NYC Rents Could Rise 16% Under Numbers Before Powerful Board

NEW YORK CITY — A powerful board discussed up to 16 percent rent increases for the one million rent-stabilized apartments in New York City.

The drastic hike for two-year leases was at the top end of a slew of potential rent increases discussed during a Rent Guidelines Board meeting Thursday.

But even the fact that the board would talk about such a hike drew swift condemnation from advocates, who argued it would make the city "unlivable for ordinary people."

"This is outrageous," tweeted the NY Working Families Party.

"What working New Yorker can afford a 16% rent increase when the cost of living is already out of control?"

After the discussion, other watchdogs warned New Yorkers that such an increase is extremely unlikely.

"RGB is NOT considering raising rents by 16%," tweeted the Community Service Society of New York, noting it was one data point out of many — and one that's particularly favorable to landlords.

"The 16% figure is one of the commensurate adjustments calculated by the RGB’s staff, but it is not a RGB decision on how high rents should go up."

The board's discussion followed the release of studies that showed the cost for landlords to operate rent-stabilized buildings increased 8.1 percent across the city.

Many such landlords have called for the ability to raise rents in the next year to cover those rising costs.

But advocates argued that renters can't even afford the comparatively modest 3.25 percent for one-year leases and 5 percent for two-years that the rent board approved last year.

Those hikes were the largest for rent-stabilized homes in nearly a decade, yet have done little to satisfy many landlords.

The board's discussion Thursday likely will amp up an already-heated battle over whether to increase rents further to help landlords, or leave them untouched to aid cash-strapped New Yorkers.

Advocates last week called for the board to freeze rents in rent-stabilized apartments, citing a city study that found tenants in those homes typically paid 33 percent of their income on housing.

Over the coming weeks, the board will weigh a variety of proposed increases that were calculated several different ways — and one of which was the landlord-favorable figures.

The lowest hikes discussed were 5.3 percent for one-year leases and 6.6 percent for two-year contracts.

At the high end, the board was presented with potential 8.25 percent increases for one-year leases and 16 percent for two-years.

A preliminary vote on proposed lease adjustments for rent-stabilized apartments, lofts and hotels is scheduled for May 2, after two more meetings this month.