The Kirtland Partnership Committee stands in strong opposition of Senate Bill 99, The Repeal of Rent Control Prohibitions
From a military standpoint, repealing the statewide prohibition to rent control is a misguided policy that will have a detrimental effect on military personnel and their families. Rent control can limit the amount of housing available to military families, which can lead to inadequate housing and higher costs as landlords may increase other fees to make up for the loss of potential income. In addition, rent control can limit the availability of private housing near military bases, further reducing the housing options for military personnel and their families.
We are facing a housing shortage in the State of New Mexico that greatly impacts the Kirtland National Security Complex, Cannon Air Force Base, Holloman Air Force Base and White Sands Missile Range which have an $11.5 billion dollar impact in New Mexico, annually. As New Mexico grows its economy, giving municipalities the option to introduce rent control will only discourage the construction of additional housing. It is counter productive.
The City of Albuquerque is above 95% housing occupancy. The need for additional housing is critical due to the intended growth of the private sector and members of the military to be stationed. If the market is not allowed to dictate the cost of rent, then this could have a negative impact on the growth of new housing.
Rent control is an inefficient and ineffective way of addressing the housing crisis. It does not solve the underlying issues that cause housing to be unaffordable, and it can even make the situation worse by reducing the amount of rental housing available. Rent control can also lead to higher rents in unregulated areas, as landlords adjust their prices to compensate for the loss of income in rent-controlled areas.
Furthermore, rent control can discourage people from investing in rental properties, thus reducing the overall availability of rental housing. This will cause property values to decrease, reducing the incentive to build additional housing which fails to properly meet the increasing demand.
Please consider our brave men and women who serve this great Nation and their families housing needs in addition to the growing New Mexico economy when reviewing SB99.