New York City works because it has tall building that hold a lot of people and companies …
When the people can’t go to work in those building?
The companies don’t make the money they usually bring in…
That means the companies don’t pay rent ….
If they don’t pay rent?
Then the landlords don’t pay taxes and after a while?
The building won’t have ANYONE in them….
While the Governor and the Mayor are worried about the health of their citizens?
The other side of things is their budgets (And businesses) have growing holes in them everyday…
The government may soon move to lay-off’s and stop hiring, which will INCREASE the jobless numbers, something the local, state and national economy is fighting against….
This isn’t unique to the ‘Big Apple’….
It’s everywhere …..
The economy isn’t just gonna right itself next week like Donald Trump should know as a landlord….
Across New York City, commercial tenants are falling behind in rent at unprecedented rates as the coronavirus outbreak has caused a nearly complete lockdown of the city for two months.
Residential rent collections have also declined as tenants who lost jobs have stopped paying. But the erosion of commercial rents, so far, is worse and has stripped landlords of their largest source of income every month, especially for smaller property owners, and has started to jeopardize the health of their own businesses.
The cascading impact of the coronavirus pandemic and stay-at-home orders on New York City have reached a breaking point, property owners and developers say. Two months into the crisis, the steep drop in rental income now threatens their ability to pay bills, taxes and vendors — a looming catastrophe for the city, they warn.
If building owners cannot come up with enough money to pay their next property tax bill in five weeks, a deadline the city has refused to postpone, the city will be starved of an enormous revenue stream that helps pay for all aspects of everyday life, from the Fire Department to trash pickup to the public hospitals. It could lead to a bleak landscape of vacant storefronts and streets sapped of their energy.
While landlords have been unnerved by tenants’ rights groups and community nonprofits that have rallied around residential rent strikes, they said that companies with offices or retail spaces have been far more aggressive in skipping rent.
“They are missing the big part of the picture,” said Ms. Lok, referring to the dire conditions in New York City’s commercial real estate market.
The Community House Improvement Program, which represents around 4,000 landlords of rent-stabilized apartment buildings, said this week that among its members who also have commercial tenants, two-thirds of those tenants did not pay rent in April and May.
Nearly 25 percent of its members’ residential tenants did not pay rent in May, up from about 20 percent in April, the group said. Before the pandemic, the figure was around 15 percent in a given month, said the group, whose members it surveyed collectively own more than 100,000 rental units in the city.
“Unless the federal government steps in to help renters and owners in a big way, we are going to see a housing disaster the likes of which we have never seen,” said Jay Martin, the group’s executive director…..