RGB’s Preliminary Vote Recommends Increases Between 2% and 7%
Last week, the Rent Guidelines Board (RGB) passed a preliminary first vote on one-year and two-year leases for rent-stabilized apartments in New York City. The preliminary vote passed 5 to 4, advancing a range of proposed rent hikes ahead of a final vote scheduled for June 21.
The board's preliminary vote called for the following proposed lease guidelines for rent-stabilized apartments:
- A 2 to 5 percent increase on one-year leases; and
- A 4 to 7 percent increase on two-year leases.
The context: Last year, the RGB ultimately allowed the largest increases in almost a decade, citing rising costs for owners. The board voted to raise rents on one-year leases by 3.25 percent and on two-year leases by 5 percent.
In response to last week’s preliminary vote, Mayor Adams released a statement urging the RGB to avoid the top end of the preliminary ranges. “While we are reviewing the preliminary ranges put forward by the Rent Guidelines Board this evening, I want to be clear that a seven-percent rent increase is clearly beyond what renters can afford and what I feel is appropriate this year. . . Members of the RGB are tasked with making independent decisions based on all available data. However, I hope they will look at options below the top of these preliminary ranges to strike the right balance to keep New Yorkers in their homes while providing building owners with the resources they need to provide safe, high-quality homes.”
What to you need to know: The actual hike will be determined next month by a final vote of the mayorally appointed board. The final vote is scheduled for June 21. After the board votes on its final decision, the allowable rent increases will apply to leases signed on or after Oct. 1, 2023.