DOC. NO. BD 610440-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
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IN THE MATTER OF THE ADMINISTRATIVE : ADMINISTRATIVE REVIEW
APPEAL OF DOCKET NO.: BD 610440-RO
LLOYD GOLDMAN, DRO DOCKET NO.:
(c/o WYNDHAM REALTY CO.), : ZB-003793-R
PETITIONER : TENANT: MARIE GRAY
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ORDER AND OPINION GRANTING PETITION FOR ADMINISTRATIVE REVIEW
IN PART
On April 30, 1987 the above named petitioner-owner filed a Petition
for Administrative Review against an order issued on April 24, 1987 by
the District Rent Administrator 92-31 Union Hall Street, Jamaica, New
York concerning housing accommodations known as Apartment 9A at 930
Grand Concourse, Bronx, New York wherein the District Rent
Administrator determined that the owner had overcharged the tenant.
The issue in this appeal is whether the District Rent Administrator's
order was warranted.
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.
This proceeding was originally commenced by the filing in September.
1985 of a rent overcharge complaint by the tenant, in which she stated
that she had commenced occupancy on May 11, 1985 at a rent of $553.28
per month.
The owner was served with a copy of the complaint and was requested to
submit an answer, including a copy of the 1984 registration and proof
of service thereof. The owner submitted the proof of service as well
as receipts and cancelled checks for a new gas range and refrigerator.
In an order issued on April 24, 1987 the District Rent Administrator
determined that the tenant had been overcharged in the amount of
$987.16 as of April 30, 1987, and directed the owner to refund such
overcharge to the tenant as well as to reduce the rent.
In this petition, the owner contends in substance that there was no
rent overcharge in that the District Rent Administrator's order failed
to take into account the prior tenant's last lease, the cost
of new appliances, and an increase of 2.10% for a Major Capital
Improvement (M.C.I.).
DOC. NO. BD 610440-RO
The Commissioner is of the opinion that this petition should be
granted in part.
The Administrator calculated the increase in the tenant's vacancy
lease based on the rent in effect on September 30, 1984, the end of
the previous Guidelines period. The Administrator assumed that the
April 1, 1984 rent of $439.69 shown in the 1984 registration was also
in effect on September 30, 1984. However, as indicated on the 1985
registration, a renewal lease at a rent of $470.47 took effect on May
1, 1984. An order in Docket No. OM-5704 later retroactively increased
the lawful rent in that lease to $479.70, although such later increase
was not reflected in the 1985 registration since the order had not yet
been issued at that time. Since the M.C.I. order and the 1985
registration were in the DHCR's records the Commissioner finds it
appropriate to make use of them in calculating the lawful
stabilization rents and the amount of overcharge, which are set forth
on the amended rent calculation chart attached hereto and made a part
hereof.
The owner is incorrect in asserting that the Administrator did not
take the cost of new appliances into account. The owner submitted
receipts for $700.78 for a new refrigerator and stove. The
Administrator included a "20C(1) allowance of $17.52" in the rent
calculation chart and explained it in a footnote.
If the owner has already complied with the Administrator's order and
there are arrears due to the owner as a result of the present
determination, the owner is directed to allow the tenant to pay off
the arrears in six equal monthly installments. Should the tenant
vacate after the issuance of this order, or have previously vacated,
said arrears shall be payable immediately.
THEREFORE, in accordance with the Rent Stabilization Law and Code, it
is
ORDERED, that this petition be, and the same hereby is, granted in
part and that the Administrator's order be, and the same hereby is,
modified in accordance with this order and opinion. The lawful
stabilization rents are set forth on the amended rent calculation
chart attached hereto and made a part hereof. The total overcharge,
including excess security of $1.29, is $39.68 as of April 30, 1987.
ISSUED:
ELLIOT SANDER
Deputy Commissioner
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