Board Votes To Raise Rates on Rent-Stabilized Apartments

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During a meeting described as a “charade,” the Rent Guidelines Board voted to raise rent on rentstabilized apartments.

The board — composed of nine members appointed by the mayor — recommended that rent be increased by between 2% and 4.5% for one-year leases and between 4% and 7.5% for two-year leases. The proposal left both landlords and tenants complaining that there was no concrete number to consider. The increase, which will be decided in late June, will affect 1 million rent-stabilized apartments throughout the city.

“This whole thing was a charade,” a spokeswoman for the Met Council on Housing, Jenny Laurie, said, adding that 270,000 people in rentstabilized apartments live below the federal poverty line. “These are huge rent increases,” she said.

Landlords also are not pleased. The bottom of the range was lower than what was recommended in earlier reports released by the RGB. “Why do they release these reports when they jut ignore it anyway?” a spokesman for the Rent Stabilization Association, Frank Ricci, said.

Two reports released by the Rent Guidelines Board in late April found landlords’ costs rose by 5.1% while net income increased 1.6% in 2006.

The member who proposed the range, Jonathan Kimmel, said choosing a specific number was “premature.” A representative on the board for owners proposed a higher rent increase while a representative for tenants, Adriene Holder, proposed no increase until the came up with a solution that was not a “one size fits all” rent increase.

“We point our fingers at everyone else except ourselves,” she said.


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