As we enter the decade of the 80’s, yet another effort at reforming this historical neighborhood is in full swing. In the area around Ninth and Tenth Avenues, with much fanfare and large infusions of government and private funds, the community is having a renaissance. New theaters have been erected, new restaurants opened *473and a large new multistory residential building constructed. The building, known as Manhattan Plaza (petitioner herein), houses many people employed in the arts, with rents being subsidized by various programs. The petitioner, with justifiable pride, calls itself “the miracle on 42nd Street”.
However, on January 24, 1980, the “miracle” burst for the tenant in Apartment 39S (the subject of this lawsuit) — a fire occurred, which severely damaged the dwelling unit. By April 25, a check for $24,562 in settlement of the fire damage was received by the City of New York (as mortgagee), the Department of Housing Preservation and Development, and/or the petitioner landlord.
On or before that date, according to landlord, most (if not all) of the repairs necessary to restore the apartment to habitable condition had been completed. However, tenant contends that such is not accurate. She alleges that on April 25 there were still present air vents full of fire residue and a “musty odor” from the fire, caused by improper repairs.
After informal discussions were not successful in amicably resolving this situation, landlord started the present nonpayment proceeding, seeking partial payment of April, 1980 rent and complete rent from May 1 forward.