GC420199RO
                                  STATE OF NEW YORK
                      DIVISION OF HOUSING AND COMMUNITY RENEWAL
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                                  JAMAICA, NY 11433





          ------------------------------------x
          IN THE MATTER OF THE ADMINISTRATIVE          ADMINISTRATIVE REVIEW
          APPEAL OF                                    DOCKET NO.: GC420199RO

               302 West 86th Street Owners' Corp.,
                                                       RENT ADMINISTRATOR'S
                                                       DOCKET NO.: EK420749S
                                   PETITIONER
          ------------------------------------x

            ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW

          The above-named owner filed a timely petition for administrative 
          review of an order issued on February 18, 1992 concerning the 
          housing accommodation known as 302 West 86th Street, Apartment 1A, 
          New York, New York, wherein the Rent Administrator determined the 
          tenants' complaint of decreased service. 

          The Commissioner has reviewed all 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 accommodations.

          In an answer, the owner denied the allegations set forth in the 
          complaint or otherwise asserted that all required repairs had been 
          or will be completed.

          Thereafter, an inspection of the subject accommodations was 
          conducted by a DHCR inspector who confirmed the existence of the 
          defective conditions relating to stuck windows, peeling paint, wall 
          dents, and the elimination of storage space services previously 
          provided without charge.

          The Rent Administrator directed restoration of these services and 
          further, ordered a reduction of the controlled rent.



          In its petition for administrative review, the owner states, in 
          substance, that the conditions were minor in nature and the result 












          GC420199RO

          of normal wear and tear.  Concerning storage space services, the 
          owner claims that it renovated the storage space to provide secure 
          storage bin facilities, albeit at a monthly charge.  The owner 
          acknowledges that the tenants were previously allowed to use the 
          unsecured storage area without charge.
            
          After careful consideration, the Commissioner is of the opinion 
          that the petition should be denied.

          Pursuant to Section 2202.16 of the Rent and Eviction Regulations, 
          the Rent Administrator may impose a rent reduction where there has 
          been a decrease in essential services, furnishings and equipment 
          among other things. 

          The owner admits that unsecured storage space services were 
          previously provided to the tenants without charge.  The tenants are 
          entitled to the same or substitute services.   Absent prior 
          approval from DHCR, the owner cannot require the tenants to pay a 
          fee to continue this service merely because of the renovations.

          The owner's petition does not establish any basis for modifying or 
          revoking the Rent Administrator's order, which determined, based on 
          an inspection and the owner's statements, that there existed 
          defective conditions in the subject accommodations for which a rent 
          reduction is warranted.

          THEREFORE, in accordance with the Rent and Eviction Regulations for 
          New York City, it is

          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  
    

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