BOROUGHWIDE — Borough President Eric Adams and Manhattan BP Gale Brewer joined the New York City Council Housing and Buildings Chair Robert Cornegy, Jr. and other elected officials to discuss a plan for renters affected by COVID-19 called the Renter’s Relief Plan.
The Renter’s Relief Plan would help renters experiencing financial issues by having New York City cover rent payments during April.
It would require NYC landlords to offer every renter the option of applying their cash security deposit directly towards next month’s rent.
The plan would unlock around $8 billion in savings tied up in cash security deposits.
“The COVID-19 pandemic is an unprecedented challenge, an immediate public health emergency that is coupled with a crippling economic crisis,” Adams said. “There are millions of renting New Yorkers who are seeking relief as April 1st approaches, including rent-burdened families who have lost sources of income and are wondering how they will make it through.”
How it can help
The Renter’s Relief Plan would also:
· Provide immediate financial relief at a time when renters need it most, ensuring that they do not fall behind on rent payments or see any impact to their credit.
· Ensure landlords are made whole on next month’s rent and do not fall behind on any of their liabilities.
· Provide renters who opt-in to the rent relief program 30 days to replace the security deposit. They will be given the option to replace their cash deposit with low-cost insurance for just a few dollars a month.
“Shielding our communities from the economic challenges ahead will require many steps and Renter’s Choice would represent an $8 billion step forward in helping families cope with this emergency,” added Councilmember Robert Cornegy, Jr. He represents Bedford-Stuyvesant and northern Crown Heights.
“Young people should not be worried about paying rent, this is particularly urgent,” added Ankur Jain, Founder and CEO of Kairos. “Without $400 to spare for an emergency expense during the best of times, young New Yorkers are already struggling to make ends meet, and now have the added stress of fighting a global pandemic.”
“We see a solution that the City can implement immediately to provide that relief,”Adams said.