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 ADMINISTRATIVE REVIEW
IN THE MATTER OF THE ADMINISTRATIVE DOCKET NO.: GA210087RT
APPEAL OF
JANET PEREZ NAZARIO
RENT ADMINISTRATOR'S
PETITIONER DOCKET NO.: DI210192OM
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ORDER AND OPINION GRANTING IN PART PETITION FOR ADMINISTRATIVE
REVIEW
The above-named tenant timely refiled a petition for administrative
review (PAR) against an order issued on November 4, 1991 by the
Rent Administrator (Gertz Plaza) concerning the housing
accommodation known as 300 East Second Street, Apartment 3B,
Brooklyn, 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 on the record and
has carefully considered that portion of the record relevant to the
issue raised by this Administrative Appeal.
The owner commenced this proceeding on September 26, 1989 by
initially filing an application for a major capital improvement
rent increase predicated on the building-wide installation of
apartment windows, at the subject premises, at a total claimed cost
of $19,580.00. The owner submitted various supporting
documentation, including copies of contracts and cancelled checks,
substantiating those costs associated with the window installation.
In response to the owner's application, three tenants filed answers
stating, in substance, that the tenants were never asked if they
wanted new windows; that the old windows were rotten and were
falling apart; and that the requested rent increase was too high.
There, however, were no specific complaints raised that were
pertinent to the installation. The petitioner-tenant did not
submit any response to the owner's application.
On November 4, 1991 the Rent Administrator issued the order here
under review finding that the building-wide installation of
apartment windows qualified as a major capital improvement,
ADMIN. REVIEW DOCKET NO.: GA210087RT
determining that the application complied with the relevant laws
and regulations based upon the supporting documentation submitted
by the owner and allowing rent increases for all the apartments
based upon the approved cost of $19,580.00.
In her petition for administrative review the tenant contends, in
substance, that the Rent Administrator's order states that her rent
will be increased by $6.40 per room per month; that she has a four-
room apartment; that windows were only installed in three of the
four rooms; and that her increase should, therefore, be computed on
a three-room, room count basis.
In response to the tenant's petition, the owner contends, in
substance, that the tenant indeed has a four-room apartment; that
windows were only installed in three of the four rooms; that the
fire-proof window in the kitchen was not changed because the tenant
refused to have it replaced; that the said fire-proof window in the
kitchen was not included in the total cost of the work done;
and that he, the owner, accepts the increase, as suggested by the
tenant, of $6.40 per room for three rooms, that is a total increase
of $19.20 per month for the said tenant, Apartment 3B.
After a careful consideration of the entire evidence of record, the
Commissioner is of the opinion that this petition should be granted
in part.
Rent increases for major capital improvements are authorized by
Section 2522.4 of the Rent Stabilization Code. Under rent
stabilization, the improvement must generally be building-wide;
depreciable under the Internal Revenue Code, other than for
ordinary repairs; be required for the operation, preservation, and
maintenance of the structure; and replace an item whose useful life
has expired.
The Commissioner notes that the building-wide replacement of
apartment windows qualifies as a major capital improvement for
which an increase may be warranted. The record indicates that the
owner substantiated his application by submitting copies of the
contract and cancelled checks. The record confirms that the owner
correctly complied with the applicable procedures for a major
capital improvement rent increase.
The Commissioner finds that new windows were installed in only
three of the four rooms in Apartment 3B; that the tenant has agreed
2
ADMIN. REVIEW DOCKET NO.: GA210087RT
to pay and the owner has agreed to accept an increase of $6.40 per
room for three rooms since the window in the kitchen was not
replaced due to the special and distinct characteristics thereof.
(See Policy Statement 89-6).
THEREFORE, in accordance with the Rent Stabilization Law and Code,
it is
ORDERED, that this petition be, and the same hereby is, granted in
part. The Rent Administrator's order is, therefore, modified to
the extent that with regard to Apartment 3B, the owner may only
collect an increase based on a three-room room count. The order
and determination of the Administrator is hereby affirmed in all
other respects.
ISSUED:
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JOSEPH A. D'AGOSTA
Deputy Commissioner
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