A court fight over New York City’s historic rent freeze remains unresolved just two weeks before the new rules are set to take effect for about 1 million rent-stabilized apartments.
A Manhattan judge on Wednesday allowed landlords challenging the freeze to seek written communications between Mayor Zohran Mamdani’s administration and the independent Rent Guidelines Board, which approved the freeze in June. The ruling adds another step to the case as the Oct. 1 start date approaches, with landlords and tenants awaiting a final decision.
The judge has not ruled on the landlords’ request to block the freeze or on their broader challenge to the board’s decision. The landlords sued in July, alleging the board’s vote was a “sham process with a predetermined outcome” designed to fulfill Mamdani’s campaign promise to “freeze the rent.”
State Supreme Court Justice Brendan Lantry wrote that discovery is rare in this type of case but said the allegations raised “significant concern” about whether the board followed lawful procedures.
"The court acknowledges that discovery in a special proceeding is rare. It is also rare (in fact, it is unprecedented) for a candidate for Mayor of New York City to guarantee that the Board, an entity that the parties concede is independent from the Mayor’s Office, will freeze the rent upon his election to office,” the order says.
Lantry authorized limited discovery of written communications between the mayor’s office and Rent Guidelines Board personnel from Jan. 1 through the board’s June 25 vote. He excluded internal communications within City Hall and within the board.
Randy Mastro, an attorney representing the landlords, praised the ruling.
“We are gratified by the judge's decision, and this targeted discovery goes to the heart of our position that this was a sham process with a predetermined outcome, and communications between the Mayor's Office and the Rent Guidelines Board, which all parties admitted is supposed to be independent of the Mayor's Office, should show that,” Mastro said.
It remains unclear, however, whether any such communications exist.
A day after the Rent Guidelines Board vote, the lone member to oppose a rent freeze said city officials did not try to influence its decision.
“One thing I can say is that, unlike in some previous years, I observed no interference by the administration in individual members’ decisions,” Gupta said during an event hosted by the urban policy group Vital City.
The board voted 7-1 to freeze rents for one- and two-year leases beginning Oct. 1, the first two-year freeze in its history.
Lantry acknowledged the “looming” Oct. 1 start date in his order. Landlords must submit their discovery request by Friday and the parties are due back in court Monday.
City Hall did not immediately respond to a request for comment.
This is a developing story and may be updated.
