BG 610206 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 610206 RO
                                              :  DRO DOCKET NO. ZB-005658-R
               2251 MORRIS AVENUE CORP.          TENANT: CRYSTAL FELDER

                                PETITIONER    : 
          ------------------------------------X 

            ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW


               On July 23, 1987, the above-named  petitioner-owner  filed  a
          Petition for Administrative Review against an order issued on June 
          24, 1987, by the Rent  Administrator,  92-31  Union  Hall  Street,
          Jamaica, New York, concerning the housing accommodations known  as
          2347 Tiebout Avenue, Bronx, New York, Apartment  No.  5D,  wherein
          the Rent Administrator determined that the owner  had  overcharged
          the tenant.

               The Administrative Appeal is being determined pursuant to the 
          provisions of Section 2526.1 of the 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 September 1985 by 
          the filing of a rent overcharge complaint by the tenant herein who 
          first moved to the subject apartment on October 15, 1984.

               In answer to the  complaint  the  owner  submitted  a  rental
          history from February 1, 1982.

               In  Order  Number   ZB-005658-R,   the   Rent   Administrator
          determined that the tenant had been overcharged in the  amount  of
          $174.45 including interest and directed the owner to  refund  such
          overcharge to the tenant.   In  such  order,  the  owner  was  not
          credited with a 7 1/2% vacancy allowance pursuant to Guideline 16.

               In this petition, the owner contends in substance that  there
          is no rent overcharge in that the Rent  Administrator  incorrectly
          failed to include a 7 1/2% vacancy allowance pursuant to Guideline 
          16, in determining the lawful stabilization rent  on  October  15,
          1984 (initial occupancy of the tenant herein).

               The Commissioner is of the opinion that this petition  should








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          be denied.

               Pursuant to Guideline 16, a 7 1/2% vacancy allowance  can  be
          granted only in cases where there had not been a previous  vacancy
          allowance in the apartment from October 1, 1983 to  September  30,
          1984 - the Guideline 15 period.

               In the instant case, the evidence of record including  copies
          of leases submitted by the owner discloses that the rent  for  the
          subject apartment  was  $220.35  pursuant  to  a  two  year  lease
          commencing February 1, 1982, that the rent was then  increased  to
          $270.00 pursuant to a one year vacancy lease  commencing  December
          19, 1983 under Guideline 15 - then in effect.  Such rent  increase
          from $220.35 to $270.00 included a vacancy  allowance.   Therefore
          since the owner already received a Guideline 15 vacancy allowance, 
          it is not entitled to a Guideline 16 vacancy allowance as well and 
          the Rent Administrator's order to that effect  was  warranted  and
          must be affirmed.

               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, denied,  and,  that  the  order  of  the  Rent
          Administrator be, and the same hereby is, affirmed.

          ISSUED



                                                                        
                                          ELLIOT SANDER
                                          Deputy Commissioner




                                                    
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