NYC rent-freeze could shift costs to market-rate tenants, warns RGB economist

New York City’s Rent Guidelines Board approved a two-year rent freeze for most units, a move tied to Mamdani’s campaign promise. However, the RGB’s lone economist, Arpit Gupta of NYU, warned the policy will likely push upward pressure on rents in market-rate buildings as stabilized housing stalls, potentially shifting costs to market-rate tenants. With about 1.3 million market-rate units and roughly 960,700 rent-stabilized units (and many stabilized units vacant), the plan could have wide-reaching effects; one board member resigned in protest, signaling deep controversy over the policy’s impact and funding.