On Monday, June 27th, the City's Rent Guidelines Board (RGB) voted in favor of a second consecutive rent freeze with 7 votes in favor and two abstentions coming from the representatives of property owners.
Immediately following the unprecedented vote, RSA announced that it will be commencing a lawsuit against the RGB. The RGB continues to implement Mayor Bill de Blasio's political agenda, targeting apartment building owners. As a result, RSA is prepared to fight these unjust and unlawful rent guidelines in the courts.
Below is a summary of Rent Guidelines Order No. 48 for leases commencing between October 1, 2016 through September 30, 2017. Please be advised that this year's RGB Order is identical to last year's:
0% for one-year leases
2% for two-year leases
A sublet allowance of 10%
Special Guideline Maximum Base Rent (MBR) + 33% or HUD's Fair Market Rent, whichever is greater
A vacancy allowance of 18% for one-year leases*
A vacancy allowance of 20% for two-year leases*
*With regard to vacancy allowance increases, as a result of amendments to the rent stabilization laws which took effect June 15, 2015, where the tenant who vacated the apartment was paying a preferential rent, the vacancy allowance is as follows: 5% if the last vacancy lease commenced less than two years ago, 10% if the last vacancy lease commenced less than three years ago, 15% if the last vacancy lease commenced less than four years ago, and 20% if the last vacancy lease commenced four or more years ago. The vacancy allowances are applied to legal regulated rent, not the preferential rent.
We will have additional information on this year's RGB process in the upcoming July/August edition of the RSA Reporter.
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RSA’s top priority is to protect the best interests of the rental housing industry by advocating in the State and City governments.
Although our staff takes pride in advocating on behalf of residential property owners, it is important that you make your voices heard to your local elected officials as well.
Click here if you live in New York City and want to locate and learn more about your local elected officials where you live or where your building is located. If you live outside of the five boroughs, you can locate your elected officials by clicking here.