BG 410180-RO
                                  STATE OF NEW YORK
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                               JAMAICA, NEW YORK 11433

          APPEALS OF                              DOCKET NO.:   
                                                  BG 410180-RO                
           350 EAST 62ND STREET ASSOCIATES,       
                                                  RENT          ADMINISTRATOR'S
                                                  DOCKET NO.: 
                                  PETITIONER      BC 410089-S  

                                       IN PART

          On August 6, 1987,  the  above-named  petitioner-owner  filed  an
          Administrative Appeal against an order issued on  July  3,  1987,
          by the District Rent  Administrator,  92-31  Union  Hall  Street,
          Jamaica, New York, concerning the housing accommodations known as 
          350 East 62nd Street, New York, New York, Apartment 3-G.

          The issue herein  is  whether  the  District  Rent  Administrator
          properly reduced the rent of the subject apartment based  upon  a
          reduction of repairs and services.

          The District Rent Administrator's order, appealed  herein,  found
          that a diminution of services had occurred and reduced  the  rent
          to the level in effect prior to the last rent guideline  increase
          which commenced before the effective  date  of  the  order.   The
          order was based upon the findings of an inspection  held  by  the
          Division of Housing and Community Renewal (DHCR) on May 21, 1987.

          On appeal, the petitioner-owner contended that in December, 1985, 
          tenants in the subject building were notified, in writing, that a 
          new managing agent (Mt. Pleasant Management  Company)  was  being
          appointed effective January 1, 1986; th t  Eichner-Leeds  Manage-
          ment Company was being discharged; that  rent  checks  should  be
          mailed  to  the  Beekman  Estate;  that  the  tenant's  complaint
          misidentified the owner and as a consequence thereof,  the  owner
          was never made aware of the pendency of the  tenant's  complaint,
          until after the issuance of the District Rent Administrator's 
          order; thus depriving it of an opportunity to respond below.  

          Additionally, the owner asserted that  it  never  received  prior
          notice of the complaints or conditions alleged  in  the  tenant's

          After a careful consideration of the entire  evidence  of  record
          the Commissioner is of the opinion that the administrative appeal 
          should be granted in part.

          BG 410180-RO
          The tenant initiated this  proceeding  by  filing  an  Individual
          Tenant Statement of Complaint of Decrease in  Services  on  March
          25, 1987.

          The owner's mailing address shown on the tenant's complaint  form

                              Beekman Estates/
                              350 East 62nd Street Associates

          The record shows that on April 13, 1987  the  Notice  and  Trans-
          mittal of Tenant's Complaint was mailed to Beekman  Estates,  350
          East 62nd Street Associates, New York, New York 10021,  n  incom-
          plete address.  No answer to the complaint was received.

          The Division's records also reveal that the registered  owner  of
          the premises at the time the complaint was served was:

                              350 East 62nd St. Associates
                         c/o  Mt. Pleasant Management Corp.
                              855 Lexington Avenue
                              New York, New York 10021   

          Since the owner was not properly served with  the  tenant's  com-
          plaint, the Commissioner finds that the  owner  was  deprived  of
          notice of the proceeding and had no opportunity to  interpose  an
          answer. However, since the owner did receive the  Administrator's
          order and filed a timely PAR thereto, the Commissioner is of  the
          opinion that upon issuance of the order, the owner had  knowledge
          of the conditions complained of and an opportunity to repair  and
          the rent reduction should be effective the  first  of  the  month
          following the issuance of the Administrator's order.

          It is also noted that a subsequent restoration application  filed
          by the owner (Docket No. 410033-OR) was denied on July  18,  1990
          after a physical inspection indicating that the repairs have  not
          been made and that the rent reduction is still  in  effect.   The
          owner may file another such  application  when  all  repairs  are
          actually completed.

          THEREFORE, in accordance with  the  Rent  Stabilization  Law  and
          Code, it is

          ORDERED, that this petition be, and the same hereby  is,  granted
          in part and the Administrator's order be, and the same hereby is, 
          modified such that the effective date of the  rent  reduction  is
          August 1, 1987.


                                                  JOSEPH A. D'AGOSTA
                                                  Acting Deputy Commissioner 

          BG 410180-RO


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