ADM. REVIEW DOCKET NO.: DB 210092 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.:  DB  210092  RO
                                                        
                                              :     D.R.O.    DOCKET    NO.:
                                                 058770, Examining Unit 
              EAST 92ND ST. REALTY CO.                                    
              C/O  MALEK  MANAGEMENT                Other  Party:   Milagros
                                                 Pagan,               Tenant
                                                            
                                 PETITIONER   :  
          ------------------------------------X 

            ORDER AND OPINION GRANTING PETITION FOR ADMINISTRATIVE REVIEW
            AND MODIFYING THE ADMINISTRATOR'S ORDER

               On February 14, 1989, the above named petitioner-owner  filed
          a Petition for Administrative Review against an  order  issued  on
          February 3, 1989, by the Rent Administrator at 10 Columbus Circle, 
          New York, New York, concerning  housing  accommodations  known  as
          Apartment No. 2B at 455 East  92nd  Street,  Brooklyn,  New  York,
          wherein the Administrator  established  the  stabilized  rent  and
          directed the owner to refund $44.79, including interest from April 
          1, 1984. 

               The Commissioner has reviewed all  of  the  evidence  in  the
          record and has carefully considered that  portion  of  the  record
          relevant to the issues raised by the administrative appeal.  

               This proceeding was originally commenced in October  of  1985
          by the filing of a complaint of rent overcharge by the tenant. 

               The owner submitted a rental history from the base date.

               On the chart attached to and made a part of  the  order,  the
          Administrator established the stabilized rent.

               In its Petition, the owner contends  that  the  Administrator
          erred on the rent calculation  chart  attached  to  the  order  by
          failing to acknowledge that electricity is  not  provided  by  the
          owner and, therefore, the owner was entitled to  a  4%  Guidelines
          increase under the tenant's one year renewal lease which commenced 
          on June 23, 1983 instead of the  3%  increase  set  forth  in  the
          chart. 

               The  tenant's  answer  to  the  Petition  was  not   directly
          responsive to the issues raised in the Petition.



               The Commissioner is of the opinion that the  Petition  should
          be granted and the Administrator's order should be modified. 






          ADM. REVIEW DOCKET NO.: DB 210092 RO

               The  Commissioner  notes  that  the  only  overcharge   found
          hereinbelow was during the Guidelines 14 lease term  of  June  23,
          1983 to June 22, 1984 (the rent thereunder was  continued  through
          September 30, 1984).

               The Commissioner finds that the leases submitted  below  show
          that the tenant's rent did not include a  charge  for  electricity
          provided by the owner.  The Commissioner notes  that  the  correct
          Guidelines  increase,  under  Guidelines  14,  for  the  lease  in
          question is 4%, not, as the chart below  stated,  3%.   Therefore,
          the Commissioner finds that the order below should be modified  to
          direct the owner to refund the following overcharges:  

          Lease    Actual Rent                            Stabilized   Over-
          Term     Charged      Effective  Explanation    Rent        charge 
                                                     
          6/23/83-   $224.36    6/23/83   Guidelines #14:   $223.60   $11.49 
          6/22/84               (rent con- 4% increase over          ([$.76x 
                                tinued      Base  Rent  of                15
                                through    $215.00 for a  1            mos]+
                                9/30/84)   yr renewal lease         interest
                                9/30/84)    yr  renewal  lease          from
                                                                    4/1/84: 
                                                                     6 mos)
           
               The Commissioner notes that  the  Administrator's  order,  as
          modified by this order and opinion, may, upon  the  expiration  of
          the period in which the owner may institute a proceeding  pursuant
          to Article Seventy-eight of the Civil Practice Law and  Rules,  be
          enforced by the  tenant's  offsetting  not  in  excess  of  twenty
          percent thereof per month against  any  rent  thereafter  due  the
          owner.

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

               ORDERED, that this  Petition  be,  and  the  same  hereby  is
          granted; and that the  Administrator's  order  be,  and  the  same
          hereby is amended in accordance with this order and opinion. 

          ISSUED:






                                                                        
                                          ELLIOT SANDER
                                          Deputy Commissioner



                                          










          ADM. REVIEW DOCKET NO.: DB 210092 RO


























    

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