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 ADMINISTRATIVE REVIEW
IN THE MATTER OF THE ADMINISTRATIVE DOCKET NO.: BH410297RT
APPEAL OF
Jose Luciano &
Various Tenants
of 229 W. 101 St.
New York, NY
RENT ADMINISTRATOR'S
PETITIONER DOCKET NO: LCS000658OM
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ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW
The above-named petitioner-tenants timely filed a Petition for
Administrative Review against an order issued on July 28,1987 by
the Rent Administrator (Gertz Plaza) concerning the housing
accommodations known as 229 West 101 Street, New York, New York,
various apartments, wherein the Administrator granted, in part, the
owner's application and authorized an increase predicated on the
installation of a new boiler/burner and new mailboxes at a total
approved cost of $30,590.00. Disallowed by the Administrator were
claimed costs of $27, 390.00 upon findings that apartment splitting
and steel stairs did not qualify as major capital improvements
(MCIs) and that the cost of the entrance door had not been properly
substantiated by supporting documentation.
On appeal, the tenants request reversal of the Administrator's
order and contend, in substance, that the installations of a new
burner and mailboxes were not improvements but were done because
the old ones were broken beyond repair; that the mailboxes were not
relocated but are in the same place that they were originally; that
all the work was done due to a court order; and that of all the
violations that the court ordered the landlord to fix, some still
have not been done, like the front steps of the building entrance
which instead of being replaced have only been patched and are
cracking again.
After a careful consideration of the entire record, the
Commissioner is of the opinion that this petition should be denied.
Rent increases for major capital improvements are authorized by
Section 2202.4 of the Rent and Eviction Regulations for rent
Adm. Rev. Docket No. BH410297RT
controlled apartments and Section 2522.4 of the Rent Stabilization
Code for rent stabilized apartments. Under rent control, an
increase is warranted where there has been since July 1, 1970, a
major capital improvement required for the operation, preservation,
or maintenance of the structure. Under (rent stabilization, the
improvement must generally be building-wide; depreciable under the
Internal Revenue Code, other than for ordinary repairs; required
for the operation, preservation, and maintenance of the structure;
and replace an item whose useful life has expired. The item for
which a MCI rent increase was granted were properly found to meet
the definitional requirements of a major capital improvement.
Regarding the tenants' allegation that the new mailboxes were not
relocated, the Commissioner notes that the tenants failed to raise
this objection while the owner's application was pending before the
Rent Administrator. Accordingly, the Commissioner finds pursuant to
Section 2529.6 of the Rent Stabilization Code that this issue may
not now be considered herein.
Turning to the tenants' contentions that the work done was due to
a court order and that only some of the violations have been
repaired, it is the recognized position of the Division that the
fact work was performed to comply with a court order does not
constitute a bar to an MCI rent increase, if the owner otherwise so
qualifies. A review of Division's records does not support the
tenants contention with respect to the removal of such court order
violations nor have the tenants submitted any evidence with respect
thereto. Moreover, there are no rent reduction orders based on the
owner's failure to maintain services of a building-wide nature
outstanding against the subject premises.
This determination is without prejudice to the right of the tenants
filing an application with the Division for a rent reduction based
upon a decrease in services or filing appropriate complaints with
the Division alleging that the owner is not maintaining all
required services, if the facts so warrant.
THEREFORE, in accordance with the Rent Stabilization Law and Code
and Rent and Eviction Regulations, it is
ORDERED, that this petition be, and the same hereby is denied; and
that the Rent Administrator's order be, and the same hereby is
affirmed.
ISSUED:
JOSEPH A. D'AGOSTA
Deputy Commissioner
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