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
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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 :
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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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