - Tabled to May 27, 2026 Owner Name and Address: Wilbur Cheever 38 William St, Portland, ME 04103 Property Address: 72 William St, all 3 units CBL: 117-C-019-001 Tenants/Interested Parties: Yes Page 43 Page 44 Page 45 Page 46 Page 47 Page 48 Page 49 Page 50 Page 51 Page 52 Page 53 Page 54 Page 55 Page 56 Page 57 Page 58 Page 59 Page 60 Page 61 Page 62 Page 63 Page 64 Page 65 Page 66 Page 67 Page 68 Page 69 Page 70 Page 71 Page 72 Page 73 Page 74 Page 75 Page 76 Page 77 Page 78 Page 79 Page 80 Page 81 Page 82 Page 83 Page 84 Page 85 Page 86 Page 87 Page 88 Page 89 Page 90 Page 91 Page 92 Page 93 Page 94 Page 95 Page 96 Page 97 Page 98 Page 99 Page 100 Page 101 Page 102 Page 103 Page 104 Page 105 Page 106 Page 107 Page 108 Page 109 Page 110 Page 111 Page 112 Page 113 Page 114 Page 115 Page 116 Page 117 Page 118 Page 119 Page 120 Page 121 Page 122 Page 123 Page 124 Page 125 Page 126 Page 127 Page 128 Page 129 Page 130 Page 131 Page 132 Page 133 72 William St. One apartment each floor, all are two bedroom apartments Amenities included in the rent: Off street parking Coin operated laundry in basement Basement storage Hot water Living Space square footage per apartment- stairway areas have been deducted 1st floor- full renovation in 2020-2021 1300SF kitchen, one bathroom, living room, dining room, bedroom, 2 rooms out back (7 rooms) 2nd floor- full renovation in 2026 1360SF kitchen, one bathroom, living room, dining room, 3 bedroom possibilities, spare room out back (8 rooms) 3rd floor- full renovation in 2025 900SF kitchen, one bathroom, living room, 2 bedrooms (5 rooms)​ All three apartments have been deeply renovated and all three apartments feel like they are getting good value for their money, knowing their rent is less than what others in the area are paying. I prefer to stay a little below market so people that work here have decent places to live. Page 134 72 William St. 1st floor renovation 11.24.2–5.1.2021 Trades​​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 29,984 material/small invoices​ ​ ​ ​ ​ ​ ​ ​ 8232 Owners time= 350 hours​ ​ ​ ​ ​ ​ ​ ​ 17,500 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total​ 55,716 Page 135 72 William St. 3rd floor renovation 1.7.2025-5.1.2025 Trades​​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 45,717 materials/small invoice​ ​ ​ ​ ​ ​ ​ ​ 24,805 Owners time 300 hours​ ​ ​ ​ ​ ​ ​ ​ 19,500 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total​ 90,022 Page 136 72-2 renovation costs Project 1.15.26-5.1.26 Floor refinishing​ ​ ​ ​ ​ ​ ​ ​ ​ 3347 Porch window work​ ​ ​ ​ ​ ​ ​ ​ ​ 2170 Painting/drywall​ ​ ​ ​ ​ ​ ​ ​ 16,924 Counters and cabinets​ ​ ​ ​ ​ ​ ​ 10,277 Electrical​ ​ ​ ​ ​ ​ ​ ​ ​ 10,667 Radiators​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 1649 New windows​ ​ ​ ​ ​ ​ ​ ​ ​ ​ 2316 Small invoices/bills/material​ ​ ​ ​ ​ ​ ​ ​ 5022 Owner labor​ ​ ​ ​ ​ ​ ​ ​ ​ 15,600 Total 67,972​ Page 137 January rent 72 William 76 William 1st floor 2nd floor 3rd floor 1st floor 2nd floor 3rd floor 2008 900 900 700 725 725 725 2009 900 900 750 725 725 725 2010 900 900 750 725 725 725 2011 900 900 750 725 725 725 2012 900 900 750 725 725 725 2013 900 900 750 750 725 725 2014 1000 1100 750 750 750 750 2016 1000 1200 800 1100 900 750 2017 1000 1200 800 1100 900 750 2018 1000 1200 800 1100 950 750 2019 1000 1200 900 1100 950 950 June 2020 1500 1200 950 1200 950 950 Page 138 5/13/26, 9:32 AM City of Portland Mail - Completeness review requests Dylan Orr <dorr@portlandmaine.gov> Completeness review requests 1 message Will Cheever <wdcheever@gmail.com> Mon, May 11, 2026 at 6:40 AM To: Rent Board <rentboard@portlandmaine.gov>, "dorr@portlandmaine.gov" <dorr@portlandmaine.gov> Hi, I have sent the supporting information you are requesting as 6 separate emails. In summary I am requesting the current rents be restored to what my leases are (or going to be) and that 76-2 is changed to a two bedroom apartment. Here is what I'm requesting individually for each apartment: 72-2 $2300/month 72-3 $2100/month 76-1 $1500/month 76-2 $1700/month (and change to a 2 bedroom) 76-3 $1300/month I understand all these rents are a little below the market value for the amenities and the location. My aim is to provide decent housing to local working people. I spend in the neighborhood of 2 hours per week managing the properties- collecting rent, paying bills, responding to tenant questions, etc. I know there wasn't clarity around what was management and what was actually