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

          APPEAL OF                               DOCKET NO.:              
                    MARIE WINKLER,   
                                                  RENT ADMINISTRATOR'S
                                                  DOCKET NO.:
                                   PETITIONER     BF410125OR


          On March 21, 1988, the above-named petitioner-tenant filed a 
          petition for administrative review (PAR) of an order issued on 
          February 17, 1988, by the Rent Administrator, concerning the 
          housing accommodation known as 300 East 51st Street, Apartment
          12-B, New York, New York, wherein the Administrator determined that 
          the conditions giving rise to a rent reduction under order dated 
          January 31, 1986, had been corrected and services restored, and 
          ordered a rent restoration.

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

          This proceeding was commenced by the filing of an application to 
          restore rent dated June 23, 1987. 

          A copy of the owner's application was served on the tenant who 
          filed answers dated June 28 and September 2, 1987.  The tenant 
          opposed the owner's application on the basis that the size of the 
          storage area in the basement has been diminished by the installa- 
          tion of gas service equipment, that the storage area remaining 
          cannot legally be used as storage space, and that there are 
          discrepancies in the record as to the actual size of the storage 

          Thereafter, on November 5, 1987 and January 5, 1988, inspections of 
          the premises disclosed that the tenant's windows had been repaired 
          and described the size and type of storage space available for the 
          tenants in the basement, resulting in the order herein appealed.


          In the PAR the tenant contends that part of the storage space in 
          the basement that was added to compensate for the part lost to the 
          gas installation, is a locker room for employees and is not 
          comparable to the former space.  The tenant further contends that 
          the part of the original storage area remaining after the gas 
          installation cannot legally be used for storage and that it is a 
          hazard to do so.  The tenant requests a hearing to verify disputed 
          facts and law.  The tenant raises no issue with respect to the 
          apartment windows.

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

          In order for a rent restoration application to be granted, it must 
          be established that the conditions cited in the rent reduction 
          order have been corrected.  In this case, the rent reduction order 
          described the services not being maintained as the discontinuance 
          of basement storage space and repairs needed to the apartment 

          Setting aside the finding as to the apartment windows which have 
          been serviced and which provide no issue in this administrative 
          review proceeding, the only relevant inquiry in this proceeding is 
          whether comparable basement storage space has been restored.

          In a compliance proceeding initiated after the rent reduction order 
          was issued, an inspection conducted by a Division of Housing and 
          Community Renewal (DHCR) inspector confirmed that the space lost in 
          the gas conversion had been restored and the owner was directed to 
          apply for restoration.

          The inspection report, which included a diagram of the storage area 
          with measurements confirmed that there are now two rooms for 
          storage, that the second room compensates for the space lost in the 
          first room due to construction, a space which according to the 
          diagram is 7 foot square.  Another inspection conducted after the 
          application to restore rent was filed also confirms these findings 
          as well as the fact that the second room is also used by building 
          employees as a locker room.

          The Commissioner rejects the tenant's contention that the addi- 
          tional room is not comparable storage space as the record discloses 
          that at least two inspections have determined that the new space 
          exceeds in area the space lost to the gas installation.


          The tenant's contention that the remaining space in the first 
          storage room cannot be legally used as storage is based on a 
          statement of the owner several years earlier that after the gas 
          installation,  the owner was informed by utility and/or municipal 
          workers that the remaining or adjacent space could only by used for 
          gas apparatus.  The tenant merely challenges the owner on his own 
          statement that after saying in prior proceedings that the space 
          could not be used, is doing just that.  The tenant submits no 
          evidence on this issue and there is no evidence in the record that 
          the stated restriction applies to other than the 7 x 7 ft. area 
          concluded by the Division's inspection as being no longer available 
          for storage.

          There is no requirement in applicable law which requires that a 
          hearing be conducted before an order of this type can be issued.

          The Commissioner finds that the Administrator's determination was 
          properly based on the entire record including the results of on- 
          site physical inspections and that the order hereunder review was 
          correctly issued and is affirmed.

          THEREFORE, in accordance with the Rent Stabilization Law and Code 
          and the Emergency Tenant Protection Act of 1974, 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 


                                                JOSEPH A. D'AGOSTA
                                                Deputy Commissioner          


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