GH210264RO

                                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. GH210264RO

                                          :  DRO DOCKET NO. EA210015R
           Robinson 1601 Realty Corp.,
                                             TENANT: Arly Frage               
            

                            PETITIONER    : 
      ------------------------------------X                             

          ORDER AND OPINION GRANTING PETITION FOR ADMINISTRATIVE REVIEW


      On August 3, 1992, the above-named petitioner-owner filed a Petition for 
      Administrative Review against an order issued on July 22, 1992, by a 
      Rent Administrator concerning the housing accommodations known as 1601 
      Beverly Road, Brooklyn, New York, Apartment No. 4T wherein the Rent 
      Administrator determined that the owner had overcharged the tenant.

      The Administrative Appeal is being determined pursuant to the provisions 
      of Section 2526.1 of the 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 January 2, 
      1990 of a rent overcharge complaint by the tenant.

      The tenant stated that he assumed occupancy pursuant to a 2 year lease 
      effective April 1, 1987 at a rent of $513.44.  The tenant alleged that 
      the prior tenant had paid only $410.00, and that he felt his own rent 
      was an overcharge.

      The owner was served with the complaint and submitted a rental history 
      from September 1, 1991.

      In Order Number EA210015R, the Rent Administrator determined that the 
      subject apartment was vacant on April 1, 1984 and that, due to the 
      owner's failure to submit proof that the first stabilized tenant after 
      April 1, 1984 had been served with the RR-1 (initial registration), the 
      tenant had been overcharged in the amount of $31,358.99, including 
      interest and treble damages, and directed the owner to refund such 
      overcharge to the tenant as well as to reduce the rent.

      In this petition, the owner contends that it had properly filed an 
      initial apartment registration form in 1986, and that the DHCR has a 







          GH210264RO

      copy of this in its records.

      The tenant's answer disputes the owner's claim that it had complied with 
      registration requirements.

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

      The lease history submitted by the owner establishes that all rent 
      increases on leases since the initial registration have been in 
      accordance with the rent guidelines.  In fact, the Administrator 
      acknowledges this in a rent calculation chart which specifies the 
      guidelines provisions that account for the increases.  The only reason 
      stated in the order for the finding of a rent overcharge is that the 
      owner had failed to file an initial registration with the DHCR or to 
      serve one on the initial registered tenant.  A review of DHCR records 
      establishes, however, that the owner has filed a registration statement 
      with the Division for every year since 1984.  Furthermore, although the 
      owner has not submitted proof of service of the RR-1 on the initial 
      registered tenant, the complainant  is not the initial registered tenant 
      and has made no allegations concerning the service of the initial 
      registration on the initial registered tenant.  The complaint was 
      therefore limited to a review of the rent history for the four years 
      prior to the most recent registration statement, which for a complaint 
      filed on January 2, 1990 is April 1, 1985.  As so limited in scope, the 
      order should have found that there were no overcharges.     

      If the owner has already complied with the Rent Administrator's order 
      and there are arrears due to the owner as a result of the instant 
      determination, the tenant is permitted to pay off the arrears in 24 
      equal monthly installments.  Should the tenant vacate after the issuance 
      of this order or have already vacated, said arrears shall be payable 
      immediately.

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

      ORDERED, that this Petition be, and the same hereby is, granted that the 
      Rent Administrator's order be, and the same hereby is, revoked, and it 
      is determined that no rent overcharge occurred. 

      ISSUED:



                                                                    
                                      JOSEPH A. D'AGOSTA
                                      Deputy Commissioner
    

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