Rent Reduction for Peeling Paint and Plaster Revoked

Tenants complained of a reduction in building-wide services. The DRA ruled for tenants in 2015 and reduced their rents based on a finding that paint and plaster above the window by the lobby door wasn’t maintained. Landlord appealed, claiming that the condition in a comparatively small section of the lobby was de minimis--that is, minor. Landlord also argued that the DRA’s decision was untimely since it was issued about a year after the DHCR inspection. The DHCR again ruled against landlord, who then filed an Article 78 court appeal, claiming that the DHCR’s decision was unreasonable. The court sent the case back to the DHCR for reconsideration. The DHCR then ruled for landlord and revoked the rent reductions. The peeling paint and plaster were in only a discrete area of the lobby, and tenants’ complaint didn’t specify that there was peeling paint and plaster in the lobby.

C.E.Y. Realty Assoc., LLC: DHCR Adm. Rev. Docket No. EU430006RP (2/16/17) [3-pg. doc.]