August 11, 2025
New York City’s real estate scene is facing a serious shakeup following Zohran Mamdani’s unexpected victory in the mayoral primary.
With bold promises to freeze rent on over two million stabilized units and overhaul the city’s tax structure, landlords and real estate professionals are bracing for what could become one of the most significant shifts in housing policy the city has seen in decades.
Mamdani’s appeal was clear: two-thirds of New Yorkers rent, and nearly half of the city’s rental stock is rent-stabilized. For tenants struggling under rising costs, eviction threats, and stagnant wages, a rent freeze sounds like a lifeline.
In 2023 alone, New York saw over 132,000 evictions—more than double the number in 2021. Renters, especially in tenant-heavy areas like Queens and Brooklyn, turned out for Mamdani in a big way.
But the rent freeze proposal is setting off alarms in the real estate community. Leaders like Kenny Burgos of the New York Apartment Association are calling it “a recipe for disaster,” warning it will crush small landlords who are already contending with sky-high operating costs—taxes, insurance, utilities, labor—you name it.
In neighborhoods like the Bronx, where revenues are low but expenses continue to climb, the impact could be devastating.
And the concern goes beyond finances. Experts say the squeeze on revenue will lead to deferred maintenance, foreclosures, disinvestment, and a wave of landlords looking to sell or flee to more landlord-friendly markets like Miami. Some owners have already started evaluating out-of-state investments, anticipating instability here at home.
Let’s be clear—there’s no denying NYC is in a housing affordability crisis. But the debate now is about solutions. Peter Zhao, an agent who grew up renting in Queens, puts it best: “A rent freeze protects current tenants, but it doesn’t fix supply, nor does it help the next wave of renters.”
Freezing rents without addressing the cost to operate a building just isn’t sustainable in the long term.
Even longtime landlords are urging a more balanced approach. Barbara, a mom-and-pop property owner in Manhattan, voiced a concern shared by many smaller landlords: “Without incremental rent increases, we can’t keep up with basic repairs. We’re not greedy—we’re trying to survive.”
The truth is, both renters and landlords are hurting—but punishing one side to help the other isn’t the answer. New York needs more housing, more collaboration, and smarter policy—not a freeze that leaves buildings deteriorating and pushes small owners out of the game.
The real estate industry isn’t against reform—it’s against policy that ignores basic math. If we want to make housing affordable and sustainable, we’ll need to do more than freeze rents. We’ll need to find common ground between those who live in these buildings and those who maintain them.
Disclaimer: This content is meant for informational purposes only and is not intended to be construed as financial, tax, legal, or insurance advice.
