BD 110522-RO
                                
                        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
IN THE MATTER OF THE ADMINISTRATIVE     ADMINISTRATIVE REVIEW
APPEAL OF                               DOCKET NO.:
                                        BD 110522-RO
       SHARON TOWERS REALTY,            DRO DOCKET NO.:
                                        Q 3121851-R
                         PETITIONER
------------------------------------X


  ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW
                                
                                
On April 8, 1987, the above-named petitioner-owner timely refiled
a  Petition  for  Administrative Review of  an  order  issued  on
October  2, 1986 by the District Rent Administrator, 10  Columbus
Circle,  New  York,  New York, concerning housing  accommodations
known as Apartment 7-M, 62-59 108th Street, Forest Hills,
New York  wherein the District Rent Administrator determined that
the tenant had been overcharged.

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 administrative appeal.

This  proceeding was originally commenced by the filing of a rent
overcharge  complaint  by  the tenant  with  the  New  York  City
Concil-iation and Appeals Board, one of the predecessor  agencies
to  the  Division of Housing and Community Renewal  (DHCR).   The
tenant's  complaint stated that she moved in in September,  1969.
Later
submissions by the tenant contained conflicting dates of  initial
occupancy, i.e., October, 1965 and September, 1966.

The  owner  was  served  with a copy of  the  complaint  and  was
requested to submit rent records to prove the lawfulness  of  the
rent being charged.  In answer to the complaint, the owner stated
that  it  purchased  the  premises in 1981,  from  a  seller  who
pur-chased at foreclosure in 1978, and that it could not obtain a
complete rental history.  The owner submitted leases from October
1,  1979  through  September 30, 1985, along with  correspondence
regarding an electrical conversion rent reduction and a rent  in-
crease for a major capital improvement.

In  Order  Number  CDR 24,039, the Rent Administrator  determined
that  the initial base rent for the subject apartment was $160.00
as  of  September 1, 1969, and the tenant was overcharged  there-
after  in  the amount of $8,807.50, including interest  on  over-
charges  on  or after April 1, 1984; and directed  the  owner  to
refund this sum to the tenant.

In  this  petition, the owner contends that the Rent  Administra-
tor's  order  is  incorrect and should be  modified  because  the
September  1,  1969  occupancy  date  was  erroneous;  that   the
com-putation  of  rentals  should be  reviewed,  with  particular
reference  to  fuel adjustments, electric inclusions,  and  major
capital  improvements,  and  that  this  review  will  prove   no
overcharge existed.  In response to a Division inquiry, the owner
addition-ally supplied a breakdown of air conditioner charges and
arrearages allegedly owed by the tenant.

The tenant did not respond to this petition.

The  Commissioner  is  of  the  opinion  that  the  petition  for
adminis-trative review should be denied.

The Commissioner finds that the Administrator made several errors
in  its computations; however, application of the correct proces-
sing  procedures would more than negate any benefit to the  owner
based  on the arguments raised by the owner in its petition.   As
such,  and in the absence of a timely petition for administrative
review  by  the tenant, the Commissioner finds it appropriate  to
deny this appeal.

The  Commissioner notes that since the September 1, 1969 rent has
been  determined to be the lawful base rent, failure  to  resolve
the   discrepancy  concerning  the  tenant's  original  date   of
occupancy does not prejudice the owner.

In  accordance  with  Operational Bulletin  84-4,  an  owner  can
col-lect  air  conditioner charges from rent  stabilized  tenants
without an order from the DHCR.  However, an owner cannot collect
the
charges  now  for an air conditioner if the owner did  not  begin
charging for the air conditioner at the time it was installed  or
within a reasonable period of time thereafter.  A reasonable
period is generally considered to be that amount of time in which
an  owner would be expected to learn that the air conditioner was
installed.   Having exceeded that period, the owner  is  held  to
have  waived charges related to the air conditioner.  The  tenant
alleges that the air conditioner was installed in June 1966.  The
then owner did not bill the tenant for the air conditioner.

Accordingly, the Commissioner determines that the owner knew,  or
should have known, of the presence of the air conditioning  unit,
and thus has waived the charges related to it.

Because  this  determination concerns lawful rents  only  through
September  30, 1985, the owner is cautioned to adjust  subsequent
rents to an amount not greater than that determined by this order
plus  any  lawful increases, and to register any  adjusted  rents
with  this  order and opinion being given as the explanation  for
the adjustment.

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 judg-
ment, or not in excess of twenty percent thereof per month of the
amount  owed  by  the  owner  may  be  offset  against  any  rent
there-after due the owner.


