Docket No. BD 810001-RO

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

          APPEAL OF                               DOCKET NO. BD 810001-RO

                                                  DISTRICT             RENT
                                                  DOCKET NO. 
          W.R.G. Management Corporation                               


          On March 30, 1987, the above-named owner  filed  a  petition  for
          administrative review of an order issued on March 4,  1987  by  a
          District   Rent   Administrator,   concerning   various   housing
          accommodations in premises known as 1-13 Greenridge Avenue, White 
          Plains, New York, wherein the Administrator  denied  the  owner's
          major capital improvement (M.C.I.) rent increase application.

          The Commissioner has reviewed all of the evidence in  the  record
          and  has  carefully  considered  those  portions  of  the  record
          relevant to the issues by the administrative appeal.

          The owner commenced this proceeding upon its filing of an  M.C.I.
          application with the Administrator  on  January  21,  1987.   The
          M.C.I. application was predicated upon the insulation of hot  and
          cold water lines, at a total cost of $16,000.00.

          The Administrator denied the  owner's  application  for  a  major
          capital improvement rent increase, because the work performed was 
          not deemed to be an M.C.I.

          In the petition for administrative review the  owner  points  out
          that in Docket No. WWP-85-CS-336-421-OM the Division  of  Housing
          and Community Renewal (D.H.C.R.) granted an M.C.I. rent  increase
          for the installation of new pipes in the subject  premises.   The
          owner asserts that the insulation was a  necessary  and  inherent
          part of the installation of the new  pipes,  and  should  not  be
          considered to be "ordinary maintenance and repair."
          Several tenants submitted answers to the owner's petition,  which
          assert that the owner had already been  granted  an  M.C.I.  rent
          increase for plumbing, and that the owner should not  be  granted
          an M.C.I. rent increase  for  work  that  the  Administrator  had
          determined was for ordinary maintenance and repair.

          The record reflects that the subject owner,  on  July  22,  1985,
          filed an application for an M.C.I. rent increase with  the  DHCR,

          Docket No. BD 810001-RO
          for the installation of the new pipes, under Dock t  No.  WWP-85-
          CS-336-421-OM.    The   record   further   reflects   that    the
          installation of the hot and cold water lines  were  completed  in
          May, 1985, which was approximately two months  before  the  owner
          filed its M.C.I. rent incrrease application for  the  new  pipes.
          As the subject tenants had  a  reasonable  expectation  that  the
          subject  owner  would  file  all  alleged  related  M.C.I.  work,
          pertaining to the installation of the pipes at the same time, and 
          that the owner does not explain why it  failed  to  file  for  an
          M.C.I.   rent   increase   for   hot   and   cold   water   lines
          contemporaneously  with  its  application  for  an  M.C.I.   rent
          increase for the installation of new pipes, the Commissiner finds 
          that the Administrator's order should be affirmed.

          THEREFORE, in accordance with the  provisions  of  the  Emergency
          Tenant  Protection   Act   of   1974,   the   Tenant   Protection
          Regulations, and the Rent and Eviction Regulations for the  State
          of New York, it is

          ORDERED, that the this petition  be,  and  the  same  hereby  is,
          denied, and that the order of the  Rent  Administrator  shall  be


                                          Joseph A. D'Agosta
                                          Acting Deputy Commissioner 

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