BL 410311-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
----------------------------------x
IN THE MATTER OF THE ADMINISTRATIVE ADMINISTRATIVE REVIEW
APPEAL OF DOCKET NO.:
BL 410311-RO;
NICOLA BRUSCO,
RENT ADMINISTRATOR'S
DOCKET NO.:
PETITIONER BG 410080-S
----------------------------------x
ORDER AND OPINION GRANTING PETITION FOR ADMINISTRATIVE REVIEW
On December 4, 1987, the above-named petitioner-owner timely re-
filed a petition for administrative review of an order issued on
October 16, 1987, by the Rent Administrator, concerning the housing
accommodation known as Apt. 2-B, 32 West 73rd Street, New York,
New York, wherein the Administrator established the tenant's rent
at $1.00 per month as of May 17, 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.
This proceeding was commenced on July 17, 1987 when the tenant
filed a complaint alleging that an accidental fire on May 12, 1987
destroyed one entire room of the apartment which, according to the
building inspectors, must now be rebuilt. The tenant sought a rent
reduction due to the loss of space.
In answer to the complaint, the owner conceded that a fire had
damaged one room which the owner planned to repair as soon as the
insurance company gave its permission.
A physical inspection of the building by a DHCR inspector occurred
on September 2, 1987. The inspector reported that a second bedroom
had been completely demolished by a fire but that the tenant
remained in occupancy; that gas, electricity, and hot and cold
water were being provided; and that all appliances were in good
working order.
BL 410311-RO
The Administrator's order established the rent at $1.00 per month
pursuant to Section 2522.6 of the Rent Stabilization Code and
stated that based on the owner's failure to comply with the
requirements of Section 2522.4(d), the legal regulated rent of
$1.00 was effective as of May 12, 1987, the date the fire caused
the tenant to vacate involuntarily.
In the petition for administrative review, the owner asserts that
reducing the rent from $384.59 to $1.00 per month is inappropriate
when only one bedroom, amounting to 20% of the apartment was
damaged and the tenant did not vacate. The owner stated that he
had reached an amicable settlement with the tenant and enclosed a
statement signed by the tenant on November 9, 1987 withdrawing the
complaint.
In an answer to the petition, dated February 25, 1988, the tenant
stated that one room had been totally destroyed and no repairs had
yet to be commenced. The tenant asserted that an opening in the
outside wall, due to the fire, had not been sealed, making the
apartment very cold and insecure. The tenant has not vacated only
because she cannot find another apartment but on very cold days,
she stays with neighbors or friends. She said she does not wish to
withdraw the complaint and signed the withdrawal before the weather
turned cold.
After careful consideration of the evidence of record, the
Commissioner is of the opinion that the petition should be granted.
The sections of the Rent Stabilization Code cited in the Adminis-
trator's order [2522.6 and 2522.4(d)] are applicable to the
situation where a tenant is forced to vacate an apartment because
it is legally uninhabitable. The rent is established at $1.00 in
order to maintain the landlord/tenant relationship between the
parties until the tenant can resume possession. In the instance
case, it is undisputed that the tenant continued to remain in
occupancy despite the destruction of one room. In such circum-
stances, establishing the rent at $1.00 per month is not warranted.
The applicable code sections are 2523.4 and 2520.6(r). Section
2523.4 requires DHCR to order a rent reduction, upon application by
a tenant, to the level in effect prior to the most recent guide-
lines adjustment, where it is found that the owner has failed to
maintain required services. Required services are defined by
Section 2520.6(r) as that space and those services provided or
required to be provided on the applicable base date. Based on the
undisputed facts of this case that one room of the subject apart-
ment was destroyed by fire, the rent should be reduced to the level
in effect prior to the most recent guidelines adjustment, effective
May 12, 1987 the date of the fire.
BL 410311-RO
It is noted that the Division's records reveal that the owner's
rent restoration application (CD 410156-OR) was granted December
29, 1988 and this Order and Opinion has no effect on that
determination.
If the tenant owes rent arrears as a result of this order the
tenant should be permitted to pay such arrears in twelve equal
monthly installments.
THEREFORE, in accordance with the Rent Stabilization Law and Code,
it is,
ORDERED, that this petition be, and the same hereby is, granted,
and that the Rent Administrator's order be, and the same hereby is,
modified to order a reduction in the legal regulated rent to the
level in effect prior to the last guidelines adjustment which
occurred before May 12, 1987.
ISSUED:
JOSEPH A. D'AGOSTA
Acting Deputy Commissioner
|