The Head of Government of Mexico City, Clara Brugada, has detailed her proposed reform to the capital’s Constitution to address the housing problem and the uncontrolled rise in rental prices. The main objective of the initiative is to limit the annual increase in rents to adjust to inflation. It also aims to create a public body that defends the rights of tenants and landlords, includes the right to neighborhood rootedness in the Mexico City Constitution, and obliges the Executive to promote public housing. “We will be the first city in the country and in the world to establish a limit on rental prices in the Constitution and to combat gentrification,” Brugada assured.
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The Head of Government has decided to elevate to a constitutional level the legal proposal she promised last year to mitigate the effects of gentrification in the capital, which has already displaced the most vulnerable populations to the periphery and expelled residents from their lifelong neighborhoods. The initiative will still have to be reviewed in Congress during an extraordinary session or in September as a prelude to the long-awaited Fair and Affordable Rents Law.
The new legislation will regularize the market so that all landlords register rental contracts, which will protect tenants from abuses and breaches. “The proposed constitutional and rental law reform provides legal certainty to property, to rents. We reject any misinformation that suggests we somehow want to violate the principle of private property,” said the Head of Government, who acknowledged that in some areas of the city, rental prices have doubled in just a few years.
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The efforts of the capital’s Government have not yet materialized in housing regularization one year after protests against gentrification due to escalating rental prices, the uncontrolled growth of Airbnb, and the presence of foreign tourists who stay to reside in the neighborhoods with the highest capital gains. Brugada’s initiative is progressing slowly, while Mexico City is already beginning to suffer speculative attacks on accommodation less than two months before the 2026 FIFA World Cup begins.