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.: BH 410143-RO
                                         :  
                                            DRO DOCKET NO.: L 005964-R
       MARK OFSHTEIN
                           PETITIONER    : 
     ------------------------------------X                             


           ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW

     On August 17, 1987, the above-named petitioner-owner filed a Petition  for
     Administrative Review of an  order  issued  on  August  5,  1987,  by  the
     District Rent Administrator,  10  Columbus  Circle,  New  York,  New  York
     concerning housing accommodations known as Apartment 5 at  502  East  12th
     Street, New York,  New  York,  wherein  the  District  Rent  Administrator
     determined that the tenant had been overcharged.

     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  of  a  rent
     overcharge complaint by the tenant.  The tenant took occupancy pursuant to 
     a lease commencing October 1, 1984 and expiring September 30,  1985  at  a
     monthly rent of $825.00.

     In response to a notice from the DHCR, the owner submitted a lease  for  a
     prior tenant (Foerster) for the period from November 1,  1983  to  October
     31, 1984 at a monthly rent of $725.00.  

     In  the  order  under  appeal  herein,  the  District  Rent  Administrator
     determined that the April 1, 1984  registered  rent  of  $725.00  was  the
     initial legal registered rent for the apartment;  established  the  lawful
     stabilized rent for the tenant's initial lease term from October  1,  1984
     to September 30, 1985  at  $768.00,  and  directed  the  owner  to  refund
     overcharges  in  the  amount  of  $763.18,  including  interest   on   the
     overcharges collected on or after April  1,  1984,  to  the  tenant.   The
     Administrator  determined  that  since  a  vacancy  had  occurred   during
     Guideline 15, the owner was not entitled to the 7.5% vacancy allowance for 
     the tenant's initial lease under Guideline 16.

     In this petition, the owner  contends  that  a  vacancy  occurred  between
     October 1, 1983 and September 30, 1984, that the  last  vacancy  allowance
     was collected prior to October  1,  1983,  and  therefore  the  owner  was
     entitled to the Guideline 16 vacancy allowance for  the  tenant's  initial
     lease.









          DOCKET NUMBER: BH 410143-RO
     By notice dated June 26, 1991, the owner was requested to submit a copy of 
     the lease in effect immediately prior to the lease for  the  prior  tenant
     Foerster which commenced November 1, 1983.  The owner did not  respond  to
     this notice.

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

     Rent Guidelines Board Order Number 16,  applicable  to  leases  commencing
     between October 1, 1984 and September 30, 1985,  provides  for  a  vacancy
     allowance of 7.5% where there was a new tenancy commencing between October 
     1, 1983 and September 30, 1984 (Guideline 15) and no vacancy allowance was 
     collected during that period.  Where a  vacancy  allowance  was  collected
     during Guideline 15, no vacancy allowance is collectible  under  Guideline
     16.

     In the instant case, the owner acknowledges that a vacancy occurred during 
     Guideline 15, but the owner has failed to document his assertion  that  no
     vacancy  allowance  was  collected  during  that  period.   Therefore  the
     Commissioner finds that  the  Administrator  correctly  did  not  allow  a
     vacancy  allowance  for  the  complainant  tenant's  vacancy  lease  under
     Guideline 16.

     Because this determination concerns lawful rents  only  through  September
     30, 1985, the owner is cautioned to adjust subsequent rents to  an  amount
     no greater than that determined by this order plus any  lawful  increases,
     and to register any adjusted rents with this order and opinion being given 
     as the explanation for the adjustment.  A copy of this order  and  opinion
     is being sent to the current occupant of the subject apartment.

     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
     District Rent Administrator's order be and the same  hereby  is  affirmed.
     The total amount of overcharge is $763.18.

     ISSUED:













                                                                   
                                     ELLIOT SANDER
                                     Deputy Commissioner




                                                   
    

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