STATE OF NEW YORK
DIVISION OF HOUSING AND COMMUNITY RENEWAL
OFFICE OF RENT ADMINISTRATION
92-31 UNION HALL STREET
JAMAICA, NY 11433
IN THE MATTER OF THE ADMINISTRATIVE ADMINISTRATIVE REVIEW
APPEAL OF DOCKET NO.: CI110141RO
Concerned Management Corp.,
DOCKET NO.: BI110495S
ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW
On September 9, 1988, the above-named petitioner-owner filed a
petition for administrative review (PAR) of an order issued on
August 8, 1988, by the Rent Administrator, concerning the housing
accommodation known as 61-51 B Springfield Boulevard, Bayside,
N.Y., Apartment B, wherein the Administrator determined that a
reduction in rent was warranted based upon a reduction in services.
The Rent Administrator also directed full restoration of services.
The Commissioner has reviewed all the evidence in the record and
has carefully considered that portion of the record relevant to the
issues raised by the administrative appeal.
The issue herein is whether the Rent Administrator properly reduced
the rent of Apartment B based upon a reduction in services.
On September 10, 1987, the tenant filed a complaint alleging that
the owner was not providing required services.
A DHCR inspection conducted on March 30, 1988, revealed that:
1. Refrigerator is defective. The freezer temperature was 14@
and could not go lower. The compartment is also smashed.
2. Bathtub is rotten and discolored.
The Administrator's order, appealed herein, was based on said
On appeal, the petitioner-owner asserted, in pertinent part, that
it did not receive a copy of the complaint and, therefore, could
not answer the tenant's allegations.
The petition was served on the tenant on October 24, 1988, and on
November 6, 1988, the tenant filed an answer to the petition
stating that the repairs were not made insofar as the replacement
refrigerator provided by the owner did not work.
After a careful consideration of the entire evidence of record the
Commissioner is of the opinion that the administrative appeal
should be denied.
Pursuant to Section 2523.4 (a) of the Rent Stabilization Code, a
tenant may apply to the Division of Housing and Community Renewal
(DHCR) for a reduction of the legal regulated rent to the level in
effect prior to the most recent guideline adjustment, and the DHCR
shall so reduce the rent for the period for which it is found that
the owner has failed to maintain required services.
Required services are defined in Section 2520.6 (r) to include
repairs and maintenance.
The record shows that a properly addressed Notice of Transmittal of
Tenant's Complaint was mailed to the owner on October 23, 1987.
Such notice was not returned to the Division by the United States
Post Office as undeliverable and it was proper to presume that the
notice was duly delivered in the normal course of business.
The Commissioner finds, therefore, that the petitioner having
failed to raise any issue whatsoever while the proceeding was
pending before the Rent Administrator, it may not now raise issues
for the first time on administrative appeal.
The Commissioner also finds that the Administrator properly based
his determination on the entire record, including the results of
the on-site physical inspection conducted on March 30, 1988, and
that pursuant to Section 2523.4 (a) of the Code, the Administrator
was authorized to reduce the rent upon determining that the owner
had failed to maintain services.
The Commissioner finds, therefore, that the owner has offered
insufficient reason to disturb the Rent Administrator's
The owner may file for restoration of the rent if the facts so
warrant. The owner will not be entitled to any increase in rent
until an application for rent restoration is filed and the
application is granted by the Rent Administrator.
The automatic stay of the retroactive rent abatement that resulted
by the filing of this petition is vacated upon issuance of this
order and opinion.
THEREFORE, in accordance with the provisions of the Rent
Stabilization Law and Code, it is
ORDERED, that this petition be, and the same hereby is, denied, and
that the Administrator's order be, and the same hereby is,
JOSEPH A. D'AGOSTA