Democratic Assembly Passes Pro-Tenant Legislation
In a potentially huge set-back to New York City landlords, the New York State Assembly passed a new package of legislation yesterday that strengthen’s rent regulation across the state and gives more authority to the pro-tenant New York City Council. According to The Times, the new rules would “essentially return to regulation tens of thousands…
In a potentially huge set-back to New York City landlords, the New York State Assembly passed a new package of legislation yesterday that strengthen’s rent regulation across the state and gives more authority to the pro-tenant New York City Council. According to The Times, the new rules would “essentially return to regulation tens of thousands of units that were converted to market rate in recent years” and reduce the amount a landlord is allowed to increase the rent upon a vacancy from 20 percent to 10 percent. It’s a matter of fairness, said Jonathan L. Bing, an assemblyman who represents the Upper East Side. We’re trying to give people a way to live out their lives in the neighborhoods they’ve been calling home for decades. On the other side of the coin: This is going to be very devastating, said Joseph Strasburg, president of the Rent Stabilization Association, a group that represents landlords and real estate agents in the city. New York City is the last big city in the country that has any strong form of rent regulation. And at a time when we have an economic recession, when rents are actually going down, this will put another nail in the coffin. In our opinion, the government should spend more time and resources making sure landlords adequately maintain their buildings and abide by the legal terms of their leases with tenants and less time trying to fight the laws of supply and demand. After all, rents are already coming down anyway.
Assembly Passes Rent-Regulation Revisions [NY Times]
Photo by Bobble
I vote Democrat in national elections and Republican in state and local elections. The former is for social reasons, and the latter is for economic reasons. This is not an uncommon pattern among fiscal conservatives in the Northeast.
Hey Ironhead! What about the 1+ Trillions that was given to Wall Street? Then they gave “Bonuses” to all of their Homeboys.. Gotta love Ammerica!
The What
Someday this war is gonna end…
Brooklynnative,
I agree. But also remember to vote Republican next time you go to the voting booth.
On the presidential level, it doesn’t matter as much. But locally, you can’t vote for these Democrat representatives if you really want free market housing in NYC.
As I said before, they’re beholden to the one million plus below market rent regulated tenants who are loath to seeing their squatter rights affected.
A friend of mine’s mother has a three bedroom Mitchell Lama rental on Cherry Street near Chinatown that she literally pays $25/month for. The parking lot is full of BMWs and Mercedes. The mother doesn’t work, but the daughter who lives with her makes over $100k/yr. You think they could afford a rent increase?
It’s a big joke and all working, tax paying New Yorkers without such crazy deals suffer for it.
“The What – the reason the Bronx burned in the 1970’s is because landlords, thanks to rent control (most buildings were built before 1947 and were subject to onerous rent regulations), had negative cash flow! There was no money for a new boiler, new roof or new windows. No bank would lend to them. So the buildings were abandoned and/or torched. You really have no idea what you’re talking about.”
Hey Asshead parse your own statement : “had negative cash flow! There was no money for a new boiler, new roof or new windows. No bank would lend to them. So the buildings were abandoned and/or torched. You really have no idea what you’re talking about.”
Just like now! Here are some metrics you Assheads don’t know. In the good ole days (Pre MAB) a apartment building would go by the “Rent Roll”. Usually about 3X rents was the norm then in 2003 (When I was in RE) it was 5X rent roll. Now you have retards paying 12X, 15X and yikes 22X rent roll!! This is why Stuyvesant Town is in big trouble!!!! You had Retard with access to big money and no clue on how to manage apartment buildings!!! This is the main reason why we had a Mutant Asset Bubble, too many Specuvestors and Dumbasses and I hope they get smashed!
“The What will be dancing in the street as the market crumbles. It’s a horrifying thought.”
I will be wearing the MC Hammer pants dancing to “You can’t touch this”!
http://www.dailymotion.com/video/x1sq9k_mc-hammer-you-cant-touch-this_music
The What (Obama is taking applications for TARP money)
Someday this war is gonna end…
Our state government is truly dysfuntional. The state is facing a budget gap on the order of 10’s of billions of dollars,and what do the political hacks in Albany have on their mind: extending rent protection to those making $200,000 or more. Brilliant!
Do these hacks ever stop to ask themselves how other big cities manage without rent control?
All that this legislation will do is to further hasten the conversion of rentals to condos.
The What – the reason the Bronx burned in the 1970’s is because landlords, thanks to rent control (most buildings were built before 1947 and were subject to onerous rent regulations), had negative cash flow! There was no money for a new boiler, new roof or new windows. No bank would lend to them. So the buildings were abandoned and/or torched. You really have no idea what you’re talking about.
If NYC wants rent stabilization, then landlords should be reimbursed by the city for a large percentage of the difference between market rents and stabilized rents. The burden of subsidies should not be on the landlords.
Those Dem politicians could kill the NYC real estate market if they’re successful, which is highly likely.
Landlords who purchased buildings in the last ten years with big mortgages expecting a certain amount of rent regulated attrition could be wiped out.
The What will be dancing in the street as the market crumbles. It’s a horrifying thought.
In addition to posting comments here, I’d suggest that people make their opinions known to their state assembly representatives. It seems to me the majority of people on this board understand how unfair and destructive these laws have been but I think the bozos in Albany don’t realize how many small landlords there are out there with rent regualated/stablized tenants. Find out how they voted on the bill and let them know how you feel.
Rent regulation exists because the market has failed New Yorkers. New York City needs affordable housing for the thousands of workers on whom the city depends that cannot afford market rates. If the market was working, it would not need government intervention.
Vacancy decontrol completely undermines the rent regulation system. Overturning vacancy decontrol is necessary to make rent regulation effective.