Evening star., 1942-12-20
Greenway Tenants
Save $4,000 Under
Rent Board RuIinq
Apartments Had Asked
Increases Aeereeoting
About SIS 900 q Yeor


About $25, 900 q Yeor
In the largest consolidated case
since the Rent Control Act went
into effect January /, three exam
liners of the District Rent Control
Administration yesterday mailed
notices Of price ceilings for the 796
units of the Greenway Apartments
that gave the tenants an estimated
annual saving of $4,000.
Greenway, Inc, had asked for in
creases aggregating about $4,000
annually in the maximum legal
rents. although its president, Morris
Cafritz, testified under oath that
rents would not be raised on any
Of the present tenants. Increased
were granted by the examiners in
some instances, but with the limi-
tation that there are in existence
certain unexpired leases and an
agreement upon the part of the
landlord :. which have the effect
of postponing such increase in
rents"
$50 Tenants Share Cuts.
Ernest F. Henry, general counsel
for the Rent Control Administration
who worked until late Friday night
studying the decisions, said he be-
lieved $50 tenants would share the
reductions. Unless written requests
for reviews are received from either
OF the two sides in the case, the
orders will automatically go into
effect December 81.
The proceedings, which started
last summer, were based on petitions
filed against tenants by Mr.. Cafrita
after several of them had filed petit
tions with the rent administrator
seeking lower rates. The bulk of
the cases were filed in July. The
apartment development is at East
Capitol street and Minnesota avenue
Sc. and houses about 1880 persons.
The greatest decreases, Mr.. Henry
said, would take place in the last
group Of apartments built and oc-
cupied, portion of which is said
to be adjacent to railroad tracks.
In some cases here, he said, the
examiners have lowered two-bed-
room units from $63 to $57, and
one-bedroom units from $50 to $48.
Increases generally, he said, would
be made in the first group, where
one-room apartments would go from
$3.50 to $40.
Top Rentals Listed.
Top rentals for a two-bedroom
apartment. which was s63, would be
S6l when the examiners rulings 90
into effect. In the case of one
bedroom apartments, top prices have
been lowered from $50 to $50.
Mr.. Henry gave this picture,
which, he emphasized, was very
general: Group /, completed in
March April, 1941, and Group 4,
finished in July of that year, have
rents raised ito level consistent
and equal to recommended de-
creases in other units; no increases
and few decreases in Group 2 and
Group 3, completed in May and
June, 1941; and rents of Group S
and 6, finished in August and No
vember-December, 1941, respectively,
practically all reduced.
I'm the long run-after the ex-
piration of certain. leases and after
the turnover of tenants releases the
development from its promise not
to increase rents on present ten
ants-Mr. Henry estimated that the
increases allowed would balance"
the decreases ordered by the ex-
amMers.
Rents Leveled Off.
1T appears" said Mr.. Henry, that
the examiners have leveled off the
rents throughout the entire project"
In its findings, the examiners took
into consideration. they said, such
matters as proximity to the rail-
road tracks, the floor and location.
In testifying at the hearings on
the case in August, Mr. Cafritz ad-
mitted there were inequities in the
current rent schedule but contended
that they were the result of a mis-
take" which fixed some of the rents
at a level lower than that war
ranted by building costs and the
value provided.
Planned Low-cOst Project.
At that time, Mr. Cafritz testified
that he had first envisioned a low
cost housing project and that he
subsequently had revised his plans to
include number of improvements.
However, he did not revise rents
sufficiently to meet the increased
cost of these charges, he told the
examiners.
The order for each case was placed
In the mail yesterday and pre-
sumably will be received by the ten
ants and management tomorrow.
The first part contains findings of
facts followed by the order setting
the ceiling for the particular unit
involved. Each of the 796 orders
was signed by the examiners, J.
Warren Wilson, Leonard S. Hayes
and Ernest F. Williams.
After the close of the hearings in
September, counsel for tenants and
management, it was said, took some
time in preparing proposed findings.
Meanwhile, it was said, the ex-
aminers inspected Greenway and
other comparable projects.
Pudnn@ Nirn~4nv Non@.l.