Stakeholders Say 2024 Will be the Year for a 421a Replacement.

Brett Gottlieb, partner in Real Estate, was quoted by the Commercial Observer in an article discussing the resurrection of 421-a in New York. 

The article states that Brett, "hopes the three main stakeholders outside of government — property owners, tenant advocacy groups and organized labor — reach a compromise. That could mean prevailing wage requirements coupled with income qualifiers for units that are set according to a neighborhood’s economic data instead of the region’s, and any proposed rent caps linked to measures that account for landlords’ increased expenses to run their buildings."

He added, "Any solution which effectively results in negative cash flow or stymies the ability of a property owner to operate a profitable business will never be a starting point," Gottlieb said. "However, providing particular protections for tenants will likely be part of the discussion."

Read the full article in Commercial Observer. Access may require a subscription.