The Real Estate Board of New York to The City Council Committee of Consumer Affairs and Protection

Download the Testimony

The Real Estate Board of New York (REBNY) is the City’s leading real estate trade association representing commercial, residential, and institutional property owners, builders, managers, investors, brokers, salespeople, and other organizations and individuals active in New York City real estate.

For much of New York City’s history, street vending has been an inherent and enduring feature of the urban landscape. REBNY recognizes that street vending is, and will continue to be, part of the fabric of City life. However, it is not unreasonable to expect that clear rules are in place and consistently enforced — and that the legitimate needs and concerns of property owners, businesses, and taxpayers are given due consideration. Before the City contemplates expanding the number of vendors or introducing new licensing schemes, it is essential to ensure that the current enforcement system is functioning effectively.

REBNY is proud to have participated in the Street Vendor Advisory Board (SVAB) established under LL18 and several of the proposals under consideration stem from recommendations and discussions held within the SVAB. We look forward to continuing collaborative conversations around these proposals to strengthen equity, education, and enforcement in the street vending space.

REBNY stands ready to work with the Committee to identify solutions that align with the shared goals of property owners, vendors, and brick-and-mortar businesses. However, we must acknowledge the difficult economic reality facing New York City’s retail and hospitality sectors. Employment in these industries remains below pre-pandemic levels, and new cost pressures, including tariffs, threaten to make goods more expensive.

One of the most significant features of LL18 was its creation of a phased approach to issuing vending supervisory licenses over ten years. This was designed to dismantle the underground market for vending licenses in a measured way, while also enabling the City to establish the Office of Street Vendor Enforcement. We are still in the early stages of this carefully designed phase-in. As the City continues to adapt its enforcement strategies to today’s challenges, we strongly urge the Council to allow this process to unfold before accelerating the phase-in or lifting the existing cap on vending licenses.

Rather than addressing the significant enforcement needs with the current number of vendors on the streets, the City Council is currently considering legislation — including Int. 431-2024 — that would expand the number of street vendor permits. This “Street Vendor Reform Legislative Package” has been promoted as a step toward fairness, but in practice, it risks destabilizing an already fragile retail environment.

Local Law 18 was intended to add 4,450 new vendor permits and strengthen enforcement, yet much of this has not been realized. Many of the promised new permits have not been issued, and unlicensed vendors continue to overwhelm our streets and public spaces, with little visible enforcement. Despite this, the Council is now weighing an even greater expansion by increasing permits to 7,500 and ultimately seeking unlimited permitting, effectively formalizing the widespread, unmanaged vending activity currently taking place on our sidewalks.

According to the Street Vendor Project, there are currently an estimated 23,000 unlicensed vendors operating in the City, including over 20,500 unlicensed food vendors. These unlicensed operations often cluster together, selling similar goods side by side, without coordinated placement, sanitation oversight, or tax contributions. This creates a “free-for-all” on sidewalks, congesting pedestrian pathways, compromising accessibility, and straining public sanitation systems.

For brick-and-mortar businesses — which pay rent, property taxes, and comply with extensive regulations — the unchecked growth of unlicensed vending is a major threat. It reduces foot traffic to storefronts, drives down demand for retail space, and contributes to rising vacancy rates. Meanwhile, the public is exposed to unregulated food operations that lack basic health inspections and safety oversight.

REBNY is particularly concerned that our city agencies currently lack the capacity to enforce the existing vending laws, and that expanding the number of vendors through Int. 431-2024 will only further undermine enforcement. Allowing unlimited permits with minimal regulatory oversight risks accelerating job losses, business closures, and neighborhood decline.

REBNY remains committed to engaging constructively with the Council, vendors, and small business stakeholders to identify balanced, thoughtful solutions that strengthen our local economy and preserve the character of our neighborhoods. Thank you for the opportunity to submit this testimony. We look forward to continuing dialogue on this critical issue.