Financial incentives stop aligning because of two things:
* Rent control means that tenants are paying less than market rate.
* Extremely low property tax rates combined with anti-development policy mean that asset price appreciation exceeds rents by a significant amount.
Stop controlling rents, tax the hell out of these people, and one way or another spend it on residents, and you are exacting a redistribution of wealth that doesn't distort the market in a way that leads to slumlords.
* Rent control means that tenants are paying less than market rate.
* Extremely low property tax rates combined with anti-development policy mean that asset price appreciation exceeds rents by a significant amount.
Stop controlling rents, tax the hell out of these people, and one way or another spend it on residents, and you are exacting a redistribution of wealth that doesn't distort the market in a way that leads to slumlords.