Consultation Means Nothing

St. Paul recently amended its draconian rent control law to exempt new construction for twenty years. One of the largest developers of multi-family housing in the city, Ryan Cos., said that a twenty-year exemption wasn’t enough to incentivize construction of new housing. City officials responded that the exemption was made “in consultation with developers—including Ryan.” However, as the city demonstrated, consultation means nothing.

City officials gave Ryan a voice in discussions about the amendment. And then they promptly allowed the howls o the mob to drown out Ryan. The city allowed tenants and their advocates to render Ryan’s consultation meaningless.

City officials seem to believe that Ryan had an opportunity to express its views, the company has no right to complain. This is akin to a robber justifying his actions by saying that he acted in “consultation” with his victim. A discussion may occur, but ultimately, the victim’s desires are irrelevant, and the robber imposes his views through force. A discussion between Ryan and city officials occurred, but ultimately, Ryan’s desires are irrelevant, and the city imposes it views through force.

The city has decided that Ryan should not be free to produce and trade rental housing as it deems best. The company told the city what it needed—a thirty-year exemption—to move forward with a housing project. The city essentially told Ryan to stick it where the sun doesn’t shine.

Ryan deserves credit for expressing its disagreement with the amendment. However, the company deserves criticism for suggesting that a thirty-year exemption would be an acceptable compromise. The company compromised on a fundamental principle—the moral right to use one’s property as one thinks best. Whether the city will control Ryan’s properties in twenty-years or thirty-years is simply a detail. Ultimately, the city will control Ryan’s properties.

Ryan, and other landlords in cities with rent control, are being penalized, not because they have violated anyone’s rights, but because they have the audacity to own rental property. This type of injustice is made possible by altruism—the notion that individuals must sacrifice for others. Both Ryan and the city accept altruism as the moral ideal. They only disagree about when that sacrifice should begin.

Similar Posts

  • Bake More Pies

    For more than one hundred years, government officials have decried the difficulty many Americans face when they attempt to buy a home. Indeed, housing affordability has become a rallying cry for both progressives and conservatives. Their solutions invariably involve one scheme or another for how to distribute the existing housing stock. Those solutions will fail,…

  • A Solution to Displacement

    One of the primary complaints about gentrification is the displacement of the existing residents in a neighborhood. To reduce displacement, a growing number of cities are requiring developers to include affordable housing in exchange for permission to build a new housing project.  These mandates violate the property rights of developers by interfering with their freedom…

  • Racism and Housing

    Housing advocates frequently claim that racism explains the large gap in home ownership between whites and non-whites. To overcome this racism, they call for government programs to help non-whites purchase homes. It is true that past racism did deter home ownership among non-whites, but that fact must be considered in the full context. The source…