working on the buildings and units. Any of the full renovations I worked an average of 20 hours per week on the projects and because I run a construction business I try to manage these improvements as cost effectively as possible. Thanks-Will https://mail.google.com/mail/u/0/?ik=11a4336f94&view=pt&search=all&permthid=thread-f:1864888266240679642&simpl=msg-f:1864888266240679642 1/1 Page 139 City of Portland – Housing Safety Division RENT INCREASE APPLICATION – MAINTENANCE OF NET OPERATING INCOME Date of Hearing: April 22, 2026 - Tabled to May 27, 2026 Owner Name and Address: Wilbur Cheever 38 William St, Portland, ME 04103 Property Address: 76 William St, all 3 units CBL: 117-C-017-001 Tenants/Interested Parties: Yes Page 140 Page 141 Page 142 Page 143 Page 144 Page 145 Page 146 Page 147 Page 148 Page 149 Page 150 Page 151 Page 152 Page 153 Page 154 Page 155 Page 156 Page 157 Page 158 Page 159 Page 160 Page 161 Page 162 Page 163 Page 164 Page 165 Page 166 Page 167 Page 168 Page 169 Page 170 Page 171 Page 172 Page 173 Page 174 Page 175 Page 176 Page 177 Page 178 Page 179 Page 180 Page 181 Page 182 Page 183 Page 184 Page 185 Page 186 Page 187 76 William St. 3 floors, one apartment per floor 1st and 3rd floors currently rented as one bedroom, asking 2nd floor be converted to 2 bedroom apartment The apartment rental price includes heat, hot water, off street parking, coin operated laundry in basement 1st floor 1080 SF 1 bedroom, 1 bathroom, kitchen, eat in area, dining room, living room (6 rooms) 2nd floor 1065 SF 2 bedrooms, 1 bathroom, kitchen, eat in area, living room (6 rooms) 3rd floor 600 SF plus 300 SF of storage space 1 bedroom, 1 bathroom, kitchen, eat in area, living room, huge storage space (6 rooms) Before I bought the building the 2nd floor had historically been rented as a two bedroom unit for many previous years. The previous owners lived on the first floor, which is a very large one bedroom apartment. All three tenants have told me they are getting a great deal, these apartments have not been deeply renovated but are in good usable condition. I know I could rent these units for more money than I presently receive but I strive to give people decent places in the city to live that are reasonable for people that work here. Page 188 January rent 72 William 76 William 1st floor 2nd floor 3rd floor 1st floor 2nd floor 3rd floor 2008 900 900 700 725 725 725 2009 900 900 750 725 725 725 2010 900 900 750 725 725 725 2011 900 900 750 725 725 725 2012 900 900 750 725 725 725 2013 900 900 750 750 725 725 2014 1000 1100 750 750 750 750 2016 1000 1200 800 1100 900 750 2017 1000 1200 800 1100 900 750 2018 1000 1200 800 1100 950 750 2019 1000 1200 900 1100 950 950 June 2020 1500 1200 950 1200 950 950 Page 189 5/13/26, 9:32 AM City of Portland Mail - Completeness review requests Dylan Orr <dorr@portlandmaine.gov> Completeness review requests 1 message Will Cheever <wdcheever@gmail.com> Mon, May 11, 2026 at 6:40 AM To: Rent Board <rentboard@portlandmaine.gov>, "dorr@portlandmaine.gov" <dorr@portlandmaine.gov> Hi, I have sent the supporting information you are requesting as 6 separate emails. In summary I am requesting the current rents be restored to what my leases are (or going to be) and that 76-2 is changed to a two bedroom apartment. Here is what I'm requesting individually for each apartment: 72-2 $2300/month 72-3 $2100/month 76-1 $1500/month 76-2 $1700/month (and change to a 2 bedroom) 76-3 $1300/month I understand all these rents are a little below the market value for the amenities and the location. My aim is to provide decent housing to local working people. I spend in the neighborhood of 2 hours per week managing the properties- collecting rent, paying bills, responding to tenant questions, etc. I know there wasn't clarity around what was management and what was actually working on the buildings and units. Any of the full renovations I worked an average of 20 hours per week on the projects and because I run a construction business I try to manage these improvements as cost effectively as possible. Thanks-Will https://mail.google.com/mail/u/0/?ik=11a4336f94&view=pt&search=all&permthid=thread-f:1864888266240679642&simpl=msg-f:1864888266240679642 1/1 Page 190 City of Portland | Permitting and Inspections Zachary Lenhert, Licensing and Housing Safety Manager 04/15/2026 License #: 20173494 Code Case #: RCC2600550 Wilbur Cheever / 38 WILLIAM ST Portland, ME 04103 AMENDED AND RESTATED NOTICE OF VIOLATION