NYC Rent Board Backs Plan for Increases for Rent-Stabilized Apartments

Activists Call On NYC Mayor And Housing Authority To Address To Jacob Riis Houses' Water And Gas Crisis — (Photo : Photo by Spencer Platt/Getty Images) A maintenance worker cleans the grounds of the Jacob Riis Houses as residents and activists gather for a protest against the living conditions at the public housing unit on September 14, 2022 in New York City. Despite extensive city operated tests showing that the water does not contain arsenic, many residents still complain about cloudy and foul smelling water, a lack of repairs and other issues plaguing the 2,600 residents living there. Following the discovery of dangerous levels of arsenic in the tap water on the Friday evening of Labor Day weekend at the housing complex in the East Village, residents had been given bottled water and provided take away meals and were told not to drink the water. Tests now show that the initial water results were wrong, but many residents are still angry and plan to sue the New York City Housing Authority

The New York City Rent Guidelines Board on Tuesday signaled it would back a plan to increase rent prices across nearly one million rent-stabilized apartments in the city.

The nine-member panel gave preliminary approval in a 5-2 vote to hike rents for rent-stabilized apartments. Under the planned hikes, rent would increase between 2% and 4.5% on one-year leases and between 4% and 6.5% on two-year leases.

In addition, the panel also approved a plan to freeze rent on stabilized hotels.

Landlords and tenants in the city would still have a chance to voice their concerns at public hearings in the coming weeks. The panel will hold a final vote on June 17. If the plan is approved, the increase would begin affecting leases in rent-stabilized apartments starting Oct. 1.

NYC's Rent Increases

The proposed hike comes a year after the rental board approved a 3% rent increase for one-year leases and a split two-year lease of 2.75% in year one and 3.2% in year two.

That increase also followed a hike in rent prices in 2022, when the board approved a 3.25% increase for one-year leases and 5% for two-year leases. That was the biggest increase recorded for rent-stabilized apartments since 2013.

Tension During the Vote

The panel's voting on the planned rent increases did not go smoothly. Two members of the board representing the interests of tenants left the meeting ahead of the vote to oppose an increase.

"I've been at this for three years now, and each year the board has made the decision to further hurt tenants by raising rents significantly," tenant member Adán Soltren, an attorney, said, as quoted by the Gothamist. "You wonder why some people call it the 'Rent Increase Board.'"

In a statement released following the vote, Mayor Eric Adams said the 6.5% increase was "far beyond what is reasonable" to ask of tenants.

"I must be clear that a 6.5 percent increase goes far beyond what is reasonable to ask tenants to take on at this time. I know well that small property owners also face growing challenges, and I encourage them to work with the city to utilize our many preservation tools so that, together, we can work to stabilize buildings and neighborhoods, all while keeping tenants in their homes," he said.