Surprise: NYC’s Version Of Green New Deal Will Cause Massive Issues With Real Estate Industry

I wonder what Comrade de Blasio will do for the NYC government owned buildings? How about all those buildings with state and federal government tenants?

NYC’s Own Green New Deal May Be A Disaster For City’s Real Estate Business

New York City Mayor Bill de Blasio recently signed the most ambitious climate overhaul plan enacted by any large city in the United States. The Climate Mobilization Act, a legislative package passed earlier this month by a 45-2 vote, is considered New York City’s very own Green New Deal.

During an Earth Day address, de Blasio announced the city government is poised to begin implementation of the plan immediately via the creation of a new initiative known as OneNYC 2050.

According to a press release from de Blasio, the city intends to implement “laws and actions [that] will drive a nearly 30% additional reduction in greenhouse emissions by 2030 and spur tens of thousands of good jobs.” He also says New York City intends to be “carbon neutral” by 2050 with the full implementation of zero and reduced-emissions energy sources.

The article itself is obviously focused on the requirements for buildings which are over 25,000 square feet (from what I’ve seen, this is over 57% of NYC buildings) to become all sorts of “green” or pay fines out the wazoo

The Real Estate Board of New York (REBNY) has announced its opposition to the Climate Mobilization Act with the board’s president, John H. Banks, stressing that the goals of these new building regulations are not attainable.

“There is no greater challenge to our city, state, and planet than climate change,” Banks said, but added that the new measures “will have a negative impact on our ability to attract and retain a broad range of industries, including technology, media, finance, and life sciences, that provide opportunity and continued economic growth that is so important for our city.” Banks also believes the new retrofitting requirements inhibit a building’s ability to grow and attract new tenants.

Surprise? Costs are already high in NYC: artificially increase them more and it makes business difficult, and could drive them elsewhere. Companies are not going to assume the costs, they’ll pass them on, but, they can only do that so much and stay viable. They leave, they take the jobs with them. Oh, and the tax revenue.

In addition, Crain’s New York Business reports that even “environmentally friendly” buildings could face fines. The Durst Organization, a family-run real estate management firm that co-developed One World Trade Center with the Port Authority of New York and New Jersey and owns several skyscrapers that are part of the city’s iconic skyline, says their firm could be fined millions just for one building, according to the report.

Hey, most of the people in NYC voted for this garbage, so, they’ll get what they deserve. And, really, if people like Mr. Banks above think there is no greater challenge than Hotcoldwetdry, then they should be willing to see their businesses destroyed to Save The Planet, right?