AND ORDER TO CORRECT To Wilbur Cheever, The City of Portland Permitting and Inspections Department inspected the rental data for 72 WILLIAM ST PORTLAND, ME on 04/15/2026 and found violations of the City of Portland Code of Ordinances, which are listed on the attached page(s). You are hereby ordered to correct these violations by 05/15/2026. Please be advised that penalties will be applied if the violations are not corrected by that date. NOTE: The prior Notice of Violation (“NOV”) for this property dated March 11, 2026 cited a last code-compliant rent amount of $1,200.00, and a current rent amount of $1,500.00, which this office gathered from the Additional Information form you provided to the Licensing and Registration Department on December 20, 2025. You subsequently indicated that the rental amount was reset to the last code-compliant amount of $1,200 and that you issued a check in the amount of $1,600.00 on March 31, 2026, which was reimbursement for overpayments of $300 per month. On April 6, 2026, this office received a copy of a lease for Unit #3, which stated the rent charged as of April 15, 2025 was $2,100.00, not $1,500.00. Therefore, the reimbursement amount should be $900 per month instead of $300 per month. Based on this new information, the March 11, 2026 NOV is hereby amended and restated to account for the additional overpayments received and reimbursements required as a result of the rent increase violations and to include a violation of Section 6-155 (d). The previous Notice of Violation dated March 11, 2026 has been rescinded and is hereby replaced by this Notice of Violation. If you do not correct the attached violations by the date given, then this matter will be referred to the City of Portland Corporation Counsel for legal action, and you may be charged $150 for re-inspection per the City’s fee schedule. In the event of court action, the City may be entitled to an order to correct the violations, civil penalties in the minimum of $100 per violation per day, costs and fees, and other relief under §1-15 of the City Code and 30-A M.R.S. §4452. Please respond in writing via email to rentcontrol@portlandmaine.gov or send response by USPS to 389 Congress St, Portland, Maine 04101. You have a right to appeal this decision to Superior Court within 30 days of the date of this notice pursuant to Rule 80B of the Maine Rules of Civil Procedure. I appreciate your anticipated cooperation, and please contact our office by calling 207-874-8900 if you have any questions. Thank you, Wilbur Cheever / 38 WILLIAM ST Portland, ME 04103 Page 191 389 Congress Street, Portland, Maine 04101 | 207-874-8900 | rentcontrol@portlandmaine.gov Mercedes Bohaty Rental Registration Inspectorp Total Violations: 5 NON‑COMPLIANCE VIOLATION LIST APPLICABLE CODE City Code 6-155(d) SECTION(S) Any person, business entity, or other organization providing false information with CODE DESCRIPTION respect to registration. Notwithstanding the provisions of § 6-1, the penalty for such violation shall be $1,000.00 Owner provided false information on the Additional Information form dated COMMENTS December 12, 2025. A lease dated March 19, 2025 shows the rent being collected for the year of 2025 was $2,100.00. The penalty for such violation is $1,000. DEADLINE 05/15/2026 APPLICABLE CODE City Code 6-234(c) SECTION(S) At no time may a Landlord raise the rent of a Covered Unit by more than ten (10) CODE DESCRIPTION percent. Any rent increases available to a Landlord in excess of ten (10) percent must be banked for later use. The owner has claimed a rent increase that exceeds 10% of the previous reported rent. COMMENTS Unit #3 rent increased on April 15, 2025 from $1,200.00, cited from the 2026 Additional Information as previous rent, to $2,100.00, cited from a lease dated March 19, 2025, resulting in a 75.0% increase. DEADLINE 05/15/2026 APPLICABLE CODE Remedy - City Code Sec 6-234(f) SECTION(S) A landlord who is not in substantial compliance with any provision of this chapter, including but not limited to the Rent Stabilization Ordinance, may not demand, CODE DESCRIPTION accept or retain any rent increase otherwise permitted by this section or any other provision of this Code or Maine statute. The owner is ordered to reduce the rent to the last code-compliant amount of $1,200.00 and reimburse the tenant(s) any overcharge. COMMENTS Proof of resolution must be sent in writing. 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