NYC tenants could get more eviction protections in last-ditch effort in Albany

New York state lawmakers are considering a plan to bolster tenant protections in New York City and extend an expired tax break for developers as part of a last-ditch effort to salvage a deal on housing policy, according to people with knowledge of the proposal.

Senate Democrats met privately Tuesday to discuss a version of a “Good Cause” eviction bill that would mandate the new protections only within the five boroughs, with other local governments across the state able to opt in if they so choose, according to four sources with direct knowledge of the closed-door discussions but not authorized to speak publicly about the private discussions.

That measure would likely be tied to an extension of a modified version of the tax break known as 421-a, which goes to housing developers who commit to reserving a certain percentage of units for income-restricted tenants. Lawmakers allowed the program to expire last year, with some arguing it was a giveaway to wealthy developers.

It’s not clear whether the latest proposal has enough support for passage before the end of the state’s legislative session, which is scheduled to end this week. It’s also unclear whether Gov. Kathy Hochul would support the emerging proposal.

The Assembly’s Democratic majority had not yet met to discuss the measures as of early Tuesday evening.

The proposal is “still coming together,” Assembly Housing Committee Chair Linda Rosenthal said in a text message.

State legislators cautioned that the proposal was still fluid, with several key provisions — including metrics that would determine the strength of the tenant protections — still in flux.

Progressive lawmakers and tenant advocates have spent years pushing for the Good Cause eviction bill, which would place a legal limit on annual rent increases and prevent landlords from evicting tenants or not offering them lease renewals without a bona fide reason allowed for by law.

Hochul, meanwhile, put forward a wide-ranging housing plan earlier this year that she says would create 800,000 new units over the next decade, in part by extending or replacing 421-a and requiring local governments to hit annual housing growth targets.

But lawmakers resisted Hochul’s plan in state budget negotiations, largely because the state would take over some local zoning decisions if they missed their housing development targets. They’ve said any housing deal also needs to include tenant protections, such as some version of those in the original Good Cause bill.

New York City Mayor Eric Adams has been pushing for a series of housing measures of his own, including a 421-a extension or at least grandfathering in a series of housing projects that were already in the pipeline at the time the tax break expired. He’s also called for measures to allow for easier conversion of office space to residential units.

Last week, legislative leaders cast doubt on the idea that the Legislature and Hochul would be able to reach a wide-ranging housing deal by the end of the session. But at the same time, the two houses of the Legislature began negotiating among themselves to try to salvage something on housing, which helped lead to the measure Senate Democrats discussed Tuesday.

Major developers and landlords have staunchly opposed Good Cause eviction protections, arguing that they would tie their hands and prevent them from repairing and improving units.

Tenant advocates rallied with their allies in the Legislature at the Capitol on Monday, urging lawmakers to pass Good Cause eviction protections before they leave Albany.

“Housing is a human right, and we need to stand united and get it done now,” Sen. Robert Jackson (D-Manhattan) said at the rally Monday. “No B.S. Don’t mess around. You mess around with peoples’ lives when you do that.”

Jay Martin, executive director of the Community Housing Improvement Program, which represents owners of rent-stabilized properties, said he’s been pushing for a measure that would make it easier for his members to make improvements on long-term occupied properties.

“I know there are some conversations around a broader housing package,” Martin said. “It’s being discussed. Is it going to pass? I don’t know.”

The annual legislative session is scheduled to end Thursday, but Assembly members have said they plan to stay until Friday.

On Monday, Rosenthal (D-Manhattan) held out hope that lawmakers could strike a deal.

“There's not much time, that's for sure,” she said. “But bigger miracles have been pulled off in the past.”