STATE OF NEW YORK
DIVISION OF HOUSING AND COMMUNITY RENEWAL
OFFICE OF RENT ADMINISTRATION
92-31 UNION HALL STREET
JAMAICA, NEW YORK 11433
IN THE MATTER OF THE ADMINISTRATIVE : ADMINISTRATIVE REVIEW
APPEAL OF DOCKET NO. CB210354RO
: DISTRICT RENT OFFICE
1092 Realty Co., DOCKET NO. K3104396-T
TENANT: Alexander Lambert
ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW
On February 16, 1988, the above-named owner filed a Petition for
Administrative Review against an order issued on January 27, 1988, by a
Rent Administrator, concerning the housing accommodations known as 1092
Willmohn Street, Brooklyn, New York, Apartment No. F1, wherein the Rent
Administrator determined the fair market rent pursuant to the special
fair market rent guidelines promulgated by the New York Rent Guidelines
Board for use in calculating fair market rent appeals.
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 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.
The original proceeding was initiated by the tenant on March 31, 1984 by
filing an complaint and a fair market rent appeal.
A copy of the overcharge complaint was served on the owner, with notice
that this proceeding was assigned docket number K3106812-R.
A copy of the fair market rent appeal was also served on the owner, with
notice that the proceeding was assigned docket number K-3104596-T.
On July 16, 1986, prior to the issuance of the order hereunder review,
the Rent Administrator issued an order under docket number K3106812-R,
wherein it was determined that the subject tenant had not been
overcharged. This order reviewed the lawful stabilized rent for the two
lease periods from October 15, 1983 to October 14, 1987.
Subsequently, on November 24, 1987, the Rent Administrator issued an
order under docket number K3104396-T wherein the initial lawful
stabilized rent was established as $276.06 as of the lease term
commencing on October 15, 1983. As a result a total of $6,133.56 in
excess rent payments by the tenant was determined.
In its petition of Administrative Order K-3106812-R, the owner contends
that the DHCR had previously rejected the tenant's other complaint, as
stated in Order K3106812-R, and that the subject-order is thus invalid.
The Commissioner is of the opinion that the petition should be denied.
Section 26-513 of the Rent Stabilization Law provides, in pertinent
part, that fair market rent adjustment applications are to be determined
by the sue of special fair market rent guidelines orders promulgated by
the New York City Rent Guidelines Board and by the rents generally
prevailing in the same area for substantially similar housing
accommodations, it is DHCR's procedure for fair market rent appeal cases
filed prior to April 1, 1984 to allow owners to submit June 30, 1974
free market rental data for complete lines of apartment, beginning with
the subject line. The average of such comparable rentals will then be
updated by annual guidelines increases. Alternatively, DHCR procedure
allows owners to have comparability determined on the basis of rents
charged after June 30, 1974. In order to use this method owners were
required prior to November 1, 1984 to submit rental history data for all
stabilized apartments in the subject premises and subsequent to november
1, 1984 to submit such data for comparable lines of apartments beginning
with the subject line. Post-June 30, 1974 rent data will be utilized if
the comparable apartment was rented to a first stabilized tenant within
one year of the renting of the subject apartment and if the owner
submits proof of service of an initial legal regulated rent notice (DC-2
Notice) or apartment registration form indicating that the rent is not
subject to challenge.
The record in this case establishes that the tenant had filed a fair
market rent appeal and that such a proceeding was commenced by the DHCR
by assigning the case a docket number, D-3104596-T, that the owner was
served with a copy of the fair market rent appeal and was properly
advised of the nature of the proceedings and of the opportunity to
submit comparability data. The owner's answer contains references to
similar apartments, but no usable comparables were submitted.
Therefore, the Commissioner finds that the Administrator properly which
on the evidence in the record, and determined that the rent charged the
tenant, $400.00 per month, exceeded the fair market rent for the
The owner's sole objection to the proceeding is that the tenant had also
filed an overcharge complaint, and that the Administrative order that
was issued on July 16, 1986 had found that the same rent of $400.00 per
month was the lawful rent, and there was no overcharge. Although such
earlier order was not proper, and is hereby revoked by the Commissioner,
the subject order is nevertheless a valid one since the owner was
properly advised of all essential requirements of fair market rent
appeal proceedings and was given an opportunity to submit comparability
data, as evidenced by the owner's references to the rents of "similar"
THEREFORE, in accordance with the Rent Stabilization Law and Code, it is
ORDERED, that this petition be and the same hereby is denied; that the
Rent Administrator's order under Docket Number K3104396-T is and the
same hereby is affirmed, and that the Rent Administrator's order under
Docket Number K3106812-R is and the same hereby is revoked.
JOSEPH A. D'AGOSTA