FC230255RO
                                  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.:
                                                       FC230255RO
                      JOHN SQUIRE, 
                 AS MANAGING AGENT FOR                 RENT ADMINISTRATOR'S
                 LINCOLN SAVINGS BANK,                 DOCKET NO.:
                                                       EH230029B
                                   PETITIONER       
          ----------------------------------x     


            ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW

          The above-named owner filed a Petition for Administrative Review 
          (PAR) of an order issued on February 19, 1991, concerning the 
          housing accommodation known as 500 Washington Avenue, Brooklyn, 
          New York, wherein the Rent Administrator determined the tenants' 
          complaint of decreased building-wide 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.

          The tenants commenced this proceeding by filing a complaint 
          asserting that the owner had failed to maintain certain services in 
          the subject building.  The complaint was served on the owner of 
          record who advised that he was the Court appointed Receiver in 
          foreclosure, and that the property had been auctioned to a new 
          owner subject to a final accounting.  It was noted that the 
          Receiver had met with the new owner and advised him of repairs 
          which were necessary.  It was also asserted that all the conditions 
          cited had "been taken care of by the Receiver during the course of 
          Receivership", but otherwise states that the "Receiver only makes 
          the actual necessary repairs".

          Thereafter, the Division of Housing and Community Renewal (DHCR) 
          conducted an inspection of the subject building.  The DHCR 
          inspection revealed the following:

               1.   Lock missing from vestibule door.
               2.   Ladder missing from the fire escape at back of 
                    building. 














          FC230255RO

               3.   Back and side fire escapes that were rusty.
               4.   Peeling paint and plaster on the fifth and 
                    sixth floor ceilings.
               5.   Public area window panes cracked and frames 
                    damaged.
               6.   Roach infestation in the basement.
               7.   Front sidewalk cracked and a trip hazard.
               8.   Light bulb in lobby missing.
               9.   Dirty public areas.
              10.   Dirty backyard.
              11.   Leak in basement ceiling.
              12.   Exterior brick wall in need of pointing.
              13.   Inoperative elevator.

          Notice of the results of the inspection were served on the new 
          owner of record, as supplied by the Receiver.  The new owner was 
          requested to submit evidence of repairs, but there is no evidence 
          in the record that the new owner did so.

          Based on the results of the inspection, the Rent Administrator 
          issued an order that directed the new owner to restore the services 
          and further ordered a reduction of the stabilized and controlled 
          rents.

          In the petition for administrative review, the owner asserts that 
          repairs are made promptly and that all maintenance services are 
          adequate.  The owner also contends that some conditions are due to 
          tenant carelessness and rampant vandalism.  The owner claims that 
          exterior and interior public areas are cleaned three times a week.

          The owner asserts that the inoperative elevator condition was 
          corrected later in the day after the inspection and that periodic 
          elevator maintenance is provided by elevator contractor.  In 
          support, the owner submits paid monthly elevator maintenance 
          service bills.

          The owner also argues that certain conditions for which rent 
          reductions have been granted have little or no adverse effect on 
          some tenants.  In this category the owner includes the basement 
          ceiling leak and the inoperative elevator insofar as it pertains to 
          first floor tenants.

          The owner also asserts that the rent reduction for the missing 
          lobby light bulb was excessive and that the owner is not able to 
          prevent its removal "primarily by the tenants".





          Further, the owner disputes the Rent Administrator's determination 
          that the exterior brick wall required pointing.  The owner contends 






          FC230255RO

          that the finding fails to sufficiently identify the affected wall, 
          and fails to point to any evidence that interior wall damage ensued 
          or that any tenants were adversely affected.

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

          Pursuant to Section 2523.4 of the Rent Stabilization Code, DHCR is 
          required to order a rent reduction, upon application by tenant, 
          where it is found that an owner has failed to maintain required 
          services.

          Pursuant to Section 2202.16 of the Rent and Eviction Regulations, 
          the DHCR may order a rent reduction where it is found that the 
          owner has failed to maintain essential services or space, 
          furniture, furnishings or equipment provided on the base date or 
          thereafter.  Essential services may include, but are not limited 
          to: repairs, painting and maintenance.

          The tenants' complaint detailed the conditions that the tenants 
          sought to have corrected.  An inspection of the subject premises by 
          the DHCR inspector confirmed several specific conditions listed in 
          the tenants' complaint.  The inspector's report of the conditions 
          observed allowed the Rent Administrator to determine that the owner 
          was not maintaining required or essential services for which rent 
          reductions were warranted, imposed in accordance with the 
          Division's normal practices, affirmed by the Courts.  Hyde Park 
          Gardens vs. DHCR, 140 A.D.2d 351, 527 N.Y.S.2d 841 (2nd Dept. 
          1988), affd. 73 N.Y.2d 998, 541 N.Y.S.2d 345 (1989).

          That part of the inspector's report setting forth that the "brick 
          wall needs pointing" sufficiently identified and detailed damage on 
          the outside of the building giving the owner notice of defects 
          requiring attention.

          The owner's petition does not establish any basis for modifying or 
          revoking the Rent Administrator's order which determined that the 
          owner was not maintaining required or essential services.

          The owner's unsupported allegations that some conditions were 
          tenant induced or they were the result of vandalism ignores, and 
          does not abate, the owner's responsibility to make prompt repairs.

          The Commissioner further notes that an administrative appeal is 
          strictly limited to a consideration of the issues and evidence 
          presented to the Rent Administrator for consideration, and not to 
          consider new evidence or issues which are beyond the scope of 
          review.
          The owner may file a rent restoration application if the facts so 
          warrant.

          The automatic stay of the retroactive rent reduction for rent 












          FC230255RO

          stabilized tenants that resulted by the filing of this petition is 
          vacated upon issuance of this Order and Opinion.

          THEREFORE, in accordance with the Rent Stabilization Law and Code, 
          and the Rent and Eviction Law and Regulations, it is 

          ORDERED, that this petition be, and the same hereby is, denied and  
          the Rent Administrator's order be and the same hereby is, affirmed.
           

          ISSUED:



                                                                                                                         
                                                       JOSEPH A. D'AGOSTA
                                                       Deputy Commissioner


    

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