Rents Increases Approved for Over 1 Million Rent-Stabilized Units

by Mindy Cohn

New York City's Rent Guidelines Board voted Wednesday to increase rents by up to 3% for more than a million tenants of rent-stabilized apartments.

A panel of nine mayoral appointees approved increases on Wednsday by a five to four margin. One-year leases will go up by 3% and two-year leases will rise by 2.75% in the first year and 3.2% in the second year for tenants of rent-stabilized units. The increases will affect renters who sign new leases after October 1.

Neither tenants nor landlords were happy with the final decision. The unhappiness was expressed by protestors even before the vote was cast. Demonstrators loud antics drowned out discussions and even the panel vote due to loud jeers, chanting, and even whistle-blowing.

Tenants were unhappy that the increase is the second in as many years as the board approved a 3.25% hike last year on one-year leases. They claim that increases will create more homelessness and further poverty.

Landlords feel the meager increase was not in line with skyrocketing costs, making it challenging to reinvest in their buildings. 

The Rent Stabilized Association, comprised of landlords and building owners, said in a statement, "Owners need adequate rent adjustments to keep pace with constant increases in property taxes, insurance and mortgage rates, and utility, energy, maintenance, and other operational costs."