ADM. APPEAL DOCKET NO. BJ 130138 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.  BJ  130138  RO
                                                       
                                              :     D.R.O.    DOCKET     NO.
                                                 Q 3118951 R
                 JANET SPAFFORD,                                 

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

                   ORDER AND OPINION DENYING ADMINISTRATIVE APPEAL


               On October 15, 1987 the above-named petitioner-owner filed an 
          Administrative Appeal against an order  issued  on  September  23,
          1987 by the District Rent Administrator, 10 Columbus  Circle,  New
          York, New York, concerning the  housing  accommodations  known  as
          260-57 Langston Avenue, Glen Oaks, New York, Apartment N .  120E7-
          1. 

               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,  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 Sections 10B, 20A, 42A and 63 of the Code. 

               The issue herein is whether the District  Rent  Administrator
          properly determined the tenant's complaint of rent overcharges.

               The District Rent  Administrator's  order,  appealed  herein,
          determined that the tenant had been overcharged a total, including 
          excess security and accrued interest, of $278.03 during the period 
          from December 1, 1972 through November 30, 1986;  and  established
          the lawful stabilization rent under the lease from December 1,1984 
          through November 30, 1986 at $281.36 per month.  It was  noted  in
          the order that the lawful stabilization rent under the lease  from
          December 1, 1969 through November 30, 1972 was $166.50, an  amount
          equal to the rent actually charged; that the  May  31,  1968  base
          rent of $145.00 had been increased by 15% for a three year renewal 


          lease under Guideline Order No. 1; and that where the actual  rent
          charged is less than the rent with the maximum permitted increase, 






          ADM. APPEAL DOCKET NO. BJ 130138 RO
          the lawful stabilization rent is limited to the rent charged.   

               On appeal, the petitioner-owner alleges, in  substance,  that
          the District Rent Administrator incorrectly calculated the  lawful
          rent under the lease from December 1, 1969  through  November  30,
          1972; that the lawful rent  was  $166.75  not  $166.50;  and  that
          recalculating each subsequent increase produces no overcharge.

               After a careful  consideration  of  the  entire  evidence  of
          record the Commissioner is of the opinion that the  administrative
          appeal should be denied.

               In the proceeding before the District Rent Administrator, the 
          owner submitted a complete  set  of  leases  to  substantiate  the
          rental history for the subject apartment.  The lease for the  term
          from December 1,  1969  through  November  30,  1972  indicates  a
          monthly rent of $166.50.  While a 15% increase over the prior rent 
          of $145.00 produces a  maximum  permitted  rent  of  $166.75,  the
          lawful stabilization rent is limited to $166.50, the rent actually 
          charged.  Therefore, the  District  Rent  Administrator  correctly
          determined that the lawful stabilization rent under said lease was 
          $166.50, and properly based subsequent lawful  rent  increases  on
          said amount.  

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

               ORDERED, that this administrative appeal  be,  and  the  same
          hereby is, denied,  and  that  the  order  of  the  District  Rent
          Administrator be, and the same hereby is, affirmed. 

          ISSUED:







                                                                        
                                          ELLIOT SANDER
                                          Deputy Commissioner



                                          



















          ADM. APPEAL DOCKET NO. BJ 130138 RO

















    

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