Rent-Stabilization Hike: Lose-Lose?

At the conclusion of the typically rowdy Rent Guidelines Board meeting last night, the board authorized increases of 4.5 percent on one-year leases and 8.5 percent on two-year leases for the city’s 1 million rent-stabilized apartments. The hike was the largest one in almost two decades, but many landlords were unhappy with the decision, saying operating costs (especially fuel charges) have skyrocketed. “I am not satisfied with what we have at all,” said one landlord quoted in the Sun. According to the Times, the Rent Stabilization Association, which represents thousands of landlords, had been pushing for increases of between 10 and 15 percent. The board gave another concession to landlords in the form of a supplemental monthly rent increase of $45 for one-year leases or $85 for two-year leases for tenants who have lived in stabilized units for more than six years. Tenants, of course, expressed frustration with the board’s decision. The point we’re making is that this is a charade, Michael McKee, the treasurer of Tenants Political Action Committee, is quoted as saying in the Times. This was a done deal from the beginning. Before the meeting last night, Council Speaker Christine Quinn held a rally in support of a bill before the Legislature that would restructure the Rent Guidelines Board (which is solely comprised of members appointed by the mayor) and deny rent increases for one year on any unit with serious violations.
Board Backs Rise in Rent Up to 8.5% [NY Times]
Rent Increases Are Approved For Stabilized Apartments [NY Sun]
Photo by richarddavis.