GA530172RO
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.: GA530172RO
RENT ADMINISTRATOR'S
DOCKET NO.: DD530155B
944 Park Avenue Corp.
PETITIONER
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ORDER AND OPINION GRANTING PETITION FOR ADMINISTRATIVE REVIEW, IN
PART, REVOKING ADMINISTRATOR'S ORDER AND REMANDING PROCEEDING FOR
FURTHER CONSIDERATION
On January 15, 1992, the above-named petitioner, the current
owner, filed a petition for administrative review of an order
issued on December 18, 1991, by the Rent Administrator, concerning
the housing accommodation known as 944 Park Avenue, New York, NY
wherein the Administrator determined the tenants' complaint of a
reduction of certain building-wide services.
The challenged order reduced the tenants' rents based on a
finding that the owner had decreased or eliminated storage space
services. The tenants' complaint asserted that the prior owner had
provided a locked storage room approximately 15 feet by 10 feet
available to all tenants, whether or not some tenants chose to use
it. The prior owner conceded that "there was a small space in the
basement where some tenants from time to time, left various
possessions" but contended that the "ability to store these
possessions was never a service to each and every tenant occupying
the premises." Other allegations of reduced services were
dismissed on various grounds.
GA530172RO
In the appeal, the present owner asserts, as alleged below by
a previous owner, that storage room was never a required service
provided by the owner. Conceding no personal knowledge as to
whether a storage room was provided, the owner acknowledges that
"from conversation with the doorman, such services were provided as
a mere courtesy," but were discontinued "approximately ten years".
The owner also argues that storage space is not contemplated as a
required service in the tenants' leases, and contends that storage
space may not be considered a required service because it was not
registered on the initial 1984 services registration, for which the
tenants failed to file objections. The owner also argues that the
Administrator's failure to provide the current owner notice of the
complaint after the current owner registered constitutes a denial
of due process.
The owner's appeal was served on the tenants on March 17,
1992, who interposed responses on May 1, 1992.
Section 2520.6(r) defines required services as that space and
those services furnished or required to be furnished to the
continuously stabilized tenants on May 31, 1968, and all additional
services provided or required to be provided thereafter. The base
date for essential services for rent controlled tenants under
Section 2201.2 of Rent and Eviction Regulation is April 20, 1962.
Accepting the fact, as claimed by the tenants and acknowledged
by the owners, that storage space services provided at one time
were greatly reduced or eliminated as long ago as 1982, would not
exempt the owner from the obligation to provide the service. The
owners have conceded, below and on appeal, that the services were
provided in some fashion before 1982.
The owner is in error in raising the initial 1984 building
services registration as a bar to the complaint because the tenants
failed to object to the owner's registration that did not list the
storage space. The registration did not create a new base date for
services, and the tenants' failure to object did not act as a bar
to subsequent complaints of decreased service. Tenants can assert
reductions of base date services at any time.
Whether or not storage space was listed in the tenants' leases
is also not relevant. Required services are not confined to
services set forth in the leases. It is the actual services
provided on the base date or thereafter, not lease provisions, that
control.
GA530172RO
The Commissioner finds the current owner, as the successor in
interest, to be obligated to provided base date services as was the
former owner, who was notified of the complaint, and filed a number
of responses. This is true whether or not the former owner
disclosed the existence of the Administrator's proceedings to his
successors.
The current owner filed his first annual registration on
August 7, 1990. The owner is correct that the Administrator's
failure to provide the current owner with notice of the complaint
constituted a denial of due process. Consequently, the
Administrator's order must be revoked, the proceeding reopened and
the matter remanded to the Administrator to permit the current
owner an opportunity to be served with the record to date, to file
an answer, and to join issue as to the level of services provided,
subject to the Commissioner's findings herein. In addition to the
record to date, the parties shall be afforded the opportunity to
submit additional evidence and to comment thereon. If necessary
for a determination, a hearing may be scheduled.
THEREFORE, in accordance with the Rent and Eviction
Regulations for New York City, the City Rent Control Law, and the
Rent Stabilization Law and Code, it is,
ORDERED, that this petition be, and the same hereby is,
granted, in part, that the Rent Administrator's order be, and the
same hereby is, revoked, and that the proceedings be, and that same
hereby are, remanded to the Administrator for further consideration
in accordance with the above.
ISSUED:
___________________
Joseph A. D'Agosta
Deputy Commissioner
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