BG 410164 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. BG 410164 RO
                                              :  DRO DOCKET NO.TC-070829-G
               HARLINGTON REALTY CORP.           TENANTS: ZUMMO AND INSOLIA

                                PETITIONER    : 
          ------------------------------------X                             
            ORDER AND OPINION GRANTING PETITION FOR ADMINISTRATIVE REVIEW


               On June 30, 1987, the above-named petitioner-owner filed a 
          Petition for Administrative Review against an order issued on May 
          28, 1987, by the Rent Administrator, 10 Columbus Circle, New York, 
          New York, concerning the housing accommodations known as 250 West 
          105th Street, New York, New York, Apartment No. 3C, wherein the Rent 
          Administrator determined that the owner had overcharged the 
          tenant.

          The Commissioner notes that this proceeding was filed prior 
          to April 1, 1984.  Sections 2526.1 (a) (4)  and 2521.1 (d) of the 
          Rent Stabilization Code (effective May 1, 1987) governing rent 
          overcharge and fair market rent proceedings provide that 
          determination of these matters be based upon the law or code 
          provisions in effect on March 31, 1984.  Therefore, unless 
          otherwise indicated, reference to Sections of the Rent 
          Stabilization Code (Code) contained herein are to the Code in 
          effect on April 30, 1987.

          The Administrative Appeal is being determined pursuant to the 
          provisions of Section 2526.1 of the current Rent Stabilization 
          Code.

          The issue herein is whether the 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 in March 1983, by 
          the filing of a rent overcharge complaint by the tenant.  In 
          answer to the complaint, the owner submitted a complete rental 
          history for the subject apartment.  In addition, the owner stated 
          that it had calculated a rent overcharge of $39.07, had refunded 
          such overcharge to the tenant and had reduced the tenant's rent as 
          of November 1, 1986.  A copy of a check in which $39.07 had been 
          refunded to the tenant was submitted in support of this 
          contention.










          BG 410164 RO

          In Order Number CDR 30,264, the Rent Administrator determined 
          that the tenant had been overcharged in the amount of $3553.39 and 
          directed the owner to refund such overcharge to the tenant.

          In this petition, the owner alleges in substance that the 
          Rent Administrator incorrectly designated a lease commencing 
          October 20, 1980 as a four year lease at a rental of $656.25 
          whereas there were two leases during such period - one commencing 
          October 20, 1980 at a rental of $565.73 (one year vacancy lease) 
          and one commencing November 1, 1981 at a rental of $656.25 (three 
          year renewal lease).  The owner further contends that when this 
          error is corrected, it is apparent that no rent overcharge 
          occurred.

          In answer to the owner's petition, the tenant agreed that a 
          calculation error had been made, but stated in substance that 
          there was still a rent overcharge.

          The Commissioner is of the opinion that this petition should 
          be granted.

          An examination of the records in this case including copies 
          of rent ledgers submitted by the owner discloses that the owner is 
          correct in its contention that there was a one year vacancy lease 
          commencing October 20, 1980 at a rental of $565.73 and a three 
          year renewal lease commencing November 1, 1981 at a rental of 
          $656.25.  Taking the above factor into account, the lawful 
          stabilization rents for the subject apartment including 
          appropriated guideline lease increases are as follows:  May 1, 
          1973 - $336.56; June 1, 1976 - $385.36 based on 14 1/2% guideline 
          7 increase for two year vacancy lease; June 1, 1978 - $437.38 
          based on 13 1/2% guideline 9 increase for two year vacancy lease; 
          June 1, 1979 - $487.68 based on 11 1/2% guideline 10 increase for 
          two year vacancy lease; October 20, 1980 - $565.71 based on 16% 
          guideline 12 increase for one year vacancy lease; November 1, 1981 
          - $656.22 based on 16% guideline 13 increase for three year 
          renewal lease; December 3, 1982 - $682.47 based on 4% guideline 14 
          increase for one year vacancy lease (first lease of complaining 
          tenants); January 1, 1984 - $709.77 based on 4% guideline 15 
          increase for one year renewal lease; January 1, 1985 - $752.36 
          based on 6% guideline 16 increase for one year renewal lease; 
          January 1, 1986 - $782.45 based on 4% guideline 17 increase for 
          one year renewal lease.

          The record further discloses that the complaining tenants 
          were charged the following rents: $682.50 effective December 3, 
          1982; $709.80 effective January 1, 1984; $752.39 effective January 
          1, 1985; $786.24 effective January 1, 1986 and reduced to $782.45 
          effective November 1, 1986 with a refund to the tenants of $39.07. 
          Based on the rent reduction and refund, no rent overcharge in fact 
          occurred.





          If the owner has already complied with the Rent 
          Administrator's order and there are arrears due to the owner as a 


          BG 410164 RO
          result of the instant determination, the tenants are permitted to 
          pay off the arrears in 24 equal monthly installments.  Should the 
          tenants vacate after the issuance of this order or have already 
          vacated, said arrears shall be payable immediately.

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

          ORDERED, that this petition for administrative review be, and 
          the same hereby is, granted, and, that the order of the Rent 
          Administrator be, and the same hereby is, revoked, and it is found 
          that no rent overcharge occurred.

          ISSUED



                                                                        
                                          JOSEPH A. D'AGOSTA
                                          Deputy Commissioner




                     




































    

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