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

          APPEAL OF                               DOCKET NO.:   
                 ELLEN & MARK TELZER,                  
                                                  RENT ADMINISTRATOR'S      
                                                  DOCKET NO.: 
                                  PETITIONER      BC220119S 


            On December 14, 1987, the above-named petitioner-tenant filed a 
            petition for administrative review of an order issued on November 
            13, 1987, by the Rent Administrator, concerning the housing 
            accommodation known as 2 Grace Court, Brooklyn, New York, apart- 
            ment 6-N, wherein the Administrator determined that the Maximum 
            Legal Rent for the subject apartment should be reduced by $11.00, 
            plus 10% of the Maximum Legal Rent per month, effective on the 
            first rent payment day following the issue date of the Rent 
            Administrator's order, based upon a diminution of services.  The 
            Rent Administrator's order was based upon an inspection held on 
            October 5, 1987.

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

            The issue herein is whether the Rent Administrator properly reduced 
            the rent of the subject apartment.

            On appeal, the petitioner-tenant asserts that the Rent Adminis- 
            trator erred by reducing the rent of the subject apartment by 
            $11.00, plus 10% of the Maximum Legal Rent per month but should 
            have reduced the rent to the level in effect prior to the last rent 
            guideline increase, which commenced before the effective date of 
            the order, because the subject apartment is a rent-stabilized and 
            not a rent-controlled apartment.

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


            A review of the Division's records reveals that the subject 
            apartment is a rent-stabilized apartment as alleged by the 

            Accordingly, the Commissioner finds that the Rent Administrator's 
            order of November 13, 1987, must be amended to reduce the rent of 
            the subject apartment to the level in effect prior to the last rent 
            guideline increase, which commenced before the effective date of 
            the Rent Administrator's order.

            In the instant case, the tenant filed the complaint on March 6, 
            1987 and the complaint was sent to the owner on March 18, 1987.  
            Consequently, the effective date of the Rent Administrator's order 
            is April 1, 1987, which is the first rent payment date following 
            the filing of the complaint.

            This Order and Opinion is issued without prejudice to the owner's 
            right to file an application with the DHCR for restoration of the 
            rent based upon restoration of services if the facts so warrant.

            THEREFORE, in accordance with the provisions of the Rent Stabili- 
            zation Law and Code, it is,

            ORDERED, that this administrative appeal be, and the same hereby 
            is, granted and that the Rent Administrator's order be, and the 
            same hereby is, amended to reduce the rent to the level in effect 
            prior to the last rent guideline increase, which 
            commenced before the effective date of the order, as provided 
            hereinabove.  The order of the Rent Administrator is hereby 
            affirmed in all other respects.


                                               JOSEPH A. D'AGOSTA
                                               Deputy Commissioner


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