P 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.: GD510154RT
APPEAL OF
Aurora Chelednik,
RENT ADMINISTRATOR'S
PETITIONER DOCKET NO: DK530049OM
------------------------------------X
ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW
On April 2, 1992 the above-named tenant filed a Petition for
Administrative Review of an order issued on March 20, 1992 by a
Rent Administrator, Gertz Plaza, 92-31 Union Hall Street, Jamaica,
NY, concerning the housing accommodations known as Apartment 1E,
510 West 190 Street, New York, NY, wherein the Rent Administrator
determined that the owner was entitled to a rent increase based on
a major capital improvement.
The Commissioner has reviewed all of the evidence in the record and
carefully considered that portion of the record relevant to the
issue raised by the petition for administrative review.
The owner commenced this proceeding on November 1, 1989 by filing
an application for a rent increase based on the building-wide
installation of new apartment windows at a total claimed cost of
$42,824.86. In support of the application, the owner submitted
copies of the contract and the cancelled checks.
In response to the application several tenants, including the
petitioner-tenant, submitted answers objecting to the increase.
They contended, in substance, that the work done on the building is
the owner's responsibility and the cost incurred should not be
passed on to the tenants. Further, they posited that the replaced
windows were in better condition than the new ones and that the
work done on the new windows was of poor quality.
On March 20, 1992 the Rent Administrator issued the order here
under review finding that the subject 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 both rent controlled and rent
stabilized apartments.
Adm. Rev. Docket GD510154.RT
In the Petition for Administrative Review, the tenant requests
reversal of the Rent Administrator's order and contends, in
substance, that the front doors and the hallway windows have not
been replaced and, therefore, a rent increase should not have been
granted.
In response to the tenant's allegation, the owner argues that the
rent increase was specifically requested for the installation of
new apartment windows and that all work related to that
installation has been completed.
After a careful consideration of the entire evidence of record, 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. 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 installation of new
apartment windows qualifies as a major capital improvement for
which a rent 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.
With regard to the tenant's claim that the front doors and hallway
windows have not been replaced, the Commissioner notes that the
owner did not apply for an increase based on the installation of
new front doors and hallway windows nor was one granted.
THEREFORE, in accordance with the applicable provisions of the Rent
Stabilization Law and Code, it is
ORDERED, that this administrative appeal be, and the same hereby is
denied; and the Administrator's order be, and the same hereby is
affirmed.
ISSUED:
JOSEPH A. D'AGOSTA
Deputy Commissioner
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