Google co-founder joins investors in retreating from New York housing market

Months before New York City approved a landmark two-year rent freeze for nearly one million rent-stabilized apartments, Google co-founder Sergey Brin quietly exited a struggling real estate fund at a steep loss.

According to documents obtained by Bloomberg this week, Brin sold his stake back to the fund's manager, A&E Real Estate, in December for just six cents on the dollar.

The fund owns approximately 5,900 rent-stabilized apartments across New York City. Brin's investment was reportedly valued at around $79 million—a relatively small sum compared with his estimated $280 billion fortune.

"A&E bought out one of our long-term investors, who was willing to accept six cents on the dollar on their original equity investment to divest itself from the New York City multifamily sector," a company representative told Bloomberg.

"The simple and deeply troubling fact for renters is that institutional capital – both equity investors and lenders – are fleeing New York City's rent-stabilized apartment sector," the spokesperson added. "They understand New York is in a doom loop."

It remains unclear how much Brin originally invested, what share of the fund he owned, or how much A&E ultimately paid to repurchase his stake.

Brin's departure came shortly after Zohran Mamdani won the New York City mayoral election on a pledge to freeze rents for approximately one million rent-stabilized apartments throughout his term.

Last week, Mamdani fulfilled that campaign promise when the city's Rent Guidelines Board voted to impose a 0% rent increase on stabilized leases signed or renewed between October 1, 2026, and September 30, 2027. Mamdani appointed six of the board's nine current members.

A&E Real Estate, one of New York City's largest multifamily landlords, had already been facing financial pressures before the latest rent freeze. The company's challenges intensified after New York State introduced sweeping rent regulation reforms in 2019, limiting landlords' ability to increase rents. Those difficulties were compounded by the COVID-19 pandemic, when eviction moratoriums prevented landlords from removing tenants for non-payment.

By Nazrin Sadigova