Apartment Price Index Up 4.5%

The Rent Guidelines Board Price Index of Operating Costs rose 4.5% since last year, according to a report issued Thursday. The “commensurate” rent increases suggested by the analysis range from a low of 1.75% and 3% for one and two year renewals to a high of 3.5% and 6.25% depending on assumptions about inflation and lease renewals vs. vacancies. The Board will vote on proposed guidelines April 26th, with a final vote after hearings in June.

The RGB also received a Mortgage Survey indicating that rates were up about a half percent in 2017, and vacancy and collection losses dropped to the lowest level ever at 2.83%. Stabilized building sales dropped 32% from 2016 to 2017, to 793 buildings.

Local 32B-J building employees authorized a strike Wednesday night at a rally attended by both Governor Cuomo and Mayor de Blasio (at separate times), but the Realty Advisory Board, the industry organization negotiating the contract that expires April 20th said talks are continuing and noted that the union has voted to strike during every negotiation since 1994.

The New York City Council, Wednesday, approved legislation effective April 1, 2019 that will require every employer with 15 or more employees to conductannual anti-sexual harassment training. The training could be an online course to be developed by the Human Rights Commission.

Cynthia Nixon, who is challenging Andrew Cuomo for the Democratic gubernatorial nomination, was endorsed this week by New York Communities for Change (formerly ACORN) for her pro-tenant positions. Based on past history, Cuomo is likely to adopt a more pro-tenant stance going forward to undercut the challenge.

City Council Speaker Corey Johnson is pushing for a new homeowner tax credit for low income families, at the same time seeking tax reforms which would probably raise rates on one-two family homes, and apartments, with the use of outdoor parcel lockers to provide security to the owners.

Beleaguered NYC Housing Authority Chair Shola Olatoye finally quit this week, and will be replaced temporarily by 80-year-old Stanley Brezenoff.

ABO/CHIP members can get a discounted admission to a full day Tri-State Conference on Changes to Federal and State Regulations Governing Lead-Based PaintJune 26th.
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