Saint Paul council grants tenant appeal, denies landlord's rent-variance recommendation for unit at 1517 Portland Ave

The City Council on Monday granted an appeal by tenant Michael Smith and upheld the hearing officer's recommendation that the rent-variance application for Unit D at 1517 Portland Ave be denied.

Hearing officer testimony summarized an analysis comparing 2023 and 2025 financial records that yielded a 17.9% increase in the owner's justification for a variance. The hearing officer said she identified two issues that prevented recommending approval: a bedroom egress window that "could not open and stay open" (an emergency egress concern) and a fire extinguisher that needed replacement. She also noted ambiguity about utilities: when utilities are passed through to tenants but measured by a single meter, Minnesota law requires specific disclosures and apportionment formulas; the hearing officer found the paperwork and lease unclear on that point and said that contributed to denying the application. She recommended the council grant the tenant's appeal.

Abby Hanson of the Housing Justice Center urged the council to affirm the hearing officer's recommendation, citing habitability grounds and incomplete utility disclosures. Michael Smith, the tenant, described high electric bills, moisture in the wall and building maintenance issues he said made the unit unhealthy and unaffordable.

Robin Dorsho, one of the property owners, said the building was purchased in September 2022 and that the owners had retained prior leases and applied for a variance that had been recommended at 17.97% earlier; they said they had made investments (thermostat system, HomeServe enrollment) and argued market comparables supported higher rents. The council discussed whether an owner could reapply to the Department of Safety and Inspections and noted the code is silent on a reapplication grace period.

Council member Buie moved to grant the hearing officer's recommendation and the council voted 7-0 to grant the tenant's appeal. The decision pertains only to Unit D in the building; staff noted owners may reapply or address the code and inspection issues before submitting a new application.