Rent control in Massachusetts

Rent control in Massachusetts was a means of limiting the amount of rent charged on dwellings between 1970 and 1994.

History

Adoption

Massachusetts adopted rent control in the 1970s when the effort was spearheaded by a group of Harvard University graduate students.[1] Those who lived in rent controlled apartments included

Repeal

Rent control was repealed in 1994 via ballot initiative.[3][1] At the time, only Boston, Cambridge, and Brookline had rent control measures in place.[3]

Many saw the repeal effort as difficult because it was often not just the poor and the elderly who benefited from rent control, but middle class and even wealthy renters.[2] The opposition challenged the 73,769 petition signatures the pro-repeal side collected to put the measure on the ballot.[2] In the end, the pro-repeal side had 34 more than was required.[2]

Proponents of the repeal argued that it kept rents artificially low, made it hard to lease a property, and made it difficult to make repairs and improvements to the property.[4] Opponents argued that it kept prices from rising too quickly in a tight market.[4]

Within four years of repealing the law, Cambridge, where "the city's form of rent control was unusually strict," saw new housing and construction increase by 50%, and the tax revenue from construction permits tripled.[2]

After the vote, the Massachusetts General Court passed a law protecting low-income tenants in rent control apartments from being evicted.[2] Only 9.4% of tenants in rent control apartments qualified.[2]

Cambridge decisions

Bologna

In 1984, Vincent Bologna, a Sicilian immigrant and United States Navy veteran, purchased a dilapidated, abandoned house in Cambridge.[5] He renovated the building himself, hauling away 55 truckloads of trash and restoring the building, including remedying all 60 code violations.[5]

He turned the building into a two family home, and moved his family into the 800-square-foot rear apartment.[5] He rented the front apartment to Drs. Krenie and Marie Stowe, a psychiatrist and her daughter, a student at Harvard Law School.[5][1] The Stowes sublet out rooms in their apartment.[5]

The Cambridge Rent Control Board ruled that because the property had once been a rooming house, even though it was illegally operating as one in violation of the local zoning laws, that it was covered by rent control.[5] Because of this, they ruled Bologna had been overcharging the Stowes, who made a combined income of $110,000 a year in 1986.[5]

The Board ordered Bologna to convert the house back into a rooming house and to slash the rent he was charging the Stowes by $1,000 a month.[5] The Stowes then sued Bologna for retroactive overcharges, plus triple damages and legal fees.[5] Their lawyer encouraged them not to pay any rent, as Bologna did not have enough assets to pay more than $100,000 in fees and damages.[5] The Bologna family faced foreclosure and bankruptcy as a result.[5] They also lost another rental property that they owned because they could not keep up with the mounting legal bills while not receiving rent from the Stowes for five years.[6]

The Cambridge Zoning Board then refused to allow Bolgona to convert the home back into a rooming house as it violated the zoning laws.[5] Bologna and his family were ordered to live in a one bedroom apartment in a converted garage.[5][1][4]

Petrillo

Peter and Helen Petrillo owned a three-family house in Cambridge.[7] They lived in one unit, rented a second until to Helen's brother, and rented a third unit to another tenant.[7] When their daughter's home burned down, the Petrillos moved into the basement to give their daughter, her husband, and their three children their unit.[8][9][4]

The Rent Control Board ruled that it was now a four unit building and thus subject to rent control.[8] They ordered the Petrillos to slash their tenant's rent and to pay them damages.[8]

Additionally, because the basement ceiling was too low, the board ordered the Petrillos to jack up the entire house, at their expense, to create a legal apartment.[6] The board refused a request to allow the basement to be restored to its previous unfinished state.[6] Three days after the board's ruling, Peter died of a heart attack.[8][7][4] Peter's "heart attack was a result of the stress from the hearings. It was just too much for him," according to Helen.[4]

Attempts to restore rent control

State representative Mike Connolly has proposed bills to restore rent control in the Massachusetts House of Representatives for years without success.[3] In a 2020 effort, Connolly proposed a rent control measure as an amendment to an economic development bill in the House; it failed 22–136.[3] In 2023, he organized a last minute effort to restore rent control via ballot initiative at the 2024 Massachusetts election.[3]

See also

References

  1. "'THE WEEK'". Vol. 46, no. 20. National Review. October 24, 1994. pp. 10–24.
  2. Havemann, Judith (September 19, 1998). "Mass. City Gets New Lease on Life". The Washington Post. Retrieved October 23, 2023.
  3. Lisinski, Chris (August 3, 2023). "Cambridge rep moves to put rent control on state ballot". CommonWealth. Retrieved October 22, 2023.
  4. Chong, Curtis R. (November 7, 1994). "Citizens Dispute Question 9". The Harvard Crimson. Retrieved October 22, 2023.
  5. English, Bella (July 1, 1992). "Rent law exacts a price too high". Boston Globe. p. Metro 1.
  6. "The Conditions of Massachusetts Rentals under Rent Control: A Retrospective". Massachusetts Landlords Association. January 7, 2021. Retrieved October 22, 2023.
  7. Lewis, Diane (January 5, 1990). "Cambridge settles rent control case". The Boston Globe. p. 36.
  8. Jacoby, Jeff. "At stake in Question 9: fairness for property owners". The Boston Globe. p. 15.
  9. Petrillo, Helen (February 7, 1995). "What about the toll on elderly homeowners?". The Boston Globe. p. 18.
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