The soaring real estate values of recent years helped push a net of more than 16,800 apartments out of rent stabilization and into the free market, according to a new city housing report, outpacing ambitious construction efforts for subsidized housing.
In all, the “2008 New York City Housing and Vacancy Survey” found, more than 13,000 new subsidized units were added to the city’s housing stock between 2005 and 2008. Taken with the loss of stabilized units, that amounts to a net loss of 3,800 below-market rate units. With that said, thousands more new subsidized units are in the pipeline. In November, the Bloomberg administration announced production of 31,640 such units initiated between 2004 and late 2008.
The actual figure of rent-stabilized units taken out of regulation is higher, as the city also added thousands of units to the program. Units can be taken out of regulation when they go vacant, or when the household makes at least $175,000 annually for two consecutive years and the rent has reached $2,000 monthly. Those rules could be changed for the first time in years by June, as the Democrats now control the state Senate.
Overall, the report found the city’s housing stock grew by 67,792 units in the past three years to a total 3.33 million units citywide. The growth, an increase of 2.1 percent, was the largest in a three-year period since the report was first issued in 1965, according to the mayor’s office.
The vacancy rate for rentals citywide is 2.88 percent, down from 3.09 percent in 2005.
Here’s the breakdown of new apartments by borough from 2005 through 2008:
- Manhattan: 23,869
- Brooklyn: 18,010
- Bronx: 10,603
- Queens: 10,669
- Staten Island: 4,641