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

          APPEAL OF                                    DOCKET NO.:
                    56 Stagg Realty Corp. c/o
                    Dimitrios Paliouras,
                                                       RENT ADMINISTRATOR'S
                                                       DOCKET NO.:


          On March 21, 1989, the above-named petitioner-owner filed a 
          petition for administrative review (PAR) of an order issued on 
          March 10, 1989, by the Rent Administrator, concerning the housing 
          accommodation known as 56 Stagg Street, Brooklyn, N.Y., Apt.#1-A, 
          wherein the Administrator determined that a reduction in rent was 
          warranted based upon a reduction in services.

          The Rent Administrator also directed full restoration of services.

          The Commissioner has reviewed all of the evidence in the record and 
          has carefully considered that portion of the record relevant to the 
          issue raised by the administrative appeal.

          The issue herein is whether the Rent Administrator properly reduced 
          the rent of the subject apartment based upon a diminution of 

          On February 16, 1988, the tenant filed a complaint alleging that 
          the owner had failed to maintain various services, including rotten 
          and drafty windows. 

          The owner failed to file an answer to the complaint.

          A DHCR inspection conducted on February 9, 1989, revealed that all 
          services were being maintained including the installation of new 
          windows, but the moldings were in need of painting and caulking.


          On appeal, the petitioner-owner asserted, in pertinent part, that  
          he never received an order from DHCR to make repairs in this 
          tenant's apartment, that the tenant was asked in November 1988 if 
          he had any problems in the apartment and he said the windows were 
          drafty, that by the tenant's own signed acknowledgment, new windows 
          were installed on November 2, 1988, but it was agreed that the 
          moldings would be painted when the entire apartment was due for 

          The petition was served on the tenant on June 19, 1989, but the 
          tenant failed to file an answer to the petition.

          After a careful consideration of the entire evidence of record the 
          Commissioner is of the opinion that the administrative appeal 
          should be granted.

          Pursuant to Section 2523.4(a) of the Rent Stabilization Code, a 
          tenant may apply to the Division of Housing and Community Renewal 
          (DHCR) for reduction of the legal regulated rent to the level in 
          effect prior to the most recent guidelines adjustment, and the DHCR 
          shall so reduce the rent for the period for which it is found that 
          the owner has failed to maintain required services.

          Required services are defined in section 2520.6(r) to include 
          repairs and maintenance.

          A review of the record reveals that in transmitting the tenant's 
          complaint to the owner, the Rent Administrator used an incorrect 
          zip code.  Since it is not certain that the owner received the 
          complaint, the evidence and allegations raised for the first time 
          on appeal will be considered.

          The tenant's complaint failed to specify deficient window moldings 
          but instead noted drafty windows; thus supporting the owner's 
          contention on appeal.

          Inasmuch as deficient window moldings were the sole basis for the 
          rent reduction, the Commissioner finds that the Rent Administrator 
          erred by issuing the order of March 10, 1989.

          The Commissioner notes that the inspection, held on February 9, 
          1989, also supported the owner's contention that all other repairs 
          were made in a workmanlike manner.

          The Commissioner further notes that the tenant did, in fact, sign 
          an acknowledgment attesting to the owner's installation of new 
          windows on November 2, 1988.

          Any rent arrears due as a result of this order may be paid in 
          twelve monthly installments.
          The Division's records reveal that the owner's rent restoration was 
          granted on September 21, 1989 (Docket No. DC210079OR).


          THEREFORE, in accordance with the provisions of the Rent 
          Stabilization Law and Code, it is

          ORDERED, that this petition be, and the same hereby is, granted, 
          and the Administrator's order be, and the same hereby is, revoked 
          in accordance with this order and opinion.


                                             JOSEPH A. D'AGOSTA
                                             Deputy Commissioner  


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