New York City Renters Score Victory as Mayor Adams Waives Veto on Broker Fee Bill
New Yorkers can breathe a sigh of relief as Mayor Eric Adams has announced he will not veto the groundbreaking FARE Act, effectively eliminating broker fees for most renters in the city. While expressing concerns about potential unintended consequences, Adams acknowledged the City Council’s overwhelming supermajority support for the bill, deemed a success for tenant advocacy.
“They have a veto-proof majority, and so I’m not vetoing the bill," Adams stated during his weekly press conference. The mayor, facing a 42-8 vote in favor of the bill, recognized the futility of a veto and opted to avoid public dissent. "I don’t want to put New Yorkers through the distress and strife…We need to be in a better, calm place." Whether he will sign the bill remains unclear.
The FARE Act, championed by City Council Member Chi Ossé, shifts the responsibility of paying broker fees from tenants to landlords. Supporters argue this change will be a significant financial relief for renters, removing a significant barrier to obtaining new housing.
"Life will determine if I was accurate in my concerns if this goes into the rent of New Yorkers as they pay the rent,” the mayor said, voicing fear that landlords will offset their increased costs by raising rents, ultimately impacting tenants despite eliminating the upfront fee.
Drawing on his personal experience as a small landlord and real estate agent, Adams suggested, "Not only was I a small property owner, but I was a real estate agent. So I know what it is to pass off cost to the owners of buildings.”
The mayor’s decision contrasts sharply with his past responses to council legislation he disapproved of. Adams previously vetoed bills expanding housing vouchers and documented police stops, but the council successfully overrode those vetoes.
The FARE Act is expected to become law within the month.
At this time, New Yorkers find themselves on the brink of a significant shift in the rental landscape. The anticipated effects of the FARE Act remain to be seen as the city enters uncharted territory.
