ARL 11575 K

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

          APPEAL OF                                DOCKET NO.:  ARL 11575 K

                                                   DRO DOCKET NO.:  K  3102532  R
                       MARTON LOB,                 

                                                   ORDER NO.: CDR 17989



               On  June  30,  1986,  the  above-named  petitioner-owner  filed  a
          Petition for Administrative Review against an order issued on June  10,
          1986 by the Rent Administrator, 10 Columbus Circle, New York, New  York
          concerning the housing accommodation known as apartment  1H,  199  East
          2nd Street, Brooklyn, New York wherein  the  Administrator  established
          the lawful stabilization rent and  directed  the  owner  to  refund  an
          overcharge of  $10,539.97  inclusive  of  excess  security  and  treble
          damages on the overcharge occurring on or after April 1, 1984.

               The Commissioner has reviewed all of the evidence  in  the  record
          and has carefully considered that portion of the record relevant to the 
          issues raised by the petition for administrative review.

               The tenant, Bertha Block, initiated this proceeding on  March  31,
          1984 by filing a complaint of rent overcharge with the former New  York
          City Conciliation and Appeals Board (CAB), based in part or the owner's 
          alleged refusal to provide a rental history.  The tenant stated she had 
          moved  into  the  subject  apartment  pursuant  to  a  two  year  lease
          commencing December 2, 1977 and terminating November 30, 1979.

               A copy of the complaint, along with a notice informing  the  owner
          of the requirement of producing rent records of the  subject  apartment
          from its base date, was served on the owner on September 20, 1984.  

               Although no owner response appears in the file, the record 
          indicates that a response from the owner was received and sent  to  the
          tenant for comment.
               On May 6, 1986, a Final Notice of Pending Default was sent to  the
          owner.  The owner did not respond to the final notice.

               Due to the owner's apparent failure to respond, in the order  here
          under  review,  the  Administrator  applied  default  procedures   used

          ARL 11575 K
          pursuant to Section 42A of the former  Code  to  determine  the  lawful
          stabilization rent and directed the owner to refund  an  overcharge  of

               On appeal, the owner  requests  reversal  of  the  Administrator's
          order.   The  owner  states  that   the   apartment   was   statutorily
          decontrolled under Docket Number 2DR 165894 and  that  the  first  rent
          stabilized tenant took occupancy on December 15, 1975.  A complete  set
          of leases beginning December 15, 1975 is submitted with the petition.

               Based on  the  evidence  of  record,  the  Commissioner  finds  it
          appropriate to accept the rental history which was submitted  with  the
          appeal.  A review of these leases reveals that no overcharge occurred.

               The complainant commenced occupancy December 1, 1977 at a  monthly
          rent of $210.00 pursuant  to  a  two  year  vacancy  lease  terminating
          November 30, 1979.  The prior tenant, who rented the subject  apartment
          from August 1, 1976 to July 31, 1977 paid  $190.00  per  month.   Under
          Rent Guideline Board Order number 9, the owner was  entitled  to  a  13
          1\2% rent increase when the complainant took occupancy.  $190.00  +  13
          1/2% (8 1\2% + 5%) = $215.65.  Actual rent  collected  $210.00.   Under
          Rent Guidelines Board Order Number 11, the owner was entitled to  an  8
          1/2% rent increase for the one year renewal lease  commencing  December
          1, 1979.  $210.00 + 8 1/2% = $227.85.  Actual rent collected $227.85.

               If the owner has complied  with  the  Administrator's  order,  the
          tenant may owe arrears to the owner.  If any arrears are  owed  to  the
          owner, the tenant may repay them in twenty-four equal  payments  for  a
          period of twenty-four months.

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

               ORDERED, that this petition be, and the same  hereby  is  granted,
          and the Rent Administrator's order be, and the same hereby is, revoked.

                                                  ELLIOT SANDER
                                                  Deputy Commissioner


                                             ADMINISTRATIVE REVIEW BUREAU
                                    COVERING MEMORANDUM

          ARB Docket No(s).:  ARL 11575 K

          DRO Docket No.
          Order No.:          K 3102532 R; Order No. CDR 17989

          Tenant(s):          Bertha Block

          ARL 11575 K

          Owner:              Marton Lob

          Code Section        42A

          Premises:           Apt. 1H 199 East 2nd Street, Brooklyn, 
                              New York.

          Order and Opinion   GRANTING PETITION FOR REVIEW                 

               The  Administrator  found  an  overcharge  based  on  the  owner's
          default.  The record  reveals  no  default  and  a  rental  history  is
          accepted on appeal.  The Commissioner finds no overcharge.


          Processing Attorney:                                             

          Bureau Chief:                                                    

          Deputy Counsel:                                                  

          Deputy Commissioner:                                             

          Mailed copies of Order and Determination to:

                         Tenant's Attorney                
                         Owner's Attornery                

                         Date:              :     By                       


          ARL 11575 K


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