Results tagged “affordablehousing”

Mayor Bloomberg's $7.5 billion plan to build or preserve city-financed residences for low-, moderate-, and middle-income families has constructed and protected 94,000 units over the past seven years — but over the same period the city's richest man has been unable to prevent rents from skyrocketing on some 200,000 other "affordable" units.

Assemblyman Hakeem Jeffries says that there are 65 condominium developments in Brooklyn which are "either financially troubled or on the verge of distress". He said, "There was an irrational exuberance of construction in the area these past few years," and Crain's reports that he's "in the early stages of approaching developers and banks behind some of these properties with a proposal to convert the unsold units into affordable housing." (Apparently it's unrelated to the city's own from-foreclosed- to-affordable-housing push.) The Local has a list of the developments; Curbed notices, "There's some shockers on there, including the blockbuster One Hanson Place conversion." Possibly related: Prices were cut on the remaining units at One Hanson Place ("One of the biggest was a 23 percent price reduction on a 1,500-sf, 2-bed, which went from $1,222,431 to $945,000").

The Post says that "two distressed luxury condo buildings -- one in Harlem and another in Downtown Brooklyn -- are in talks with the city to unload their unsold units at fire-sale prices as affordable housing." Hey, if luxury condos can become homeless shelters, why not? While it's unclear which condos are being eyed, apparently the city is negotiating with the banks that foreclosed on the properties. And the city's housing commissioner Rafael Cesetro said the condo developers/banks "would have to take significant losses"—a $500,000 condo could be purchased by the city for $300,000 (plus the developer/bank would get a $50,000 subsidy). Cesetro added that developers were only thinking about the bubble, "Some of the sales assumptions seemed like a stretch in any kind of market. In Downtown Brooklyn, and not on the water, they had buildings underwritten to sell for $800 to $900 a square foot." Will more luxury condos be turned over to the city?

Yesterday, Mayor Bloomberg, Governor Paterson and the U.S. Department of Housing and Urban Development announced that $60 million in federal stimulus funding will help complete four affordable housing developments (3 in Harlem, 1 in East New York). These are the first federal stimulus funds (from the American Recovery and Reinvestment Act’s Tax Credit Assistance Program) to be used for affordable housing; Mayor Bloomberg said, "Thanks to New York City’s congressional delegation, the City received tens of millions of dollars to revive stalled affordable housing projects, and we’re putting it to use to provide affordable housing for more than 700 families and create more than 2,800 jobs." More details about the developments, which are on East 100th, East 102nd and West 127th Streets in Harlem and on Alabama Avenue in East New Yorker, here.

Mayor Bloomberg appointed a former Wall Street investment banker to head the troubled NYC Housing Authority. The NYCHA oversees over 177,000 apartments in 340 development in all five boroughs—the NY Times says this makes John Rhea, who used to work at Lehman Brothers and JPMorgan Chase, "in effect, the city’s biggest landlord." Bloomberg said, "John's experience makes him the perfect person to lead our efforts to create long-term financial stability at the Authority, and to ring in a new era of transparency and agency responsiveness to improving resident and community quality of life." However, some critics of the Bloomberg administration were upset with the pick: City Councilwoman Letitia James issued a statement questioning Rhea's lack of "experience in managing a low-income public housing authority of this size and scale...particularly at a time when private equity firms are purchasing under-performing housing developments, and converting them to luxury housing throughout the City" while Councilwoman Rosie Mendez told the Times, "All I see is a Wall Street person with an investment banking background and with no experience in housing management or development."

Ever since Jon Bon Jovi gave up his childhood home for a fan on MTV in 1989, he was on his way to sainthood. Or at least the "good guy" title. Now the rock star has teamed up with Newark Mayor Cory Booker and NJ Gov. Jon Corzine to bring more affordable housing to his home state. NJ.com reports the trio "dug shovels into a vacant lot in the city's North Ward" yesterday. The $15 million-project will ultimately provide 51 homes to low-income and special needs people, and permanent housing for HIV/AIDS clients. Jon Bon put in about $1 million through his Philadelphia Soul Charitable Foundation, which has also helped folks in Brooklyn. He declared ever so poetically at the press conference that a difference can be made: "one street, one neighborhood, one soul at a time."

