AK 410205 RT

                                  STATE OF NEW YORK
                      DIVISION OF HOUSING AND COMMUNITY RENEWAL
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                              JAMAICA, NEW YORK   11433



          ----------------------------------X     S.J.R. 4504, 4454
          IN THE MATTER OF THE ADMINISTRATIVE     ADMINISTRATIVE REVIEW 
          APPEAL OF                               DOCKET NO.:  AK 410205 RT

                       NATHAN COHEN,
                                                  DISTRICT RENT ORDER
                                                  DOCKET NO.:  L-3111260-R
                                  PETITIONER
          ----------------------------------X                                   


                ORDER AND OPINION AFFIRMING THE COMMISSIONER'S ORDER
                         OF JANUARY 30, 1991 AFTER REOPENING


          On November 28, 1986 the above named  petitioner-tenant  filed  a
          Petition for Administrative Review against  an  order  issued  on
          October 27, 1986 by the  Rent  Administrator,  92-31  Union  Hall
          Street, Jamaica, New York concerning housing accommodations known 
          as 60 Gramercy Park, New York, Apartment 8D.

          On January 30, 1991, the Commissioner issued an Order and Opinion 
          in which the amount of the rent overcharge previously  determined
          by the Commissioner in an Order and Opinion issued on August  15,
          1989 under the above mentioned docket number was recalculated  to
          reflect the tenant's purchase of the subject apartment.

          Subsequent thereto, one of the former owners requested  reopening
          of the subject proceeding.  On March 19, 1991, the proceeding was 
          reopened by the Division of Housing and Community Renewal  (DHCR)
          for reconsideration due to an irregularity in a vital matter.

          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.

          In the order of January 30, 1991, the Commissioner found that the 
          total amount of the overcharge collected from  December  1,  1980
          through June 13, 1984 was $5,561.79.  This Order did not indicate
          an apportionment of the overcharge between present and prior owners.
          Section 2526.1(f) of the  Rent  Stabilization  Code  provides  in
          pertinent part that:

               (1)  for overcharges collected  prior  to  April  1,
                    1984, an owner will be  held  responsible  only
                    for his or her portion of the  overcharges,  in
                    the absence of collusion  or  any  relationship
                    between such owner and any prior owner; and

               (2)  for overcharges collected  on  or  after  April






          AK 410205 RT
               1, 1984, a current owner shall  be  responsible
                    for   all   overcharge   penalties,   including
                    penalties based upon overcharges  collected  by
                    any prior owner.

          A review of the entire evidence of record reveals  that  on  June
          14, 1984, Gramercy Park Residence Corporation became the owner of 
          the subject premises pursuant to an agreement  executed  with  60
          Gramercy  Park  Company/Venture  Associates,  the  owner  of  the
          subject premises at the time the tenant commenced  occupancy  and
          that the tenant became the owner of the subject apartment on  the
          same date,  June  14,  1984,  pursuant  to  a  proprietary  lease
          executed with Gramercy Park Residence  Corporation.   The  record
          further shows that Charles Ramat is  the  president  of  Gramercy
          Park Residence Corporation, was the holder of the  unsold  shares
          in the building until January 1989 and is indicated as the  prior
          owner for the subject premises in the above referenced Article 78 
          proceeding (S.J.R. Nos. 4504 and 4454  which  were  consolidated,
          remitted to the DHCR and determined in the  Commissioner's  Order
          of January 30, 1991) and appears to be associated  with  Ventures
          Associates.  Based thereon, the Commissioner is  of  the  opinion
          that a relationship exists between these parties and  finds  that
          no  apportionment  is  warranted.   Accordingly,  Gramercy   park
          Residence  Corporation  and  60  Gramercy  Park   Company/Venture
          Associates are jointly and severally liable for the entire amount 
          of the overcharge ($5,561.79) collected from the  tenant  between
          December 1, 1980 and June 13, 1984.

          This Order may, upon the expiration of the period  in  which  the
          owner may institute a proceeding pursuant to Article  78  of  the
          Civil Practice  Law  and  Rules,  be  filed  and  enforced  as  a
          judgment.

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

          ORDERED, that Commissioner's Order of January 30,  1991  be,  and
          the same hereby is, affirmed.

          ISSUED:
                                                  ------------------------
                                                  ELLIOT SANDER
                                                  Deputy Commissioner
           
             
                                          
    

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