Adm. Rev. Docket No: BI 630494-RT
                                 STATE OF NEW YORK
                           OFFICE OF RENT ADMINISTRATION
                                    GERTZ PLAZA
                              92-31 UNION HALL STREET
                              JAMAICA, NEW YORK 11433

        APPEAL OF                              DOCKET NO.: BI 630494-RT  
             GLADYS VELAZQUEZ,                 DRO DOCKET NO.: AD 630113-OM 
                              PETITIONER    :  Premises: 1180 GERARD AVE.
        ------------------------------------X  APT. S-5, BRONX, N.Y.    

        The above-named tenant filed a petition for administrative review of 
        an order issued concerning the housing  accommodations  relating  to
        the above described docket number.        

        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 petition.

        The owner commenced this proceeding by filing an application  for  a
        rent increase based on various major capital improvement ,  to  wit-
        new boiler/burner, new roof.
        Each tenant was served with a copy of the  owner's  application  and
        was afforded an opportunity to  review  it  and  comment  thereupon.
        The petitioner-tenant did not  file  an  objection  to  the  owner's
        application although afforded the opportunity to do so.  The  record
        discloses that various other tenants filed objections to the owner's 

        Thereafter, the Rent  Administrator  issued  the  order  here  under
        review finding that the installation qualified as  a  major  capital
        improvement, determining that  the  application  complied  with  the
        relevant  laws   and   regulations   based   upon   the   supporting
        documentation submitted by the owner, and allowing appropriate  rent

        In its petition for administrative review, the tenant  alleges  that
        the owner will not repair broken window, exposed  wires  in  kitchen
        and this will be the second increase within one year.

        After careful consideration the Commissioner is of the opinion  that
        this petition should be denied.

        Adm. Rev. Docket No: BI 630494-RT
        Rent increases for major  capital  improvements  are  authorized  by
        Section 2202.4  of  the  Rent  and  Eviction  Regulations  for  rent
        controlled apartments and Section 2522.4 of the  Rent  Stabilization
        law 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 Commissioner will not  entertain  the  tenant's  unsubstantiated
        defense raised for the first time on  appeal,  even  though  it  was
        afforded  an  opportunity  to   file   an   objection   before   the
        Administrator.  The record in the instant case  indicates  that  the
        owner correctly complied with application  procedures  for  a  major
        capital improvement and the Rent Administrator properly computed the 
        appropriate rent increases.  The tenant has not established that the 
        increase should be revoked.

        The tenant's reference of more than one increase is  unspecific  and
        this order is issued without prejudice to the tenant's right to file 
        a rent overcharge complaint, if the facts so warrant.

        This order is issued without prejudice to the tenants right to  file
        an application  for  decrease  in  services,  should  the  facts  so

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


                                        ELLIOT SANDER
                                        Deputy Commissioner


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