Kyle Shoemaker on Forbes: Why Subsidies Are Better SolutionsKyle Shoemaker
Our country’s lack of affordable housing has reached a level of true crisis. There are ample statistics to prove this statement, but trust its accuracy by observing actions. “Rent control” is a dirty word to many multifamily investors, and it has been applied already in a manner more widespread than many would have guessed. New York , California and Oregon have passed laws limiting what private multifamily operators can charge at their properties. Multiple other areas across the country (such as the state of Illinois) are considering similar initiatives.
This trend was discussed at an affordable housing industry cocktail party I attended late last year. It occurred to me that existing affordable housing initiatives are forms of rent control that are voluntary and offer an incentive for investor cooperation. As a broker whose work is marketing and selling affordable housing investment property, I was preparing to speak at a market-rate-focused multifamily conference. I had planned to get the room’s attention by opening with the statement, “I’m here today to advocate for rent control.” (Dramatic pause.) “Profitable rent control.” Click here to continue reading at Forbes.com