BOSTON (WHDH) - Efforts to institute rent control in Boston cleared a hurdle Wednesday as the City Council approved a bill to cap annual rent hikes.
The bill, which is part of a key campaign promise by Mayor Michelle Wu, passed 11-2. The measure won’t go into effect yet, though, as it needs approval from state leaders.
“This is affecting everything from how our businesses and economy can recover to our school enrollment and the stability of every part of our neighborhoods,” Wu said.
The bill limits yearly rent increases at six percent, plus the consumer price index to account for inflation, with an overall cap of 10 percent in high inflation years.
Wu has said the legislation will protect families from rent gouging and displacement.
“We need to keep it up until Boston is a place where people from every income level know they can not just survive here but thrive here,” she said.
Not everyone is on board.
“We’re disappointed, but we’re not surprised,” Greg Vasil, the CEO of the Greater Boston Real Estate Board told 7NEWS after Wednesday’s City Council vote.
Boston’s bill doesn’t apply to newer apartments built within the late 15 years or to smaller owner-occupied properties such as triple-deckers.
Still, opponents have said the current proposal would decrease housing production and discourage owners from keeping up with maintenance on rent controlled units.
“We find ourselves at a critical point with our housing shortage and we want to do nothing that’s going to affect our ability of developers to come in and produce more housing for our city,” Vasil said.
Vasil said he hopes the legislature and the administration of Gov. Maura Healey will come up with a solution that is better for housing production, now that the bill has headed to Beacon Hill.
The state legislature will have the opportunity to review Boston’s proposal and make any changes. If legislators do approve it, the bill will then go to the governor’s desk for final approval.
Healey spoke to 7NEWS on Wednesday about concerns as the bill moves forward.
“I’ve said for a long time, I support communities and their efforts to do what they think is necessary when it comes to housing.”
“[W]ith respect to any legislation that’s filed, I’m going to take a look at it,” Healey said.
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