The Real Deal New York

Rent Guidelines Board to vote on hike for rent-regulated tenants

Despite landlord costs, de Blasio wants to exempt 1M New Yorkers from increase
May 02, 2014 09:00AM

The city’s Rent Guidelines Board is expected to take a preliminary vote early next week on whether almost 1 million rent-regulated tenants should face a rent hike this year.

If the board were to vote in favor of a rent increase for roughly 33 percent of the rent-regulated housing units in the city, the issue would be the subject of various public hearings. The board would then vote again in late May. Mayor Bill de Blasio, who appointed six members of the nine-member board, supports making rent-regulated tenants entirely exempt from a rent increase for the rest of the 2014. Meanwhile, landlord operating costs climbed 5.7 percent in the year that ended in late March, as a result of city taxes and heating and insurance costs.

“The administration plans to undertake an ambitious agenda that confronts the affordability crisis facing the city’s tenants,” Wiley Norvell, spokesperson for de Blasio, told the Wall Street Journal. “The board’s work is only now just beginning and it has a lot more data to review and stakeholders to hear from before it considers its approach for the coming year.”

Rachel Godsil was appointed the new chair of the board last month, as previously reported. [WSJ]Mark Maurer

  • Mark

    how is this even possible? how are owners suppose to maintain their properties if these losers can’t increase rents year – over -year??… everything else in life gets more expensive, i don’t understand the justification to keeping rents flat….

    • Anti Socialist

      Dollar bill de Blasio is running for a second term. Can’t you see this?

  • Sh!t My Tenants Say

    Let’s waste more time and taxpayer $ arguing over insignificant rent increases. Many of the rents we are talking about are under <$1000, which means even a 5% increase is only <$50. This does not fix anything, yet it furthers the divide between market rate and RS.

  • TefExpat

    Why does the board want to create a parasite class?

    • marknroses

      Because they comprise a huge voting block (i.e political). Rent stabilization is the most misguided affordable housing policy ever created.

  • If you can’t maintain your buildings, sell them. You knew they were rent stabilized when you acquired them.

    • HughGass

      rent stabilization was enacted after most of the buildings were built… so, “no” is the answer to your question for many people who’ve owned them for generations.

      • noclist

        Actually, most of them were built with 5% federally subsidized loans in the 50s in exchange for being under rent stabilization. You may be thinking of rent control. Different.

    • marknroses

      or just let it rot until it becomes a more valuable development site for a project that appeals to higher-earning market-rate buyers/renters

  • WannaBeLandlord

    Rent Guidelines Board should take a trip to Houston, TX. Brand new apartment complexes with very affordable rents cause if yah don’t pay, yah out. Texas is the king economy in this country cause free markets prevail. Plenty of high paying jobs. Even a high school dropout moron can make $60k a year.

  • noclist

    Deblasio campaigned on rent freeze and stacked the board with pro-tenant members. Rent freeze is coming.

  • Anon

    Be grateful for small things (no pun intended) – if De Blasio had the cahunas he would order a decrease in the RS apartments

    • Pro Buisness

      LOL. Unfortunately with this Communist at the helm you make a reasonable point.

  • TefExpat

    He also has plans for the Projects

  • Les

    There are a lot more tenants than there are building owners to cast votes at the next election. This explains everything. I haven’t heard about real estate tax and water/sewer rate freezes to go along with the rent freeze. Of course not.