What Measures Will New York Implement to Address Its Housing Crisis by 2024?

New York’s Housing Crisis: Will 2024 Bring Solutions?

Introduction

As the year 2023 came to an end, hopes were high that New York would take significant steps to address its housing crisis. However, lawmakers left without making substantial progress. Now, as the 2024 legislative session begins, the state’s willingness to tackle this pressing issue is yet again being put to the test.

The Challenging Context

The current context is even more challenging than before. The influx of migrants has overwhelmed New York City’s homeless shelter system, while high interest rates and the expiration of a tax break for developers have slowed apartment construction. This has only worsened the city’s housing shortage, resulting in exorbitant rents and home prices. The most vulnerable New Yorkers are bearing the brunt of this crisis, with the middle class being pushed out of the city.

A Failed Attempt

The failure to make progress in 2023 has left state leaders uncertain about the possibility of a major housing deal in Albany. The clash between the real estate industry, tenants’ rights movement, and progressive lawmakers remains unresolved. Without a resolution on new tenant protections, a comprehensive housing package remains out of reach.

Leadership and Resistance

Governor Kathy Hochul initially took a bold approach by focusing on the suburbs surrounding New York City, recognizing that a broader solution was necessary. However, this move faced strong opposition from the wealthy suburbs of Long Island and Westchester County. Building the necessary political coalitions to overcome suburban resistance typically takes years, but Ms. Hochul’s efforts lacked the necessary support.

A Stalemate

The tenant and landlord factions were also at an impasse over a “good cause eviction” bill, which would protect tenants from rent increases and give them the right to renew their leases. The real estate industry opposed the bill, while the progressive caucus insisted it be included in any housing plan. As a result, no one achieved their desired outcome.

A Second Chance

Despite the setbacks, Governor Hochul remains hopeful for a resolution. She acknowledges the challenges and the upcoming election for the Legislature, which may shift the focus of state officials. State Senate Majority Leader Andrea Stewart-Cousins and Assembly Speaker Carl Heastie have both emphasized the need for a plan that protects tenants and promotes the construction of affordable housing.

City-Led Change

In the past, housing policy in New York has typically originated in the city and then made its way to Albany. However, this time, the state took the lead, which caused some friction. Many housing advocates believe that Mayor Eric Adams could have done more to broker a housing deal, as other issues seemed to take priority.

A Call for Compromise

Progressive lawmakers in the city are renewing their efforts to pass a good cause eviction bill. This time, they are more willing to compromise and would consider pairing the bill with a new tax break for developers. State Senator Michael Gianaris and his colleagues are open to discussions with Governor Hochul to ensure real tenant protections and the construction of affordable housing.

Looking Ahead

As the new legislative session begins, Governor Hochul is still determining her approach to housing. The question remains whether compromises on tenant protections for tax incentives would undermine the pursuit of a more transformative solution. The hope is that the Legislature will work towards finding a comprehensive resolution.

Read More of this Story at www.nytimes.com – 2024-01-03 18:27:37