A new report published by the city’s Independent Budget Office (IBO) has revealed that Morningside Heights topped neighborhoods citywide where rent-stabilized apartments changed hands, DNAinfo first reported.
Rent-stabilization laws mainly pertain to apartments in NYC buildings built before 1974 with six or more units, but due to some tax abatement programs, some apartments in buildings built after 1974 are also rent stabilized.
In Morningside Heights, 94 percent of the rent-stabilized units were constructed before 1974. But when you take the 1974 deadline out of the mix, Battery Park City/Lower Manhattan emerged on top when it concerns the turnover of rent-stabilized apartments.
Conversely, neighborhoods with the lowest turnover rate were West Concourse in the Bronx, Washington Heights, and Flatbush—all of them had nine percent turnover rates.
The data analyzed by the IBO pertains to the years 2010-2015 and concerns apartments that were rent-stabilized for at least two years in this period. The IBO looked at a total of 986,807 apartments, but 925,116 qualified for their analysis based on their criteria.
Morningside Heights had a total of 7,163 rent-stabilized apartments during this period and experienced a 17 percent turnover rate. Battery Park City had a total of 5,798 rent-stabilized apartments during this period and had a 32 percent turnover rate. Citywide, the annual turnover rate for apartments between those years was at 12 percent.
Why is this concerning? Each time a rent-stabilized apartment changes hands the landlord can increase the rent by 20 percent and add in a fraction of the cost of upgrades.
As of September 2016, about one million apartments citywide were rent-stabilized, according to the city’s Rent Guidelines Board. That body meets every summer and votes on how much rents can be raised the following year. For the past two years, the board has approved a rent freeze, and a third consecutive freeze is anticipated this year as well.
How does your neighborhood fare in terms of rent-stabilized apartments’s turnover? Head on over to the IBO’s analysis and checkout their interactive map.