Swordsmyth
07-18-2019, 01:22 AM
New York City’s rent-stabilization law is under attack after a group of real-estate trade groups and landlords sued to overturn regulations that cover more than 1 million apartments.The decades-old law that limits rent increases violates the U.S. Constitution by placing an unfair burden on property owners, particularly those who own pre-1974 buildings with six or more units, according to the suit, filed Monday in federal court in Brooklyn.
The state legislature, now under full Democratic control, adopted sweeping tenant protections in June that further cap rent increases and restrict landlords’ ability to evict residents. The massive rewrite of the rent rules, which cover about 2.4 million residents, aimed to preserve affordable housing by eliminating tools landlords used to remove units from regulation. The package also abolished a “vacancy bonus” that allowed property owners to raise rents 20% when a tenant left.
The plaintiffs say the update further eroded their rights and that the law’s “irrationality and arbitrariness” and “web of restrictions override core rights of property owners.”
The U.S. Supreme Court rejected a challenge to the city’s rent-stabilization system in 2012, turning away an appeal from landlords who said the city had violated their constitutional rights by limiting rents on three one-bedroom apartments in their Upper West Side brownstone. The state of New York defended the statute, citing previous Supreme Court decisions that judges “should not sit as super-legislatures reviewing matters of economic policy, but should ask only whether a legislature’s policy judgments are rational.”
Among the plaintiffs is the Rent Stabilization Association, which represents 25,000 landlords. When the law was amended, the landlords said it would cause buildings to fall into disrepair because owners wouldn’t be able to afford to maintain them.
The case is Community Housing Improvement Program v. City of New York, 19-cv-4087, U.S. District Court, Eastern District of New York (Brooklyn).
More at: https://news.yahoo.com/nyc-rent-stabilization-law-target-201816442.html
The state legislature, now under full Democratic control, adopted sweeping tenant protections in June that further cap rent increases and restrict landlords’ ability to evict residents. The massive rewrite of the rent rules, which cover about 2.4 million residents, aimed to preserve affordable housing by eliminating tools landlords used to remove units from regulation. The package also abolished a “vacancy bonus” that allowed property owners to raise rents 20% when a tenant left.
The plaintiffs say the update further eroded their rights and that the law’s “irrationality and arbitrariness” and “web of restrictions override core rights of property owners.”
The U.S. Supreme Court rejected a challenge to the city’s rent-stabilization system in 2012, turning away an appeal from landlords who said the city had violated their constitutional rights by limiting rents on three one-bedroom apartments in their Upper West Side brownstone. The state of New York defended the statute, citing previous Supreme Court decisions that judges “should not sit as super-legislatures reviewing matters of economic policy, but should ask only whether a legislature’s policy judgments are rational.”
Among the plaintiffs is the Rent Stabilization Association, which represents 25,000 landlords. When the law was amended, the landlords said it would cause buildings to fall into disrepair because owners wouldn’t be able to afford to maintain them.
The case is Community Housing Improvement Program v. City of New York, 19-cv-4087, U.S. District Court, Eastern District of New York (Brooklyn).
More at: https://news.yahoo.com/nyc-rent-stabilization-law-target-201816442.html