ADM. REVIEW DOCKET NO.: EH 710026-RO

                                  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

          ------------------------------------X 
          IN THE MATTER OF THE ADMINISTRATIVE :  ADMINISTRATIVE REVIEW
          APPEAL OF                              DOCKET NO. EH 710026-RO
                                                
                                              :  DISTRICT RENT
                                                 ADMINISTRATOR'S DOCKET  NO.
                                                 EE 710038-S 
                ASHLAR INCORPORATED                                  

                                              
                                 PETITIONER   :  
          ------------------------------------X 

            ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW


               On August 6, 1990, the above-named owner filed a petition for 
          administrative review of an order issued on July  30,  1990  by  a
          District Rent Administrator concerning the  housing  accommodation
          known as Apartment No. C9, 65 Lincoln Blvd., Long Beach, New York, 
          wherein rent was reduced due to a diminution of services. 

               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 for review.  

               On May 10, 1990 the tenant filed an application  for  a  rent
          reduction  based  on  the  owner's  failure  to  maintain  certain
          services, to wit:  a  faulty  elevator,  intermittent  hot  water,
          peeling and scaling paint on the  interior  bedroom  walls,  water
          leakage through the exterior bedroom wall, and the  apartment  had
          not  been  painted  in  five  and  one-half  years.   The   tenant
          submitted,  as  documentation  of  his  claim,  a  Memorandum   of
          Violations issued  by  the  City  of  Long  Beach,  Department  of
          Buildings and Property Conservation on May 4, 1990 all relating to 
          the conditions of the interior bedroom walls.   

               On June 22,  1990  the  Division  of  Housing  and  Community
          Renewal (DHCR) received the owner's  answer.   The  owner  alleged
          that the repairs were begun during the week of May  21,  1990  and
          that on May 29, 1990 the tenant  requested  that  the  repairs  be
          halted until the tenant returned from vacation. 

               The tenant, in his reply, stated that he had taken three days 
          off from work to accommodate the repairmen, but the repairmen were 
          ill-equipped and made no significant inroads in the repairs.




               On  July  6,  1990  a  physical  inspection  of  the  subject
          apartment was carried out by DHCR.  The inspector, in his  report,






          ADM. REVIEW DOCKET NO.: EH 710026-RO
          noted that both the  interior  and  exterior  bedroom  walls  were
          repaired in an unworkmanlike manner, and that ceilings  and  walls
          throughout the apartment were in need of scraping, plastering  and
          painting. 

               On July 30, 1990 the Rent Administrator issued the order here 
          under review finding that a diminution of  services  had  occurred
          and reducing the tenant's rent to the level  in  effect  prior  to
          the last rent  guideline  increases  which  commenced  before  the
          effective date of the rent reduction.

               In its petition for administrative review, the owner requests 
          revocation of the Administrator's order.  The owner  alleges,  and
          submits documentation, that the  City  of  Long  Beach  violations
          issued on May 4, 1990 were deemed corrected on June 21, 1990.  The 
          owner also notes that the Administrator's order does  not  include
          the date that the DHCR inspection took place.  It alleges that the 
          City of Long Beach corrections were sufficient to indicate a  good
          faith effort to correct all service problems.   

               In his answer to the petition, the tenant states, among other 
          things, that  the  rent  reduction  ordered  by  DHCR  related  to
          diminutions in services over and above those cited in the City  of
          Long Beach's Memorandum of Violations.  

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

                The record indicates that the number of  service  violations
          listed on the tenant's original complaint and reported in the DHCR 
          physical inspection was greater  than  the  number  of  violations
          considered by the City of Long Beach.  Moreover,  the  nature  and
          scope of the two inspection reports were different.  The  City  of
          Long Beach  inspection  was  extremely  specific  and  limited  to
          individual cracks and peeling on the interior  bedroom  wall.  The
          later DHCR inspection was broader  and  more  generic.   The  DHCR
          inspector  cited  poor  workmanship,  uneven  walls,  and  cracks.
          Accordingly, the  Commissioner  finds  that  the  service  problem
          concerning the  interior  bedroom  wall  was  not  corrected.   In
          addition, the Commissioner notes that the existence of the service 
          problems of leak damage on the exterior bedroom walls and the need 
          for plastering, scraping and painting throughout the apartment are 
          not disputed by  the  owner.   It  is  further  noted  that  these
          reductions, in  and  of  themselves,  are  sufficient  to  warrant
          affirmation of the Administrator's order. 

               Pursuant  to  Section  2503.4  of   the   Tenant   Protection
          Regulations:






                    A tenant may apply to the Division for a
                    reduction of the legal regulated rent to 
                    the level in effect prior to the most 
                    recent adjustment under Section 2502.5(c)(1)
                    and (2), and the Division may so reduce the 






          ADM. REVIEW DOCKET NO.: EH 710026-RO
                    rent where it is found that the owner has
                    failed to maintain the services.

               Essential services are defined in Section 2500.3  to  include
          repairs and maintenance.

               The Commissioner finds that the Administrator properly  based
          his determination on the entire record, including the  results  of
          the on-site physical inspection conducted on July 6, 1990 and that 
          pursuant  to   Section   2503.4(a)   of   the   Regulations,   the
          Administrator was correct to reduce the rent upon determining that 
          the owner had failed to maintain services. 

               This order and opinion is issued  without  prejudice  to  the
          owner's rights as they  may  pertain  to  an  application  to  the
          Division for a restoration of rent based upon the  restoration  of
          services.

               THEREFORE,  in   accordance   with   the   Emergency   Tenant
          Protection Act and the Tenant Protection Regulations, 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:






                                                                        
                                          ELLIOT SANDER
                                          Deputy Commissioner



                                          


























          ADM. REVIEW DOCKET NO.: EH 710026-RO










    

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