BI 630025 RO
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
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IN THE MATTER OF THE ADMINISTRATIVE ADMINISTRATIVE REVIEW
APPEALS OF DOCKET NOS.:
BI 630025 RO
BI 630026 RO
FORTY MARCY LTD. RENT
ADMINISTRATOR'S DOCKET
NO.: AH 630021 B
PETITIONER
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ORDER AND OPINION GRANTING PETITIONS FOR ADMINISTRATIVE REVIEW
IN PART AND MODIFYING RENT ADMINISTRATOR'S ORDER
The above referenced administrative appeals have been
consolidated by the Commissioner because they are duplicates.
The above named petitioner-owner filed timely Petitions for
Administrative Review against an order of the Rent Administrator
issued August 12, 1987. The order concerned various housing
accommodations located at 38 Marcy Place, Bronx, N.Y. The
Administrator ordered a building-wide rent reduction for failure to
maintain required services.
The Commissioner has reviewed the record and carefully
considered that portion relevant to the issues raised by these
appeal.
This proceeding was commenced on August 4, 1986 when one of
the 60 tenants filed of a Statement of Complaint of Decrease in
Building-Wide Services wherein the following services deficiencies
were complained of: removal of intercom with no replacement, no
front door lock, no superintendent on premises, unclean public
areas and defective mailboxes.
The owner was served with a copy of the complaint and afforded
an opportunity to respond. The owner filed a response on September
23, 1986 and stated that there is a superintendent who maintains
the public areas, that there is a steel front door gate for
security and that there has never been an intercom system in the
building. The owner did not address the issue of the mailboxes.
The Administrator ordered a physical inspection of the subject
building. The inspection was conducted on October 24, 1986 and
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revealed that the intercom system was removed from the outside of
the building, that the front door lock was not working and that
several defective mailboxes were observed. The inspector also
reported that the building employs a visiting superintendent and
that the hallways were clean at the time of the inspection.
The Administrator issued the order here under review on August
27, 1987 and ordered a rent reduction of $13.00 per month for rent
controlled tenants and an amount equal to the most recent guideline
adjustment for rent stabilized tenants based on the report of the
inspector.
On appeal the owner states that the Administrator issued an
order on June 24, 1987 bearing Docket No AA 600085 B wherein a
building-wide reduction was ordered for the tenants of 40 Marcy
Place. The order reduced the rent of rent controlled tenants by
$9.00 per month. The rent of rent stabilized tenants was ordered
reduced by an amount equal to the most recent guideline adjustment
based on an inspector's report detailing a defective entrance door
and lack of intercom. The owner states that 38 Marcy Place and 40
Marcy Place are the same building and, therefore, two rent
reductions have been ordered based on the same conditions
complained of. The owner also states that new mailboxes are on
order. The Commissioner notes that the order bearing Docket No. AA
600085 B was affirmed in an order issued by the Commissioner on
January 25, 1991 (see Docket No. BG 630222 RO).
One tenant filed a response on December 18, 1987 but did not
address the issue of the two orders, except to state that both had
been issued and that the conditions described therein had not been
corrected.
After careful review of the evidence in the record, the
Commissioner is of the opinion that the petition should be granted
in part and the order bearing Docket No. AH 630021 B should be
modified.
It is apparent from the records in both this proceeding and
the proceeding bearing Docket No. AA 600085 B that the owner is
correct in that two rent reductions have been granted for the same
building based on findings of a defective intercom system and
defective front door lock. The Commissioner notes, however, that
the instant order ordered a rent reduction for a rent stabilized
tenant who was not granted rent reduction by the order bearing
Docket No. AA 600085 B because he did not join in that proceeding.
The Administrator was correct to do this.
The Commissioner notes, however, that no rent controlled
tenant joined in the filing of this complaint. The owner was never
put on notice that a rent reduction for rent controlled tenants was
a possible consequence of the complaint. The Administrator's
ordering of a rent reduction for rent controlled tenants
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constituted a due process denial. Therefore, it was error for the
Administrator to order a $13.00 per month rent reduction. The
$13.00 per month rent reduction ordered for rent controlled tenants
it revoked. If the current owner has already complied with the
Administrator's order and arrears are due and owing by reason of
the Commissioner's determination herein, the tenants may pay off
said arrears in twenty four equal monthly installments.
The Commissioner notes that the owner has applied for rent
restoration and that said application was granted in an order
issued on March 6, 1992 (see Docket No. FE 630187 OR).
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,
granted in part and that the Rent Administrator's order be, and the
same hereby is, modified in accordance with this order and opinion.
ISSUED:
JOSEPH A. D'AGOSTA
Acting Deputy Commissioner
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