The bidding to buy the federally-subsidized Starrett City complex is now down to four bidders. The finalists are made of teams that include developers/financial institutions and non-profit organizations, such as nonprofit affordable housing developer NHP Foundation with the Related Companies. The NY Times says the four teams were asked submit final bids on September 4, and Starrett City's owners hope to complete a deal by September 15.

After striking a deal to sell the federally-subsidized Starrett City complex--while keeping it affordable--there are now eight new bids for the 140-acre development of 46 towers. Previously, the owners tried to sell the development for $1.3 billion, only for the feds to block it. The NY Times says the bids are in the $700-900 million range, and many bidding groups have non-profit entities ("so the group can issue tax-exempt bonds"). Senator Chuck Schumer, who wants to make sure the complex remains a middle-class haven, was happy with the bids so far, "The good news is that we have a framework in place that will protect the next generation of Starrett City residents and keep this New York City landmark affordable in this sale.”

The NY Times reports that owners of Starrett City will attempt to sell the 140-acres Brooklyn apartment complex again, after reaching "an agreement with federal, state and city officials" that the complex will remain affordable.

Some good news in the ongoing saga to save 1520 Sedgwick, better known as the Birthplace of Hip Hop. Today Senator Schumer, who has been lobbying on behalf of the tenants to preserve the building's affordability, announced that "the city Department of Housing Preservation and Development rejected the proposed sale to developer Mark Karasick because current rents could not be sustained if the sale had gone through." The move doesn't insure that the building’s owner won't still opt out of the Mitchell-Lama program, however.

In her State of the City address, City Council Speaker Quinn said that the Council would do its own belt-tightening given expectations the economy will slow. Still, she mentioned, per the Sun, "tax cuts, improved transportation, more pay for teachers, and affordable housing," saying, "Getting leaner does not have to mean getting meaner."

Photo: Food of the Future

Michael Lappin, CEO of the managing company for what is being called the "New Domino", responded yesterday to our questions about the proposed project via email.

The iconic Domino Sugar sign is not included in these renderings. [We photoshopped it back in, above.] Is there any plan to preserve that somewhere at the site? We are making every effort to save the sign. We are looking at different engineering solutions regarding the “where and how.” It’s a complex problem.

Last year we visited 1520 Sedgwick Avenue's past and uncertain future. The "Birthplace of Hip Hop" was, and still is, in danger of losing its lifeblood when the landlord (BSR Management) announced they wanted to abandon the Mitchell-Lama program. Essentially buying out of the program and leaving the doors open for a rent increase. Then things got worse when BSR made it clear they would be selling the building to a real estate mogul Mark Karasick, which was set to happen next month.

This past September, preservationists won a major victory when the Landmarks Preservation Commission voted to give parts of the massive old Domino Sugar Refinery in Williamsburg landmark status. Three of the buildings at the site will be preserved and renovated for residential use, including some affordable housing.

The NY State Division of Housing and Community Renewal finally closed a loophole in rent regulations that would have allowed owners and landlords leaving government-subsidized housing programs to increase rents to market rates by citing "unique and peculiar" circumstances. According to the NY Times, some tenants' rents would have skyrocketed from $981/month to $4,500/month for a two-bedroom on the Upper West Side and from $1,000/month to $5,275/month for a three-bedroom, also on the Upper West...

Housing activists and some City Council members believe that New York City needs a law prohibiting landlords from discriminating from potential tenants using federal rent vouchers. The Section 8 Housing Choice Voucher Program gives low-income families the opportunity to rent apartments while paying only 30% of the rent; the remaining portion is covered by the vouchers. The Times explains that "Eligible households are those earning no more than 50 percent of the metropolitan area’s median income, or no more than about $35,000 for a family of four in New York," while the rent limits are "$1,069 for a one-bedroom and $1,556 for a four-bedroom."

Yesterday, the New School held a forum to discuss how New York City will save its public housing. The New York City Housing Authority, which is the city's primary sources of affordable housing to 400,000 residents, has an annual shortfall of $225 million.

With the stock of affordable housing in New York City shrinking, and requirements that some city workers reside within the five boroughs and nearby suburbs, some unions are entering the real estate market to directly provide or subsidize housing for their members. The firefighters union recently announced that it was considering using some of its $7.2 billion pension fund to invest in real estate that would be used to provide affordable housing for New York's Bravest and their families. According to NY1, the union hasn't determined whether it would sell or rent to its members, but any development is still years in the future.

