Voters approved changes that could transform a political dynamic that has guided rezoning for decades. A deadly shooting at a Midtown office tower raised questions about the best way to protect tenants.
These and other stories had a major impact on the real estate sector this year and will continue to influence the sector for years to come.
Here are some of the most talked-about real estate stories in New York from 2025:
1) Shooting at 345 Park Avenue
The tragic shooting of four people at Rudin Management’s 345 Park Avenue has deeply affected friends, family and colleagues of the victims, and has fueled debate over office security in the city.
On July 27, Shane Devon Tamura walked into the office tower with an assault rifle and killed three people in the lobby: Wesley LePatner, CEO of Blackstone Real Estate Income Trust; NYPD Officer Didarul Islam; and Aland Etienne, a security guard.
He then took the elevator to Rudin’s office on the 33rd floor, thinking that was where the headquarters of the National Football Association were located. There he shot and killed Julia Hyman, an employee at Rudin, before turning the gun on himself.
The deaths left the real estate community reeling and sparked conversations about possible ways to prevent future incidents and the limitations of buildings already equipped with the best technology and security practices. A month after the shooting, Reps. Jerrold Nadler and Dan Goldman called on Congress to pass gun safety legislation that would ban assault weapons and implement universal background checks, among other things. (The gun Tamura used was illegal to own in New York, but purchased legally in Nevada.)
The shootings also inspired the City Council to pass legislation that set minimum wages for security guards and increased training requirements.
2) Mamdani wins mayoral race
Real estate professionals donated millions of dollars to political action committees supporting former Gov. Andrew Cuomo’s mayoral candidate. When Zohran Mamdani defeated him in the primaries (along with a number of other candidates vying for the job), some in the industry hoped that Mayor Eric Adams could gain enough momentum heading into the general election, although this optimism did not last long as the mayor lagged in the polls.
During his campaign, the Democratic Socialist outlined several priorities that roiled landlords and the broader business community, including a promise to freeze rents for stabilized apartments for four years and to push the state to raise business and income taxes on the state’s wealthiest.
Still, Mamdani has also said he is committed to reforming the city’s property tax system and finding other ways to reduce costs for owners.
3) The story of mortgage fraud
Federal agencies have stepped up their investigations into mortgage fraud this year, expanding an already tangled web of sponsors, attorneys, title agents and others. These parties were accused of perpetrating schemes that often involved inflated financial values or sales prices to secure larger loans from various lenders.
This year, several key figures were convicted, including Moshe Silber, Fred Schulman, Baruch Drillman and Eli Puretz. These cases involved properties and players outside of New York, but had greater implications for New York City-based companies. Fannie Mae has blacklisted a number of title firms named in fraud cases, although Madison Title was reinstated as an approved supplier in June.
4) The FARE Act goes into effect
The Fairness in Apartment Rental Expenses, or FARE Act, went into effect on June 11. The new law requires anyone who hires a rental agent to pay the stated agency fees. However, a real estate agent who publishes a listing is presumed to be hired by the property owner. In its lawsuit against the law, the Real Estate Board of New York claimed that this provision violates the First Amendment because it discourages a specific type of speech (mentions). REBNY has appealed the case to the Second Circuit and is awaiting a decision.
Since the introduction of the law, public rents have fallen and average rents have increased, but it is difficult to separate the impact of the law from other factors that influence such shifts, such as a lack of supply and high demand.
5) Revision of housing approval
Mayor Eric Adams leaves office with a legacy complicated by scandal. He was the first sitting mayor in recent history to face criminal charges, which were dropped at the insistence of President Donald Trump’s administration in what was seen (including by federal prosecutors who resigned over it) as a trade of favors between the president and the mayor.
But the Adams administration also brought about major changes that allowed more housing to be built across the city. The city’s Yes for Housing Opportunity was approved last year, and this year the mayor’s Charter Revision Commission placed four proposals on the ballot that would allow certain housing projects to bypass City Council approval or allow the City Council’s rejection of a project to be appealed.
The measures, approved by voters in November, shorten timelines for approving some projects and weaken the tradition of member deference, in which Council members vote on land use issues according to the local member’s wishes. The extent to which these changes will lead to more housing remains to be seen, and will depend on many factors, including the capital available for housing and the relationship between the next mayor and City Council leaders.
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