STATE OF NEW YORK
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                                  JAMAICA, NY 11433

          APPEAL OF                                    DOCKET NO.: BL430210RO

               Mark Greenberg Real Estate, 
               Company, Inc.,
                                                       RENT ADMINISTRATOR'S
                                                       DOCKET NO.: AI430115B


          The above-named owner filed a timely petition for administrative 
          review of an order issued on November 9, 1987 concerning the 
          housing accommodations known as 647 Second Avenue, New York, 
          New York, wherein the Rent Administrator determined a consolidated 
          complaint by various tenants of building-wide services decreases.

          The Commissioner has reviewed all the evidence in the record and 
          has carefully considered that portion of the record relevant to the 
          issues raised by the petition.

          Various tenants commenced this proceeding by filing a complaint 
          asserting that the owner had failed to maintain certain services in 
          the subject premises.  The Rent Administrator served a copy of the 
          tenants' complaint on the owner.

          Thereafter, DHCR conducted inspections of the subject premises.  
          The inspector reported moderate peeling of paint and plaster in the 
          public areas of the subject premises, paint peeling and foot plates 
          (2) missing on the fire escapes, lack of access to the basement, a 
          boarded-up public area window, lack of access to the backyard, 
          bricks in need of pointing, lack of ventilation in public areas 
          because the vestibule door transoms had been boarded up, and dirty, 
          rusty and discolored tap water that was not drinkable.  Other 
          services were found to have been maintained or restored.

          The Rent Administrator directed restoration of these services and 
          further, ordered rent reductions.  The regulated status of the 


          tenants was not known because the owner had not registered the 
          subject premises.  Accordingly, the parties were advised to apply 
          the appropriate rent stabilization or rent control rules.

          In this petition for administrative review, the owner argues, among 
          other things, that various conditions reported did not constitute 
          services decreases, that some conditions had been corrected, that 
          the conditions found did not warrant rent reductions, or that the 
          Rent Administrator exceeded his authority.

          After careful consideration, the Commissioner is of the opinion 
          that the petition should be denied.

          Pursuant to Section 2523.4 of the Rent Stabilization Code, DHCR is 
          required to order a rent reduction, upon application by a tenant, 
          where it is found that an owner has failed to maintain required 
          services.  Pursuant to Section 2202.16 of the Rent and Eviction 
          Regulations, where it is found that the owner failed to maintain 
          essential services or other items previously provided.  Required or 
          essential services may include, but are not limited to, painting, 
          heat, hot and cold water, elevator services, janitorial services 
          and removal of refuse.  The Rent Administrator may order a rent 
          reduction for all rent controlled tenants, if the complaint was 
          signed by at least one rent controlled tenant.

          The owner's petition does not establish any basis for modifying or 
          revoking the Administrator's order, which determined that the owner 
          was not maintaining required or essential services, based on  
          physical inspections of the subject premises confirming the 
          existence of various defective conditions for which rent reductions 
          are warranted.

          The owner may file a rent restoration application if the facts so 

          The automatic stay of the retroactive rent reduction for 
          stabilization tenants that resulted by the filing of this petition 
          is vacated upon issuance of this order and opinion.

          THEREFORE, in accordance with the Rent Stabilization Law and Code, 
          and the Rent and Eviction Law and Regulations, 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, 

                                             JOSEPH A. D'AGOSTA
                                             Deputy Commissioner  


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