FG 110484-RT
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.:
FG 110484-RT
ALVARO CASAS,
RENT ADMINISTRATOR'S
DOCKET NO.:
PETITIONER CJ 130047-OM
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ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW
On July 30, 1991, the above-named tenant, refiled a petition for
administrative review of an order issued on May 16, 1991, by a
Rent Administrator concerning the housing accommodation, known
as Apartment 2-K, 34-34 77th Street, Jackson Heights, New York,
wherein the Rent Administrator determined that the owner was
entitled to a rent increase based on a major capital improvement
(MCI).
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.
The owner commenced this proceeding on October 17, 1988 by
filing an application for a rent increase based on a major
capital improvement, to wit - windows at a total cost of
$114,660.00.
On January 31, 1989, the Division of Housing and Community
Renewal (DHCR) served each tenant with a copy of the application
and afforded the tenants the opportunity to review it and comment
thereupon.
The tenant did not file an objection to the owner's application
although afforded the opportunity to do so.
On May 16, 1991, 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
documentation submitted by the owner, and allowing appropriate
rent increases for rent controll d and rent stabilized apart-
ments.
In his petition for administrative review, the tenant requests
FG 110484-RT
reversal of the Rent Administrator's order and alleges that the
window cost was excessive and that the rent increase should not
be permanent.
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 2522.4 of the Rent Stabilization Code for rent stabilized
apartments. Under rent stabilization, the improvement must gen-
erally be building-wide; depreciable under the Internal Revenue
Code, other than for ordinary repairs; required for the opera-
tion, preservation, and maintenance of the structure; and replace
an item whose useful life has expired.
The Commissioner notes that the tenant did not interpose any
objections to the owner's application when this proceeding was
pending before the Rent Administrator although he was afforded
the opportunity to do so. Accordingly, the objections raised
now for the first time on administrative appeal may not, pursuant
to Section 2529.6 of the Rent Stabilization Code, be considered
herein.
The record in the instant case indicates that the owner correctly
complied with the application procedures for a major capital
improvement and the Rent Administrator properly computed the
appropriate rent increases. The tenant has not established that
the increase should be revoked.
THEREFORE, in accordance with the Rent Stabilization Law and
Code, and the Rent and Eviction 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
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