Infrastructure & Housing - 2026-05-05
Meeting Intelligence Preview
Meeting Summary
The Infrastructure & Housing Committee held an informational hearing with the Building Realty Institute regarding rent-stabilized (ETPA) buildings in Westchester County. Key concerns raised included the financial strain on landlords due to capped rent increases, reduced Individual Apartment Improvement (IAI) and Major Capital Improvement (MCI) recovery mechanisms since the 2019 HSTPA reforms, and rising operating costs (insurance up 50%, property taxes up 62% over five years). The committee agreed to request better data collection from the Rent Guidelines Board and advocate for rent-stabilized properties to be included in upcoming county infrastructure improvement funding.
Key Decisions (2)
Agreement to Request Enhanced Data from Rent Guidelines Board
Committee members agreed to draft a letter to the Westchester County Rent Guidelines Board requesting more detailed reporting on rent-stabilized properties, including net operating income breakdowns, debt costs, and separate analysis of buildings that are 90%+ rent-stabilized. Legislators Williams and Williams-Johnson will lead the letter effort.
Commitment to Advocate for ETPA Inclusion in County Funding Programs
Committee agreed to advocate with the county planning department to ensure rent-stabilized apartment buildings are eligible for the upcoming $10 million infrastructure improvement funding program, which currently has unit caps that exclude many ETPA properties.
Market Signals (6)
Housing Demand
Westchester County has approximately 28,000 rent-stabilized units out of 131,000 total rental units (about 20%), with 77% of rent-stabilized rents below $2,000 regardless of unit size.
Housing Demand
The rent-stabilized housing stock has remained relatively stable, declining only from 29,638 units in 2020 to 28,755 units in 2024, indicating no wholesale vacancy crisis in Westchester unlike New York City.
Commercial Demand
Major Capital Improvement (MCI) applications for rent-stabilized buildings dropped dramatically from approximately 50 per year pre-2019 to only 4 last year, indicating reduced capital investment in older rental housing stock.
Sentiment
Banks are increasingly reluctant to lend for rent-stabilized property improvements due to tight operating margins, with some ballooning mortgages rather than refinancing.
Other
Insurance costs for rent-stabilized building owners have increased approximately 50% and property taxes up to 62% over the past five years, while rent increases remain capped by the Rent Guidelines Board.
Infrastructure
Over 50% of Westchester's 28,000 rent-stabilized units are in buildings with 50 units or fewer, and 42% are in buildings with 35 or fewer units, representing primarily mid-sized older buildings (53+ years old).