(The Center Square) — The Mamdani administration kicked off its much-touted “rental ripoff” hearings Thursday to build the case for freezing rents, but a group representing landlords says they are being unfairly scapegoated for the city’s policies that are driving up housing costs.
Over the next several months the hearings, a key campaign pledge for democratic socialist Mayor Zohran Mamdani, will “give New Yorkers across all five boroughs a direct platform to share their housing experiences in one-on-one conversations with City officials and help shape housing policy,” the administration said in a statement.
“New Yorkers can discuss the challenges they face — from poor conditions and repair delays to unconscionable business practices and non-rent fees,” the statement said. “City leaders from agencies focused on tenant stability, housing quality, and consumer protection will be there to listen.”
But the New York Apartment Association, which represents landlords, said the hearings are “orchestrated to focus blame for the city’s housing crisis on private housing providers, while ignoring the impact of current policies that are driving much of the city’s rental housing into financial ruin.”
“No one denies that some renters are dealing with serious problems,” NYAA CEO Kenny Burgos said in a statement. “But when buildings don’t bring in enough income to cover property taxes, utilities, maintenance and basic operating costs, decline becomes inevitable, no matter who owns them.”
The group pointed to recent court documents filed by the Mamdani administration suggesting that a certain portfolio of rent-stabilized housing could not operate due to “very low-averaging rents.” He said those apartments already have rents higher than roughly one-third of current stabilized housing.Burgos said many landlords are charging “very low average rents” as they struggle with rising taxes, insurance, utilities and compliance costs. He said ignoring these financial realities “will not improve conditions for tenants” and called city leaders “to focus on reforms that help stabilize buildings and protect long term housing quality.”“The real rental ripoff in housing is a system that pulls rent money away from repairs and building operations through excessive taxes and unfunded mandates,” Burgos said. “Blaming owners without reform, will only harm tenants and the remaining affordable housing stock.”
Mamdani, a former Queens assemblyman, ran for mayor on a pledge to freeze rents for tenants in taxpayer subsidized apartment units across the city of nearly 8.5 million. New York has some of the highest housing costs in the nation and the lack of options was a key issue in the mayoral campaign, with Mamdani campaigning on protecting rent-subsidized apartments.
He recently appointed five new members to the city’s Rent Guidelines Board in a move aimed at packing the panel with supporters of his push to freeze rents in taxpayer-subsidized apartments.
Meanwhile, Mamdani has threatened to hike property taxes by nearly 10% unless Gov. Kathy Hochul and state lawmakers approve his plan to increase taxes on the city’s businesses and high income households.
