GF420068RO

                                  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.: GF420068RO
                                                  
          FRAN PEARL EQUITIES CORP.               RENT
                                                  ADMINISTRATOR'S DOCKET 
                                                  NO.: ED420726S
                                  PETITIONER            
          ----------------------------------x


            ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW
                                          
               On June 10, 1992 the above named petitioner-owner filed a 
          Petition for Administrative Review against an order of the Rent 
          Administrator issued May 6, 1992. The order concerned housing 
          accommodations known as Apt 2B located at 710 Amsterdam Ave., New 
          York, N.Y.  The Administrator ordered a $15.00 per month rent 
          reduction for failure to maintain required services.  

               The Commissioner has reviewed the record and carefully 
          considered that portion relevant to the issues raised by this 
          appeal.

               The tenant commenced this proceeding on April 27, 1990 by 
          filing a Statement of Complaint of Decrease in Services and 
          asserting that the owner had failed to maintain certain required 
          services in the subject apartment.

               The owner was served with a copy of the complaint and afforded 
          an opportunity to respond. The owner filed a response on June 14, 
          1990 and stated, in sum, that the tenant failed to grant access to 
          the subject apartment.  The owner attached a copy of a certified 
          letter sent to the tenant wherein access was demanded.  The owner 
          filed a further response on June 20, 1990 and stated that the 
          tenant had refused access to the owner on June 15, 1990 although 
          the owner had duly notified the tenant to be available to admit 
          repairmen to the apartment.
           
               The Administrator ordered a "no access" inspection of the 
          subject apartment.  The parties were notified by the Administrator 
          of the date and time of the inspection and were required to be 
          present.  The inspection was conducted on April 6, 1992.  The owner 
          was not present.  The inspector reported the following:













          GF420068RO


                    1.   Broken toilet tank,

                    2.   Uneven kitchen floor,

                    3.   Broken living room ceiling.

          The inspector also reported that the kitchen water pressure was 
          adequate.

               The Administrator issued the order here under review on May 6, 
          1992 and ordered a $15.00 per month rent reduction based on the 
          report of the inspector. 

               On appeal the owner, as represented by counsel, states that 
          the tenant refused to provide access to the owner, that the tenant 
          had filed an additional complaint which was assigned Docket No. 
          ED420759S, that the complaint was dismissed by the Administrator 
          based on the failure of the tenant to give access for a physical 
          inspection on two different occasions, that the owner believed that 
          the dismissal of that complaint resolved the matter with the DHCR, 
          that the owner had a good faith belief that this matter had been 
          resolved, that a clerical error by the owner's staff contributed to 
          the belief that the matter had been terminated, and that the 
          failure to afford access to the apartment should bar the tenant 
          from obtaining a rent reduction.  The petition was served on the 
          tenant on June 19, 1992.

               After careful review of the evidence in the record, the 
          Commissioner is of the opinion that the petition should be denied.

               The owner concedes that he was in error albeit inadvertently 
          in failing to be present at the no access inspection.  That 
          concession notwithstanding the record establishes that the owner 
          has failed to provide services.

               Pursuant to Section 2523.4 of the Rent Stabilization Code a 
          tenant may apply to the DHCR for a rent reduction and the 
          Administrator shall reduce the rent based on a finding of failure 
          to maintain services.  Pursuant to Section 2520.6 (r) repairs and 
          maintenance and included within the definition of required 
          services.  The Commissioner finds that the Administrator based this 
          determination on the entire record including the results of the on- 
          site physical inspection described above.  The order here under 
          review is affirmed.

               The owner may file for rent restoration when services have 
          been fully restored or the owner establishes that the tenant has 
          unreasonably refused to permit services to be restored.
              
               THEREFORE, pursuant to the Rent Stabilization Law and Code it 
          is 






          GF420068RO


               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:



                                                                             
                                             JOSEPH A. D'AGOSTA
                                             Deputy Commissioner