This afternoon, the Landmarks Preservation Commission voted unanimously to give parts of the Domino Sugar Refinery in Williamsburg landmark status. Redevelopment plans for the old Domino location call for 2,200 apartments (about 660 will be affordable housing) on the entire 11.5 acre site. The Landmark status was specifically given to three buildings (the filter house, the pan house, and the finishing house). Even before the LPC acted, development of the site included some preservation despite the construction of many new buildings. It's unclear how the landmark status will affect redevelopment plans.

The folks behind the video presenting an alternate plan for the Domino Sugar Factory site have launched a website that lays their idea out a little more clearly. The plan, as presented on dominosugar.org, is for the site to turn into a "global cultural center", regenerating the industrial site like the Tate Modern in London, which they say is "directly relevant and well documented." The website estimates that a cultural attraction at the Domino site would generate between $60-80 million a year, excluding monies generated in the surrounding area.

It's a mixed bag for Columbia today. The school was probably happy to find out that it ranked 9th in U.S News & World Report's latest top college ranking issues, but it's no fun to learn that its billion-dollar Manhattanville project was rejected by a community board committee.

Londonist are starting to think their city is getting just a little bit too expensive, when even Christian Slater can't afford to go out there. And there's no escaping, as local singer Lily Allen discovered when she was barred entry to the US. The British mapping agency caused further bad karma, by blocking a 3-D representation of London in Google Earth. But the smiles returned to Londonist's faces as they interviewed Baroness von Reichardt, who has completely covered her house in mosaic tiles.

The city and state have worked out their differences and will move forward on overhauling the 421-a tax abatement program for new development. The City Council had passed a version last year that would have increased the amount of affordable housing and limited how much of the subsidy could go towards luxury housing, but then the Legislature's version, passed in June, included more neighborhoods, more units available to people with even lower incomes, and $300 million in breaks to Atlantic Yards developer Forest City Ratner Companies. The city wasn't sure about those additions and wanted changes.

The developer who plans to transform Brooklyn waterfront where the Domino Sugar factory stands unveiled the billion-dollar plans yesterday. According to the NY Sun, there will be 2,200 housing units, 120,000 square feet of retail space, and 100,000 square feet of community space. Thirty percent of the housing will be affordable: 530 will be rentals (100 units for families making $21,000; 330 for families making up to $40,000; "100 for seniors who make up to 50% of the median income for the area") while 130 units will be for sale to "families making up to $90,000 annually."

As we mentioned, City Councilman Charles Barron held his press conference yesterday to announce his candidacy for the 2009 Brooklyn Borough Presidency. He told the crowds that his platform included affordable housing, health care accessibility, more jobs, standing up to developers who use eminent domain, ending mayor control of schools and more would help everyone. "Am I going to be a borough president for all the people? Absolutely. But I'm letting y'all know now, I'm taking care of black folk. Unapologetically."

A while back we reported on possible changes at 1520 Sedgwick Avenue in the Bronx, more widely known as "the birthplace of hip hop." Tenants of the apartment complex, as well as its supporters, have been fighting to get the building landmarked. Just as important, they want to keep the apartments rent stabilized.

Councilman Charles Barron stood on the steps of Brooklyn's Borough Hall yesterday and announced that he would be running to become the first African-Amercian Borough President in Brooklyn's history. The Daily News reports that Barron wasted no time in denigrating the current Beep Marty Markowitz. "We've had a cheerleader. Now we need a real leader in Brooklyn." Barron was referring to Markowitz's seemingly perpetual sunny disposition and love of public appearances while looking faintly ridiculous.

This morning, Governor Eliot Spitzer is announcing the sale of the West Side Railyards. The NY Times reports that the state and MTA will "formally begin soliciting bids for the development rights." Boy, does this bring us back to 2005. Of course, developers will need a boatload of patience and a boatload of money - the land was appraised last September to be worth $1.5 billion and it's estimated to cost $1 billion to simply build a platform over the railyards.

Starrett City, the subsidized housing development in Brooklyn, was sold for $1.3 billion in February, but for the second time, the Department of Housing and Urban Development rejected the deal. The February sale needed to be approved by HUD, because Starrett City is the country's largest subsidized development, and shortly after the sale was announced, State Attorney General Andrew Cuomo got to work on blocking the sale.