New York City's "one shot deal" program, designed to provide emergency rental assistance to tenants facing eviction, is facing criticism from landlords who claim it has become an invitation for abuse. The program, which allows taxpayers to cover tenants' rent arrears, has no cap on payment amounts or the number of applications, unlike similar programs in other major cities.
Landlords argue that some tenants exploit the system by allowing rent to accumulate significantly before applying for the "one shot deal" to cover arrears, sometimes amounting to tens of thousands of dollars per tenant. This practice, they say, leaves building owners with substantial financial burdens, especially as they must continue to maintain aging buildings with rising costs for insurance and taxes, while rents remain frozen.
"Elena," a landlord who owns three rent-stabilized buildings in The Bronx, shared her experience with a tenant who, after previously receiving "one-shot" assistance, has accumulated a new arrearage of $22,000. Another building manager reported a single arrearage case of $90,000. In fiscal year 2025, New York City provided rental assistance to 52,200 households at a cost of $555 million, averaging over $10,000 per household.
Valentina Gojcak, whose property management firm oversees 40 rent-stabilized buildings, acknowledged the program's value for genuinely distressed tenants facing temporary challenges. However, she noted that some tenants, particularly those working in cash-only jobs and sending money abroad, appear to be using landlords as informal, interest-free banks. She expressed concern over trends in the early months of Mayor Zohran Mamdani's administration, where the rejection rate for "one-shot" applications has increased.
In the first quarter of the current year, 75% of "one-shot" applications were declined, compared to 62% in the same period in 2022 under former Mayor Eric Adams. Landlords fear that if the Human Resources Administration (HRA) continues to deny a growing number of rent relief requests, they will be forced into protracted eviction processes, during which they receive no rental income. Critics suggest this could lead to owners facing bankruptcy, potentially allowing non-profits to acquire the buildings, aligning with what they describe as socialist principles.
Compared to other cities, New York's program appears notably more generous. Los Angeles has a program, now closed to new applicants, that caps assistance at $15,000, while Philadelphia caps arrearage relief at $3,500. NYC's program has no such limits.
Some propose reforms, such as allowing tenants and landlords to jointly petition the HRA for rental assistance in cases of genuine distress, which would expedite decisions and ensure landlords receive back rent without lengthy court battles. This approach, they argue, would support both tenants and landlords in maintaining the city's housing stock.