Press Release: Connolly Rent Control Initiative is the Frankenstein Monster of Bad Housing Policies

For Immediate Release 

August 3, 2023

Contact
Amir Shahsavari
Vice President, Small Property Owners Association (“SPOA”)
Phone: 617-354-5533
Email: askspoa@gmail.com

SPOA Statement on Initiative Petition for a Law Relative to Local Options for Tenant Protections

Last night, State Rep. Michael Connolly of Cambridge put forth a potential ballot initiative, which would be voted on in Massachusetts in 2024.

In the proponents’ own words, this ballot initiative looks to “regulate residential rents and associated fees and deposits, including brokers fees” and “regulate residential evictions,” as well as “regulate removal of housing units from the rental market, such as by demolition or condominium conversion.” Further, the initiative looks to “provide for or designate an officer, administrator, board or committee to administer and enforce the ordinance or by-law.” 

This is a far-reaching takeover of the rental real estate industry. Like Dr. Frankenstein, the proponents of this question have attached every bad housing policy to this proposal, thus creating a monster that will kill housing production.

“This potential ballot question includes every bad idea impacting housing by restricting the renting of property and the sale of property, while hampering the production of housing. We’re at the point where small property owners, who provide 68% of the housing in cities like Boston, are selling because they’re demoralized,” says SPOA President Allison Drescher. “Those units are then turned into condominiums or gobbled up by larger corporate landlords. So, ideas like these take existing affordable housing offline. Not to mention, it’s a governmental and bureaucratic takeover of every part of the residential housing process.”

This isn’t just rent control. This is a potential ballot initiative that impacts every unit of rental housing in communities that adopt the policy – from the initial time the unit is rented, and by whom, to the time the lease ends. It is something that should be carefully evaluated by everyone who participates in the residential real estate industry in the State of Massachusetts.

Massachusetts has a growing competitiveness problem vying with other states for investor capital, and policies like these are not helping.

SPOA supports production of new housing of all types and believes that municipal collaboration and incentives are the way to solve the housing crisis. SPOA also supports the retention of existing units in the rental market. The ballot question represents a setback for the goals of the Healey administration, who have been working hard to ease zoning and regulations to stimulate housing production.

Draconian policies like those in Rep. Connolly’s ballot initiative are incredibly destructive. Massachusetts has a current shortfall of 200,000 units and with housing production at a standstill in Boston, it will double in short order. In fact, policy making on this level should be viewed by all stakeholders as a serious threat to the growth of the Commonwealth.