BK410287RO
           

                                  STATE OF NEW YORK
                      DIVISION OF HOUSING AND COMMUNITY RENEWAL
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                               JAMAICA, NEW YORK 11433


          ----------------------------------x
          IN THE MATTER OF THE ADMINISTRATIVE     ADMINISTRATIVE REVIEW
          APPEAL OF                               DOCKET NO.: BK410287RO
                                                  
          350 E. 62ND STREET ASSOCIATES           RENT
                                                  ADMINISTRATOR'S DOCKET 
                                                  NO.: BD430100HW
                                  PETITIONER            
          ----------------------------------x


            ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW
                                          
               On November 5, 1987 the above named petitioner-owner filed a 
          Petition for Administrative Review against an order of the Rent 
          Administrator issued October 7, 1987. The order concerned various 
          housing accommodations located at 350 E. 62nd Street, New York, 
          N.Y.  The Administrator directed restoration of services and 
          ordered a rent reduction for failure to maintain adequate heat and 
          hot water.

               The Commissioner has reviewed the record and carefully 
          considered that portion relevant to the issues raised by this 
          appeal.

               This proceeding was commenced on April 16, 1987 when 52 of the 
          93 tenants filed a Statement of Complaint wherein they alleged, in 
          relevant part, that the owner was not maintaining adequate heat and 
          hot water.

               The owner was served with a copy of the complaint and afforded 
          an opportunity to respond. The owner, through counsel, filed a 
          response on May 23, 1987 and stated that it was maintaining 
          adequate heat and hot water and that the burner and boiler were 
          serviced as needed by a duly licensed company.
           
               The Administrator ordered a physical inspection of the subject 
          apartment.  The inspection was conducted on August 26, 1987.  The 
          building was reinspected on September 8, 1987.  The inspector 
          reported evidence of inadequate hot water temperature in the 
          apartments inspected.

               The Administrator issued the order here under review on 
          October 7, 1987 and ordered a rent reduction for rent controlled 












          BK410287RO


          and rent stabilized tenants based on the inspector's report. 

               On appeal the owner, as represented by counsel, states the 
          following grounds in the petition:

                    1.   The inspector's report is too vague to provide a 
                         basis for ordering a rent reduction,

                    2.   The owner was not given notice of the condition 
                         prior to the filing of the complaint,

                    3.   Two separately filed complaints of inadequate heat 
                         and hot water were dismissed by the Administrator 
                         after inspection,

                    4.   The complaint of lack of adequate heat and hot 
                         water was untimely as it referred to past 
                         occurrences and not to conditions existing at the 
                         time of the complaint,

                    5.   The owner was denied due process by not being 
                         afforded a copy of the inspector's report and a 
                         hearing.

          The petition was served on the tenants on January 15, 1988.

               Various tenants filed responses and stated, in sum, that the 
          owner had not corrected the condition and that the petition should 
          be denied.
           
               After careful review of the evidence in the record, the 
          Commissioner is of the opinion that the petition should be denied.

               Section 2523.4 of the Rent Stabilization Code and Section 
          2202.16 of the Rent and Eviction Regulations authorize a rent 
          reduction for stabilized and controlled tenants based on a failure 
          to provide adequate hot water.  The Commissioner notes that the 
          Administrator based this determination on the entire record 
          including the results of the on-site physical inspections described 
          above.  The inspector's report is not vague and provided a clear 
          basis for the order here under review.  The owner has not rebutted 
          the report.  The inspector indicated the hot water temperature in 
          the kitchen and bathroom of every apartment to which access was 
          obtained and in every case the temperature was below the 120 
          degrees mandated by the Housing Maintenance Code.

               With regard to the other grounds cited by the owner in the 
          petition the Commissioner finds that none are adequate to overturn 
          the Administrator's order.   The filing of the complaint put the 
          owner on sufficient notice of the existence of the cited condition 
          and the need to investigate and make the required repairs.  The 






          BK410287RO


          fact that other hot water complaints were dismissed by the 
          Administrator has no relevance to the merits of the instant 
          complaint.  The tenants properly alleged that the owner had failed 
          to maintain adequate hot water on certain specified dates.  Due 
          process does not require that the owner be given notice of the 
          inspection, a copy of the inspector's report or a post-inspection 
          hearing (see Empress Manor Apt. v. DHCR 538 N.Y.S.2d., 49 [2nd 
          Dept., 1989]).  In sum, the Commissioner finds that the inspector's 
          report amply justified the issuance of the order here under review.  
          That order is, therefore, affirmed.  With regard to rent stabilized 
          tenants, the automatic stay of the retroactive rent abatement which 
          resulted from the filing of this administrative appeal is vacated 
          upon issuance of this order and opinion.

               The Commissioner notes that the owner's rent restoration 
          application, which was assigned Docket No. DL430034OR, was granted 
          by the Administrator in an order issued on August 17, 1990.

               THEREFORE, pursuant to the Rent Stabilization Law and Code and 
          Rent and Eviction Regulations for New York City it is 

               ORDERED, that this petition be, and the same hereby is, 
          denied, and that the Rent Administrator's order be, and the same 
          hereby is, affirmed.

          ISSUED:



                                                                             
                                             JOSEPH A. D'AGOSTA
                                             Deputy Commissioner
                                    






    

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