STATE OF NEW YORK
DIVISION OF HOUSING AND COMMUNITY RENEWAL
OFFICE OF RENT ADMINISTRATION
92-31 UNION HALL STREET
JAMAICA, NEW YORK 11433
IN THE MATTER OF THE ADMINISTRATIVE : ADMINISTRATIVE REVIEW
APPEALS OF DOCKET NOS.:GG 210161-RT
: GG 210162-RT
VARIOUS TENANTS OF 181 INDIA GG 210163-RT
STREET, BROOKLYN, NEW YORK GG 210164-RT
PETITIONERS : GG 210165-RT
------------------------------------X GG 210224-RT
DOCKET NO.: EF 210075-OM
ORDER AND OPINION DENYING PETITIONS FOR ADMINISTRATIVE REVIEW
Various tenants timely filed petitions for Administrative Review against an
order issued on June 22, 1992 by the Rent Administrator, Gertz Plaza,
Jamaica, New York, concerning the housing accommodations known as 181 India
Street, Brooklyn, New York, Various Apartments wherein the Rent
Administrator determined that the owner was entitled to a rent increase
based on major capital improvements (MCI). The Commissioner deems it
appropriate to consolidate these Administrative Appeals for determination
under this order and opinion as they involve common issues of law and fact.
The owner commenced the proceeding below by filing its MCI application in
June of 1990. In response to the owner's application, several tenants
filed answers contending, in substance, that the owner is not entitled to
the Rent increase because there is a general lack of building maintenance.
The Rent Administrator's order, appealed herein, granted a major capital
improvement (MCI) rent increase based on the installation of new apartment
windows, aluminum siding and entrance/basement doors at a total approved
cost of $20,000.00.
On appeal, the petitioners-tenants contend, in substance, that rain was
seeping through windows and walls so repairs were necessary maintenance to
prevent the building from falling apart; and that it is the landlord's duty
to make repairs to keep the building habitable. The tenants further allege
that the windows freeze and cannot be opened in the winter.
After a careful consideration of the entire evidence of record, the
Commissioner is of the opinion that these Administrative Appeals should be
Rent increases for major capital improvements are authorized by Section
2522.4 of the Rent Stabilization Code for rent stabilized apartments.
Under rent stabilization, the improvement must generally be building-wide;
depreciable under the Internal Revenue Code, other than for ordinary
repairs; required for the operation, preservation, and maintenance of the
structure; and replace an item whose useful life has expired.
DOCKET NUMBER: GG 210161-RT et al.
It is the opinion of the Commissioner that the type of work involved herein
meets the definitional requirements for a major capital improvement. In
addition, the tenants concede tht the subject premise was in such a
condition that the weatherization of the premises was required for the
continued operation, preservation and maintenance of the structure.
The record in the instant case discloses that no service complaints were
pending nor were there any orders of rent reduction of a building-wide
nature in effect as of the issuance date of the Administrator's order
The record further discloses that the tenants did not raise any objections
relevant to the installation while the proceeding was before the
In view of the foregoing, the Commissioner, is of the opinion that the
Administrator properly determined the owner's application for a rent
increase based on major capital improvements.
This determination is without prejudice to the rights of the tenants filing
appropriate complaints with the Division alleging that the owner is not
maintaining all required services, if the facts so warrant.
THEREFORE, in accordance with the Rent Stabilization Law and Code, it is
ORDERED, that these petitions be, and the same hereby are denied; and that
the Rent Administrator's order be, and the same hereby is affirmed.
JOSEPH A. D'AGOSTA
Acting Deputy Commissioner