CH130036RO
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
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IN THE MATTER OF THE ADMINISTRATIVE ADMINISTRATIVE REVIEW
APPEAL OF DOCKET NO.: CH130036RO
JAIRAJ ASSOCIATES RENT
ADMINISTRATOR'S DOCKET
NO.: BH110175B
PETITIONER
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ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW
On August 8, 1988 the above named petitioner-owner timely
refiled a Petition for Administrative Review against an order of
the Rent Administrator issued on April 13, 1988. The order
concerned the housing accommodations located at 88-05 Merrick
Blvd., Jamaica, N.Y The Administrator directed restoration of
services and ordered a rent reduction for failure to maintain
required services.
The Commissioner has reviewed the record and carefully
considered that portion relevant to the issues raised by this
appeal.
This proceeding was commenced on August 28, 1987 when 27
tenants of this 91 unit building joined in filing a Statement of
Complaint of Decrease in Building-Wide Services wherein they
alleged, in sum, that the owner was not maintaining certain
required building-wide services.
The owner was served with a copy of the complaint and afforded
an opportunity to respond. The owner filed a response on November
12, 1987 and stated, in sum, that it was maintaining required
services or that it had investigated the tenants' complaints and
made the required repairs.
The Administrator ordered a physical inspection of the subject
building. The inspection was conducted on January 26, 1988. The
building was reinspected on March 1, 1988. The inspections
revealed the following:
1. Inoperative vestibule door lock,
2. South roof door loose on hinges,
CH130036RO
3. Public area floors and walls are dirty,
4. Furniture and debris stored in laundry area
creating a fire hazard,
5. Inadequate rear door lock; fire escape obstruction,
6. Defective roof resulting in leaks.
The Administrator issued the order being appealed on
April 13, 1988 and ordered a rent reduction of an amount equal to
the percentage of the most recent guidelines adjustment for leases
commencing prior to December 1, 1987 based on the inspector's
reports.
On appeal the owner states that it was denied due process by
the Administrator's failure to give notice of the inspections or a
copy of the inspector's reports. The owner also argues that the
conditions cited in the order being appealed are too minor to
warrant a rent reduction and that only the affected tenants should
be entitled to such relief. The petition was served on the tenants
on December 5, 1988.
Two tenants, one of whom claiming to be representing all other
tenants, filed responses to the petition and stated, in sum, that
the petition should be denied and the order being appealed should
be affirmed.
After careful review of the evidence in the record, the
Commissioner is of the opinion that the petition should be denied.
Pursuant to Section 2523.4 of the Rent Stabilization Code,
tenants may apply to the DHCR for a rent reduction based on failure
to maintain required services and the Administrator shall reduce
the rent upon finding that such services have not been maintained.
The Code defines required services to be those services the owner
was required to maintain on the applicable base date including
repairs and maintenance.
With regard to the owner's argument that it was entitled to
notice of the above described inspections as well as a copy of the
inspector's reports, the Commissioner has consistently held that
the filing of the complaint puts the owner on notice of the
existence of the conditions and the need to investigate and make
repairs. The Courts have upheld this policy (see Empress Manor
Apts. v. DHCR 538 N.Y.S.2d 49 [2nd Dept., 1989]). Furthermore, the
owner's response to the complaint stated that the owner had been
notified and had made the requisite investigation and repairs.
The Commissioner finds that the Administrator based this
CH130036RO
determination on the entire record including the results of the on
site physical inspections described above. The owner has not
rebutted the inspector's reports and the owner's statement that the
cited conditions are too trivial to warrant a rent reduction is
without merit in view of the Court's ruling in Tenants of Hyde Park
Gardens v. DHCR 140 A.D.2d 351, 527 N.Y.S.2d 841 (2nd Dept., 1988),
affirmed 73 N.Y.2d 988, 541 N.Y.S.2d 345 (1989). The Commissioner
also rejects the defense that only affected tenants should be
entitled to a rent reduction. In a building-wide proceeding, all
tenants who join in filing the complaint are deemed to be affected
by a decrease in building-wide services with few exceptions not
relevant here. The order being appealed is affirmed.
The automatic stay of the retroactive rent abatement which
resulted from the filing of this petition for administrative review
is vacated upon issuance of this order and opinion. The
Commissioner notes that the owner's rent restoration application
(Docket No. CD110182OR) was granted on February 16, 1989 with an
effective date of September 1, 1988.
THEREFORE, pursuant to the Rent Stabilization Law and Code, 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:
LULA M. ANDERSON
Deputy Commissioner
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