DOCKET NO.: BG 110344 RO
                                  STATE OF NEW YORK
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                              JAMAICA, NEW YORK  11433

          APPEAL OF                               DOCKET NO.: BG 110344 RO

               Janet Spafford
               Grenadier Realty Corp,             DISTRICT RENT 
               Agent for Glen Oaks                ADMINISTRATOR'S DOCKET    
               Village Owners, Inc.,              NO.: Q 3119745 R


               On July 31, 1987, the above-named petitioner-owner filed a 
          Petition for Administrative Review of an order issued on July 3, 
          1987, by the District Rent Administrator, 10 Columbus Circle, New 
          York, New York, concerning housing accommodations known as 
          Apartment 41 G4-2, 75-38 263rd Street, Glen Oaks, N.Y. wherein 
          the District Rent Administrator determined that the tenant had 
          been overcharged.

               The Commissioner notes that this proceeding was initiated 
          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, any reference in this order and opinion to 
          Sections of the Rent Stabilization Code is to the Code in effect 
          on April 30, 1987, and this proceeding is being determined in 
          accordance therewith.

               The issue under appeal is whether the 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.

          DOCKET NO.: BG 110344 RO

               This proceeding was originally commenced by the filing of a 
          rent overcharge complaint by the tenants with the New York City 
          Conciliation and Appeals Board, one of the predecessor agencies 
          to the DHCR.  The tenant took occupancy pursuant to a lease 
          commencing May 15, 1977 and expiring May 14, 1979 at a monthly 
          rent of $299.90.

               The owner was served with a copy of the complaint ans was 
          requested to submit rent records to prove the lawfulness of the 
          rent being charged.  In answer to the complaint, the owner 
          submitted a complete set of leases from the base date (June 30, 
          1974) and the rental history for the subject apartment.

               In Order Number CDR 30,768, the Rent Administrator 
          determined that the tenant was overcharged in the amount of 
          $1,173.20, including interest on overcharges collected on or 
          after April 1, 1984, and established the lawful stabilized rent 
          for the lease term commencing June 1, 1983 and terminating May 
          31, 1986 at $384.40 per month, and directed the owner to roll 
          back the rent accordingly and to refund the overcharges to the 

               In this petition, the owner contends that the Rent 
          Administrator improperly calculated the increase allowance for 
          the two-year vacancy lease commencing in May 1977, and that the 
          incorrect calculation resulted in the determination of an 
          overcharge of $9.12 per month for that period.

               The tenant did not respons to this petition.

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

               The legal stabilized rent for the lease commencing March 1, 
          1976 and terminating February 28, 1978 was $257.33.  The 
          Commissioner finds that the Administrator correctly calculated 
          the subsequent two-year vacancy lease allowance by adding to that  
          sum the 8% Guidelines No. 8 increase and a 5% vacancy increase, 
          or 13%, which total $290.78.

               Accordingly, the Commissioner finds no basis for reversal of 
          the Administrator's order based on the subject Petition for 
          Administrative Review.

               This order of the State Division of Housing and Community 
          Renewal awarding penalties may, upon the expiration of the period 
          in which the owner may intitute a proceeding pursuant to Article 

          DOCKET NO.: BG 110344 RO

          78 of the Civil Practice Law and Rules, be filed and enforced as
          a judgment or not in excess of twenty percent thereof per month

          of the amount owed by the owner may offset against any rent 
          thereafter 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 the Rent Administrator's order be and the same hereby is 


                                             ELLIOT SANDER
                                             Deputy Commissioner


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