July 25, 2025
If you’ve been watching the political buzz in New York City lately, you've probably heard Zohran Mamdani’s name tossed around. The Queens assemblyman and mayoral candidate has real estate developers on edge with his bold housing agenda: freeze rents for the city’s 2.4 million rent-stabilized units and build 200,000 new publicly subsidized affordable homes.
As a real estate professional, I get it—New York City desperately needs more affordable housing. But here’s the issue: you can’t solve a supply problem by punishing the suppliers.
Developers like Jared Epstein of Aurora Capital Associates have spoken out, saying, “You don't build housing by attacking the people who build it.” And he’s right. A rent freeze might sound good in theory, but the reality is it puts even more pressure on landlords who are already struggling to repair and maintain their buildings without the ability to raise rents. Many of these units are sitting empty—not because landlords are being greedy, but because repairs are too expensive under current regulations.
Mamdani’s plan comes with a $100 billion price tag over 10 years and would be funded through tax hikes on wealthy residents and corporations. That may sound like a progressive win, but the ripple effects could stifle development and drive investors—and job creators—out of the city.
It’s not all backlash though. Mamdani has strong support from younger voters and tenant advocates who are tired of rising costs and stagnant wages. With NYC’s median rent creeping up to $3,397, their frustration is valid.
But here's the catch: freezing rents and overtaxing developers won't magically create sustainable housing. What we need is a collaborative approach—one that encourages new development, streamlines permitting, and offers incentives for landlords to keep rent-stabilized units habitable and occupied.
Because at the end of the day, a healthier housing market is one where builders want to build—and where tenants can afford to stay.
Disclaimer: This content is meant for informational purposes only and is not intended to be construed as financial, tax, legal, or insurance advice.
