BH110268RO

                                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. BH110268RO 

                                          :  DISTRICT RENT OFFICE
           Aris Realty Corp.,                DOCKET NO. Q3120881R
                                                                        
                                             TENANT: Frank Mareno
                            PETITIONER    : 
      ------------------------------------X                             

           ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW


      On August 10, 1987, the above-named petitioner-owner filed a Petition 
      for Administrative Review against an order issued on July 24, 1987, by 
      a  Rent Administrator, concerning the housing accommodations known as 
      33-53 82nd Street, Jackson Heights, New York, New York, Apartment No. 
      D32, 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 42A of the former 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 by the filing on March 31, 1984 
      of a rent overcharge complaint by the tenant.  The tenant had assumed 
      occupancy of the apartment pursuant to a lease commencing on October 1, 
      1980 and terminating on September 30, 1981 at a rent of $410.00 per 
      month.

      In response to the complaint, the owner submitted a complete lease 
      history commencing with the two year vacancy lease of the first 
      stabilized tenant, effective June 1, 1978, for a rental of $310.00 per 
      month.  These documents were stamped as received by the DHCR on August 
      25, 1986.








          BH110268RO

      In Order Number Q3120881R issued on February 13, 1987, the Rent 
      Administrator determined that due to the owner's failure to submit 
      complete rental history, the owner had collected a rent overcharge of 
      $4,160.52 including interest on that portion of the overcharge occurring 
      on and after April 1, 1984.  The Administrator determined the 
      complainant's vacancy rent to be $364.36.

      On July 24, 1987, the order was reissued, as amended, to state the 
      correct address of the owner, but with no other changes.

      In its petition, the owner contends that it never defaulted but had in 
      fact sent all requested information to the DHCR, including all leases 
      from the base date as well as the tenant's withdrawal of the complaint, 
      in a statement dated October 11, 1986.  The petition further notes that 
      the documents were sent by certified mail, return receipt requested and 
      were received by the DHCR on October 16, 1986.  The owner contends that 
      the tenant was not overcharged.

      The tenant's answer did not address the issues raised in the owner's 
      petition.

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

      An examination of the record reveals that petitioner had submitted the 
      requested lease history on October 16, 1986, but that the Administrator 
      had mistakenly processed the case as a default.  Utilizing the owner's 
      lease history, a calculation of the lawful rent establishes a total 
      overcharge of $61.20, as follows:

      Lease term: 10/1/81 to 9/30/83
           Tenant paid lawful rent of $463.30

      Lease term: 10/1/83 to 9/30/84
           Lawful rent:   Base rent of $463.30 + 4% increase for 1 year 
                          renewal lease under Guidelines 15 = $481.83

           Paid: $483.08
           Overcharge: $1.25 x 12 mos. = $15.00 + int. (6 mos.) = $17.13

      Lease term: 10/1/84 to 9/30/85
           Lawful rent:   Base rent of $481.83 + 6% increase for 1 year 
                          renewal lease under Guideline 16 = $510.74
           Paid: $512.06
           Overcharge: $1.32 x 12 mos. + (int.) = $19.26

      Lease term: 10/1/85 to 9/30/86
           Lawful rent:   Base rent of $510.74 + 4% increase for 1 year 
                          renewal lease under Guideline 17 + $11.80 for new 
                          refrigerator ($471.92 divided by 40 = $11.80) = 
                          $542.97
           Paid $544.81 
           Overcharge: $1.84 x 12 mos. (+int.) = $24.81
           
                TOTAL OVERCHARGE = $61.20

      A copy of this order and opinion is being sent to the current tenant of 
      the subject apartment.


          BH110268RO


      THEREFORE, pursuant to the Rent Stabilization Law and Code, it is

      ORDERED, that the 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.


      ISSUED:



                                                                    
                                      JOSEPH A. D'AGOSTA
                                      Deputy Commissioner





    

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