NYC’s Rent Stabilization Law Hit With Constitutional Challenge

New York City’s rent stabilization law arbitrarily sets the amount property owners can charge new tenants, causing thousands of apartments to be “regulated off the market,” a group of landlords allege.

The law has left buildings with regulated units in financial distress, and the rent for some stabilized apartments is “set so low that owners cannot profitably put those apartments on the market” amid a housing shortage in the city, the landlords claimed in a complaint filed Wednesday in the US District Court for the Southern District of New York.

The lawsuit comes just over a week after the city ...