The Mayor and His Rent Controlled One Bedroom

BY GREG HARDEN

Following the death of Mayor Koch, I came across this tidbit in the Real Deal’s “By the Numbers” column.

$475.49 – Monthly rent that the late Mayor Ed Koch paid for his rent-controlled Washington Place apartment when he left office in 1989.

Apparently Hizzoner clung to his cozy, under market rent controlled one bedroom (with a terrace!) for the duration of his twelve year mayorality.  

Mayor Koch’s rent stabilized apartment at 14 Washington Place in the 1980s and today. 
          I wonder if the landlord got an MCI increase for the kitchen upgrade.

While Mayor Koch, upon leaving office, upgraded to a 1300 SF 2BR rental with a larger terrace at 2 Fifth Avenue, he should never have been afforded the choice in the first place. 

Regulated tenants must maintain their apartments as a primary residence.  In case of temporary relocation, they may sublease for two years out of a four year period. Since Mayor Koch lived at Gracie Mansion for all 12 years he served as mayor, his landlord could have evicted him. While the rental market in 1989 may not reached today’s levels, I am sure Mayor Koch’s apartment could have fetched much more than $500 per month.  

As in the case of Representative Charles Rangel leasing no less than four rent stabilized apartments in one building, Mayor Koch’s landlord sacrificed a little rent to win the favor, or avoid the opprobrium, of a powerful politician.

Politicians like Koch and Rangel portray themselves as advocates of affordable housing.  However, the hoarding of rent stabilized apartments diminishes the housing supply, increases housing costs and hurts the constituents they claim to champion.   At least this is one issue that MayorBloomberg won’t be dealing with when his term expires in a year.