STATE OF NEW YORK
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                                  JAMAICA, NY 11433

          ------------------------------------x        SJR 7162
          APPEAL OF                                    DOCKET NO.: HF110185RO

               Peru Leasing Company,
                                                       RENT ADMINISTRATOR'S
                                                       DOCKET NO.: HC110074HW


          The above-named owner filed a timely petition for administrative 
          review of an order issued on May 27, 1993, concerning the housing 
          accommodations known as 97-11 Horace Harding Expressway, Apt. 6C, 
          Queens, New York, wherein the Rent Administrator determined the 
          tenant's complaint of decreased services.

          Subsequent hereto, the owner filed a petition in the Supreme Court 
          pursuant to Article 78 of the Civil Practice Law and Rules, in the 
          nature of "deemed denial", seeking judicial review.  The parties 
          stipulated to remit the proceedings to the DHCR to enable the 
          Commissioner to render an expeditious determination on the owner's 
          petition for administrative review.

          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 tenant commenced this proceeding by filing a complaint 
          asserting that the owner had failed to maintain adequate heat and 
          hot water services in the subject apartment.

          In an answer the owner asserted that all required repairs had been 
          completed and submitted a work ticket signed by the tenant.

          Thereafter, the DHCR conducted an inspection of the subject 
          apartment.  The DHCR inspector reported that hot water was 
          adequate, but that there was no need for heat at time of inspection 
          as the outside temperature was 60@F.

          The Rent Administrator dismissed the tenant's application as to the 
          hot water complaint.  The order stated, however, that it was not 


          dispositive as to the heat complaint, which would be assigned a new 
          docket number and processed during subsequent heating season upon 
          notice to the parties of the new docket number to be assigned to 
          the heat complaint only.

          In the petition for administrative review, the owner argues that 
          holding the heat complaint open until the subsequent heating season 
          denies the owner due process and timely resolution of the tenant's 
          complaint, deprives the owner the opportunity to make timely 
          repairs, and goes beyond the Rent Administrator's authority 
          intended by the Rent Stabilization Code.

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

          Pursuant to Section 2527.5 (k) of the Rent Stabilization Code, the 
          DHCR may sever issues within a proceeding for the purpose of 
          issuing an order and determination with respect to certain issues, 
          while reserving other issues for subsequent determination.

          The Division normally segregates the tenants' heat and hot water 
          complaints for separate processing from other complaints.  An 
          extension of this practice to permit separate prompt processing of 
          the hot water complaint while retaining the heat complaint, until 
          weather conditions permit proper investigation and determination, 
          does not violate the owner's due process rights.  Moveover, the 
          owner's concern of lack of notice has been addressed by the Rent 
          Administrator, as the order specified that the parties will be 
          notified of the new docket number to be assigned for processing the 
          heat complaint.

          The automatic stay of the retroactive rent abatement 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, 
          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, 

                                             JOSEPH A. D'AGOSTA
                                             Deputy Commissioner  

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