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

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


ISSUED:




                                        ELLIOT SANDER
                                        Deputy Commissioner



     RENT CALCULATION CHART

TENANT   :    Ruth Simon                                             Rent Overcharge (through 09/30/85) =    $    8,538.27
                                                                     Interest after 04/01/84            =    $      102.83
PREMISES :    62-59 108th Street, Forest Hills, NY                   Excess Security                    =    $   +   86.05

APT. #   :    7-M
                                                                                 TOTAL OVERCHARGE       =    $   8,727.15
DOCKET # :    BD 110522-RO                                                                                     ============
                                                                                               Pg.  1  of  3
================+======================+==============+=============+=====================================+=================
     (1)        |          (2)         |      (3)     |     (4)     |           (5)            |   (6)    |       (7)
                |      LEASE TERM      |  ACTUAL RENT |  EFFECTIVE  |                          |  LAWFUL  |   OVERCHARGE
 TENANT'S NAME  |   FROM          TO   |    CHARGED   |   DATE OF   |        EXPLANATION       |  STABIL. |   CALCULATION
                |                      |              | INCREASE(S) |                          |  RENT /1 |
================+===========+==========+==============+=============+==========================+==========+=================
                |           |          |              |             |                          |          |
 Ruth Simon     | 09/01/69  | 08/31/72 |  $ 160.00    |  09/01/69   |  Base Date Rent 09/01/69 | $ 160.00 |
                |           |          |              |             |                          |          |
----------------+-----------+----------+--------------+-------------+--------------------------+----------+-----------------
                |           |          |              |             |                          |          |
                |           |          |              |             |  Guideline  4:  06/30/72 |          |  $    8.20
   "   "        | 09/01/72  | 08/31/75 |  $ 185.00    |  09/01/72   |  rent of $160.00 + 11.5% | $ 176.80 |       x 36 mos.
                |           |          |              |             |  guideline increase for  |          |  $  295.20
                |           |          |              |             |  a 3 year renewal lease  |          |
                |           |          |              |             |  + 1/2% stabilizer.      |          |
----------------+-----------+----------+--------------+-------------+--------------------------+----------+-----------------
                |           |          |              |             |  Guideline  6:  06/30/73 |          |
                |           |          |              |             |  rent of $176.80 + 10.5% |          |
   "   "        | 09/01/74  | 08/31/76 |  $ 235.94    |  09/01/74   |  guideline increase for  | $ 200.66 |  $   35.28
                |           |          |              |             |  a 2 year renewal lease  |          |      x  24 mos.
                |           |          |              |             |  + 2 1/2% electrical     |          |  $  846.72
                |           |          |              |             |  inclusion + 1/2% sta-   |          |
                |           |          |              |             |  bilizer.                |          |
----------------+-----------+----------+--------------+-------------+--------------------------+----------+-----------------
                |           |          |              |             |                          |          |
                |           |          |              |             |  Guideline  8:  06/30/75 |          |
   "   "        | 09/01/76  | 09/30/79 |  $ 267.48    |  09/01/76   |  rent of $200.66 + 11%   | $ 222.73 |  $   44.75
                |           |          |              |             |  guideline increase for  |          |      x  36 mos.
                |           |          |              |             |  a 3 year renewal lease. |          |  $1,611.00
----------------+-----------+----------+--------------+-------------+--------------------------+----------+-----------------

/1   Where the actual rent charged is less than the rent with maximum permitted increases, the lawful stabilization rent is
     limited to the rent charged.


                                                    RENT CALCULATION CHART

TENANT   :    Ruth Simon                                             Rent Overcharge (through 09/30/85) =    $    8,538.27
                                                                     Interest after 04/01/84            =    $      102.83
PREMISES :    62-59 108th Street, Forest Hills, NY                   Excess Security                    =    $   +   86.05

