FB 510209-RO
                                  STATE OF NEW YORK
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                               JAMAICA, NEW YORK 11433

          APPEAL OF                               DOCKET NO.:             
                                                  FB 510209-RO
                 TUNNEY REALTY CORPORATION,                    
                                                  RENT      ADMINISTRATOR'S
                                                  DOCKET NO.: 
                                  PETITIONER      EH 510496-S 


          On February 8, 1991, the above-named owner refiled a petition for 
          administrative review of an order issued on December 11, 1990, by 
          a Rent Administrator concerning the housing  accommodation  known
          as Apartment 2-B, 2038 Fifth Avenue, New York, 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 August 20, 1990, the subject tenant filed an application for a 
          rent reduction based on the owner's alleged failure  to  maintain
          services alleging, inter alia, leaking,  water-damaged  ceilings,
          and walls in the kitchen  and  bathroom,  and  roach  and  rodent

          On September 18, 1990, the owner  interposed  an  answer  to  the
          tenant's complaint wherein  it  alleged  in  substance  that  the
          tenant was denying access to the owner for the purpose of  effec-
          tuating repairs.

          On October  29,  1990,  a  physical  inspection  of  the  subject
          building was carried out by the Division of Housing and Community 
          Renewal (DHCR).  The inspector, in his  report,  noted  that  the
          complained of conditions were as alleged by the tenant.

          On December 11, 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 increase which commenced  before
          the effective date of the rent reduction. 

          In its petition for  administrative  review  the  owner  requests
          modification of the Rent Administrator's order alleging that  the
          tenant is refusing access to the apartment.

          FB 510209-RO

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

          The Commissioner notes that, apart from t e  owner's  own  state-
          ment, the owner has offered no evidence (e.g. copies of certified 
          letters to the tenant requesting access, statemen s  of  contrac-
          tors that access was refused, letters from the tenant, etc...) to 
          substantiate its contention that the tenant  is  refusing  access
          for the purpose of the effectuation of repairs.  Accordingly, the 
          owner has offered insufficient reason to disturb the Rent  Admin-
          istrator's order.

          Pursuant to Section 2523.4(a) of the Rent Stabilization Code,

                    A tenant may apply to the DCHR for a reduc-
                    tion of the legal regulated rent to the level 
                    in effect prior to the most recent guidelines 
                    adjustment, and the DHCR shall so reduce the 
                    rent for the period for which it is found 
                    that the owner has failed to maintain ser- 

          Required services are defined in  Section  2520.6(r)  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 October  29,  1990,  and
          that pursuant to Section 2523.4(a) of the Code, the administrator 
          was mandated to reduce the rent upon determining that  the  owner
          had failed to maintain services.

          This Order and Opinion is issued without prejudice on 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  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.


                                                ELLIOT SANDER
                                                Deputy Commissioner


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