State Supreme Court Judge Debra James ruled against the lawsuit brought by the Rent Stabilization Association, which argued the city’s Rent Guidelines Board acted inappropriately by instituting flat rents last June. A rent freeze on one-year leases for New York City’s rent-stabilized apartments will remain in effect according to Politico.
The Rent Stabilization Association were arguing on behalf of landlords inferring that the law governing the board requires it to account for the finances of a building — not tenants’ rising costs. Judge James cited a prior court case she believes supports the tenant advocates. She also noted the board’s longstanding, unchallenged practice of considering tenant affordability.
Tenants have now vowed to call for a rent reduction when the board begins preliminary hearings on Thursday, ahead of a June ruling. The board determines each year whether landlords can increase the rent on one- and two-year leases. The board also determines how much of an increase can occur.
Joseph Strasburg, president of the landlord organization, said he disagrees with the ruling and stated that Mayor Bill de Blasio’s comments that he instructed the board to take into account tenants’ concerns when ruling on the freeze as an indication of Mayoral interference with the board. The Mayor has denied these accusations and has called them “ridiculous”. Mayor De Blasio went on to say “Working people have beaten the landlord lobby.”
NYC property management companies should monitor this situation on behalf of their owners and make necessary precautions that unwanted increases are not automatically done by error. If you are looking for property managment in NYC, contact Blue Harbour Property Management at 718-843-1185 or via e-mail at [email protected]