APT. #   :    7-M
                                                                                 TOTAL OVERCHARGE       =    $    8,727.15
DOCKET # :    BD 110522-RO                                                                                     ============
                                                                                               Pg.  2  of  3
================+======================+==============+=============+=====================================+=================
     (1)        |          (2)         |      (3)     |     (4)     |           (5)            |   (6)    |       (7)
                |      LEASE TERM      |  ACTUAL RENT |  EFFECTIVE  |                          |  LAWFUL  |   OVERCHARGE
 TENANT'S NAME  |   FROM          TO   |    CHARGED   |   DATE OF   |        EXPLANATION       |  STABIL. |   CALCULATION
                |                      |              | INCREASE(S) |                          |  RENT /1 |
================+===========+==========+==============+=============+==========================+==========+=================
                |           |          |              |             |  Guideline 11:  06/30/79 |          |
 Ruth Simon     | 10/01/79  | 09/30/81 |  $ 324.85    |  10/01/79   |  rent of $222.73 + 12%   | $ 249.46 |  $   75.39
                |           |          |              |             |  guideline increase for  |          |      x  12
                |           |          |              |             |  a 2 year renewal lease. |          |  $  904.68
                |           |          |              |-------------|--------------------------|----------|-----------------
                |           |          |              |             |                          |          |  $   67.39
                |           |          |              |  10/01/80   |  $ 8.00 per month fuel   | $ 257.46 |      x  12
                |           |          |              |             |  surcharge.              |          |  $  808.68
----------------+-----------+----------+--------------+-------------+--------------------------+----------+-----------------
|           |          |              |             |                          |          |
                |           |          |              |             |  Guideline 13:  09/30/81 |          |  $   81.08
   "   "        | 10/01/81  | 09/30/82 |  $ 365.46    |  10/01/81   |  rent of $249.46 + 10%   | $ 284.38 |       x 10 mos.
                |           |          |              |             |  guideline increase for  |          |  $  810.80
                |           |          |              |             |  a 1 year renewal lease  |          |
                |           |          |              |             |  + 4% electrical inclu-  |          |
                |           |          |              |             |  sion 10/01/81 - 08/01/82|          |
----------------+-----------+----------+--------------+-------------+--------------------------+----------+-----------------
                |           |          |              |             |                          |          |
                |           |          |              |             |  MCI CDR #00771 (.0075 x |          |
   "   "        | 08/01/82  | 09/30/82 |  $ 368.20    |  10/01/82   |  $284.38) = $2.13 per    | $ 286.51 |  $   81.69
                |           |          |              |             |  month.                  |          |      x   2 mos.
                |           |          |              |             |                          |          |  $  163.38
                |           |          |              |             |                          |          |
----------------+-----------+----------+--------------+-------------+--------------------------+----------+-----------------

/1   Where the actual rent charged is less than the rent with maximum permitted increases, the lawful stabilization rent is
     limited to the rent charged.


     RENT CALCULATION CHART

TENANT   :    Ruth Simon                                             Rent Overcharge (through 09/30/85) =    $    8,538.27
                                                                     Interest after 04/01/84            =    $      102.83
PREMISES :    62-59 108th Street, Forest Hills, NY                   Excess Security                    =    $   +   86.05

APT. #   :    7-M
                                                                                 TOTAL OVERCHARGE       =    $    8,727.15
DOCKET # :    BD 110522-RO                                                                                     ============
                                                                                               Pg.  3  of  3
================+======================+==============+=============+=====================================+=================
     (1)        |          (2)         |      (3)     |     (4)     |           (5)            |   (6)    |       (7)
                |      LEASE TERM      |  ACTUAL RENT |  EFFECTIVE  |                          |  LAWFUL  |   OVERCHARGE
 TENANT'S NAME  |   FROM          TO   |    CHARGED   |   DATE OF   |        EXPLANATION       |  STABIL. |   CALCULATION
                |                      |              | INCREASE(S) |                          |  RENT /1 |
================+===========+==========+==============+=============+==========================+==========+=================
                |           |          |              |             |                          |          |
                |           |          |              |             |  Guideline 14:  09/30/82 |          |
   "   "        | 10/01/82  | 09/30/85 |  $ 398.35    |  10/01/82   |  rent of $286.51 +  9%   | $ 312.30 |  $   86.05
                |           |          |              |             |  guideline increase for  |          |      x 3.5 mos.
                |           |          |              |             |  a 3 year renewal lease  |          |  $  301.18
                |           |          |              |             |  10/01/82 - 01/13/83.    |          |
----------------+-----------------------------------------------------------------------------------------------------------
                |           |          |              |             |                          |          |
                |           |          |              |             |  CAB Opinion No. 21,232  |          |  $   86.05
 Ruth Simon     | 10/01/82  | 09/30/85 |  $ 363.35    |  01/13/83   |  Reduction for electrical| $ 277.30 |      x32.5 mos.
                | (Cont'd.) | (Cont'd.)|              |             |  inclusion ($35.00/month)|          |  $2,796.63
                |           |          |              |             |                          |          |
----------------+-----------+----------+--------------+-------------+--------------------------+----------+-----------------

/1   Where the actual rent charged is less than the rent with maximum permitted increases, the lawful stabilization rent is
     limited to the rent charged.


    

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