Is Andrew Cuomo abandoning his own housing policies to woo real estate backing in his NYC mayoral bid? The former New York Governor, who once championed tenant-friendly rent reforms, is now having second thoughts as he courts powerful real estate interests for his campaign. His own party isn’t going to be happy with him for selling out on this.
At a glance:
• Former Gov. Andrew Cuomo is running for NYC Mayor and expressing regret about the 2019 rent reform laws he signed
• Cuomo told the Real Estate Board of New York (REBNY) he should have negotiated more with the state Legislature on the reforms
• The 2019 Housing Stability and Tenant Protection Act heavily restricted landlords’ ability to raise rents and pass improvement costs to tenants
• Real estate executives claim the law has reduced the value of rent-regulated buildings by 30-50% since 2018
• Cuomo’s campaign quickly raised $1.4 million after announcing his candidacy, with significant support from real estate figures
Cuomo’s Real Estate Reversal
Former New York Governor Andrew Cuomo is making waves in the NYC mayoral race by distancing himself from tenant-friendly rent reforms he signed into law in 2019. He’s literally rejecting his old policies, and angering Democrats in the process. The controversial Housing Stability and Tenant Protection Act, which greatly enhanced tenant rights at the expense of landlords’ profit margins, is now being reconsidered by Cuomo as he seeks support from the real estate industry.
During a recent meeting with the Real Estate Board of New York (REBNY), Cuomo expressed regret about aspects of the law that he now believes went too far. His spokesperson Rich Azzopardi stated, “While well-intentioned, the 2019 bill had unintended consequences in some places — specifically changes involving MCI and IAI repairs.”
The Impact of Rent Reform Laws
The 2019 rent reform package dramatically limited landlords’ ability to increase rents on vacant apartments and restricted how much of building improvement costs could be passed to tenants. Some real estate executives have derisively nicknamed it the “Housing Destruction Act,” claiming it has destroyed property values and discouraged necessary building maintenance.
According to industry figures, the value of rent-regulated buildings has plummeted by 30 to 50 percent since 2018 due to these regulations. Critics argue that by limiting landlords’ ability to recoup costs for Major Capital Improvements (MCI) and Individual Apartment Improvements (IAI), the law has disincentivized property owners from maintaining and upgrading their buildings.
While it’s tough for Cuomo to face the wrath of his party, if one Democrat can see how wrong he got it, then maybe more can, too?
Campaign Strategy Emerges
Cuomo’s mayoral campaign is gaining significant momentum, with $1.4 million raised shortly after his candidacy announcement. Many of these donations have come from real estate figures who were alienated by the 2019 rent reforms but now see Cuomo’s reconsideration as a positive sign for their interests.
The former Governor’s policy shift places him in stark contrast to other Democratic candidates in the primary race, including New York City Comptroller Brad Lander who has historically supported stronger tenant protections. Cuomo’s strategy appears designed to position himself as a moderate who can balance the concerns of the real estate industry with the city’s need for affordable housing.
Are we witnessing the return of Cuomo as a major force in American politics?
