Part 3/7:
A key concern raised by Altman is that strict rent controls disincentivize landlords and investors from maintaining or improving their properties. When property owners cannot realize adequate returns, they are less likely to invest in repairs or new development. Altman points out that many buildings, especially those built before 1978, are aging and in poor condition—conditions unlikely to improve if owners don't see a way to financially justify upgrades.
He argues that this dynamic could lead to a decline in overall building quality, increasing vacancy rates and making rental properties less attractive to prospective tenants. The risk is that a reduction in investment could worsen the housing stock and reduce the availability of rental units over time.