Tenant rights didn't end SROs, but they made them much more expensive to operate in cities that make evictions difficult. Most cities were already discouraging them with zoning and building codes, and tenant rights expansions in some of the most expensive cities just doubled down.
Where they still exist in significant quantity, it's usually because of subsidies, carve-outs that exempt them from some code or regulatory requirements, or both. NYC still has the most in the country, and might stop losing the ones they have so quickly thanks to some 2023 carve-outs and subsidies. But as a percentage of the housing stock (which is already too low!) they've declined from ~10% in the 1950s to >1% now. But it's very, very rare anywhere for new SROs to be built, and especially in the cities that could benefit most from them.
Chicago passed an ordinance in 2014 to preserve the SROs they had, with subsidized loans and tax credits to operators, but between 2015 and 2020 they still lost 37% of their remaining SRO buildings (no more recent data seems easily available).
It seems like half this discussion thread is trying to pin the problem on "tenants rights" while the other half is saying "SROs are bad because they house undesirables."
If it were tenants rights, you'd expect SROs to go away in the parts of the country with the strongest tenants rights, subsidies or no. Instead, SROs disappearing seems mostly correlated with gentrification and nimbys.
As an aside I've known several smallish residential landlords (20-50 units) and they are, in general, strongly biased towards higher-income tenants and totally unequipped to manage an SRO or any building with substantial shared space. For them the perfect property is a walkup with no shared indoor spaces to maintain, and the perfect tenant is a yuppie without a lot of price sensitivity.
> That's every landlord. Higher income tenants tend to bring less problems overall.
Even moreso in states with expansive eviction protections. High-income tenants rarely squat. But at least for bigger landlords squatting isn't an existential risk.
Where they still exist in significant quantity, it's usually because of subsidies, carve-outs that exempt them from some code or regulatory requirements, or both. NYC still has the most in the country, and might stop losing the ones they have so quickly thanks to some 2023 carve-outs and subsidies. But as a percentage of the housing stock (which is already too low!) they've declined from ~10% in the 1950s to >1% now. But it's very, very rare anywhere for new SROs to be built, and especially in the cities that could benefit most from them.
Chicago passed an ordinance in 2014 to preserve the SROs they had, with subsidized loans and tax credits to operators, but between 2015 and 2020 they still lost 37% of their remaining SRO buildings (no more recent data seems easily available).