OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                               JAMAICA, NEW YORK 11433
          APPEAL OF                               DOCKET NO.: 

                         GEORGE SEIMAN            RENT ADMINISTRATOR'S
                                                  DOCKET NO.:AG130002OM



          On September 1, 1987, the above named tenant filed a petition for 
          administrative review (PAR) of an order issued on July 31, 1987 by 
          a Rent Administrator concerning the housing accommodations known as 
          various apartments, 21-15 27th Street, Astoria, New York, wherein 
          the Administrator granted the owner's Major Capital Improvement  
          (MCI) rent increase application based upon the installation of a 
          new roof and waterproofing building-wide at a total claimed cost of 

          The Commissioner has reviewed all the evidence of record and has 
          carefully considered that portion of the record relevant to the 
          issues raised by the PAR.

          In his petition the tenant questions an apparent discrepancy 
          between the purported 1984 installation completion date appearing 
          on the owner's original application and the contract for the work 
          itself which is dated 1985.

          After careful consideration of the entire record, the Commissioner 
          is of the opinion that the petition should be granted and that the 
          Rent Administrator's order should be revoked.

          It has been the long established position of this Division (and of 
          the New York City Conciliation and Appeals Board, the agency 
          formerly charged with enforcing the rent stabilization laws) that 
          waterproofing by itself is a non-structural improvement which does 
          not qualify as an MCI rent increase. Accordingly, the Commissioner 
          finds that the Administrator improperly granted a rent increase for 
          the waterproofing work.

          Section 2528.4 of the Rent Stabilization Code and Policy Statement 
          90-9 state that an owner is required to file with this Division an 

          ADM. REV. DOCKET NO.: BI130150RT

          initial (1984) registration as well as annual rent registrations 
          for both the building and the individual apartments, and the 
          failure to do so shall bar an owner from applying for and 
          collecting a rent increase in excess of the legal regulated rent.  
          The filing of a late registration shall result in the prospective 
          elimination of such sanction.  In this regard, Division records 
          indicate that the subject premises has not been registered with 
          this Division for the years 1986, 1987, 1988, 1992 and 1993.  
          Accordingly, the Commissioner finds that the Administrator should 
          not have approved the owner's application. 

          Finally, the Commissioner notes that the owner's application 
          contains serious discrepancies and omissions: the contractor's 
          certification states that the contract was executed on August 25, 
          1984 and that the work began in October 1984 and was completed in 
          November 1984, but the underlying contract is dated August 25, 1985 
          and signed August 2, 1985; the contractor's signature on the 
          contract does not match the contractor's signature on the 
          certification or the waterproofing statement; the copy of check 
          #1305 is dated November 5, 1984, but endorsed by the bank on 
          October 7, 1984; and on the agency's  RA-79 supplement I form, the 
          question regarding whether a relationship existed between the owner 
          and contractor was left blank.

          THEREFORE, in accordance with the Rent and Eviction Regulations for 
          New York City, and the Rent Stabilization Law and Code, it is

          ORDERED, that this petition be, and the same hereby is, granted, 
          that the order of the Rent Administrator and the rent increase 
          provided for therein be, and the same hereby is revoked; and it is 

          ORDERED, that the owner refund to the tenants of rent controlled 
          apartments any excess rent collected as a result of this order,  
          within 30 days from the date of issuance hereof; and it is further 

          ORDERED, that as to tenants of rent stabilized apartments, the 
          owner credit any excess rent collected at the rate of 20% per month 
          commencing on the first rent payment date after issuance of this 
          order of the Commissioner until all overpayments have been 


                                                  LULA M. ANDERSON
                                                  Deputy Commissioner


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