DL 610253 RT
                                  STATE OF NEW YORK
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                               JAMAICA, NEW YORK 11433

          APPEAL OF                              DOCKET NO.: DL 610253 RT  
             ALEX SPIEGEL,                       DRO DOCKET NO.: BG 610206-OM 
                                                 Premises: 2960 Grand Concourse
                                 PETITIONER       Apt. 2B, Bronx, New York

          The above-named tenant timely 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 issues raised by the petition.

          The owner commenced the proceeding below by filing an  application
          for a rent increase based on a major capital improvements, to wit 
          incinerator upgrading.
          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.

          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  documenta
          tion submitted by the owner,  and  allowing  appropriate  rent  in

          In his petition for administrative  review,  the  tenant  requests
          reversal of the Rent Administrator's order and asserts,  that  the
          owner increased his rent by $483.00 over the last  tenant's  rent,
          that he was required to carpet the apartment, that he  contributed
          money towards the painting of the apartment, and  that  there  was
          various decrease in services within the bathroom.

          The owner interposed an answer to the tenant's petition contending 
          in pertinent part, that the  tenant  has  not  made  any  relevant
          objection to the MCI order.

          DL 610253 RT

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

          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 
          Code 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,  preserva
          tion, 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  assertions
          raised for the first time on appeal.  The tenant was  afforded  an
          opportunity to file an objection before  the  Administrator.   The
          record in the instant case  indicates  that  the  owner  correctly
          complied with applicable procedures for a  major  capital  improve
          ment and the Rent Administrator properly computed the  appropriate
          rent increases.  The tenant has not established that the  increase
          should be revoked.

          This order is issued without prejudice to  the  tenants  right  to
          file an application for a rent reduction based upon a decrease  in
          services, should the facts so warrant.

          In regard to the tenant's claim that the owner  is  collecting  an
          improper rent, the tenant is advised that the owner is liable  for
          damages pursuant to a rent overcharge complaint  filed  with  this
          Division.  However, such collection does not constitute  an  error
          in the Administrator's order here under review.

          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,


                                          JOSEPH A. D'AGOSTA
                                          Deputy Commissioner

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