New REBNY report touts benefits of 421a

Organization claims the program is responsible for 5,500 planned affordable units

New York /
Mar.March 16, 2015 08:40 AM

A new report released by the Real Estate Board of New York says that 5,500 affordable housing units that are currently planned are the result of the 421a tax abatement.

REBNY analyzed a sample of large projects including Forest City Ratner’s Pacific Park, Two Trees’ Domino Sugar project and Alma Realty’s Astoria Cove, and found that 421a is responsible for 5,484 affordable apartments and 13,801 market-rate units, Crain’s reported

The report is cry to lawmakers not to repeal the abatement, which expires in June and grants tax breaks to new units for up to 25 years. Affordable housing advocates have called to extinguish the program, saying that it gives tax breaks to some of the wealthiest New Yorkers.

“The renewal of 421a is one critical element of the city’s plan to address our housing shortage,” said REBNY president Steven Spinola. “Without 421a, our housing crisis will take an immediate turn for the worse.”

Mayor Bill de Blasio has kept his position on 421a under wraps, but some of his aides have praised the program for creating affordable units in desirable neighborhoods. A recent report said that the end of 421a could freeze development and lower land prices. [Crain’s] — Tess Hofmann

 

Related Articles

arrow_forward_ios
HRI executive director Aaron Carr and 700 West 192nd Street (Google Maps, Facebook)
Brooklyn, Manhattan tenants sue landlords over alleged 421a abuse
Brooklyn, Manhattan tenants sue landlords over alleged 421a abuse
1209 Dekalb Avenue in Brooklyn. (iStock, Kutnicki Bernstein Architects)
Industry suffers setback in 421a class action suit
Industry suffers setback in 421a class action suit
New York Attorney General Letitia James and 63-36 99th Street in Rego Park (Getty; StreetEasy)
“Not on my watch”: AG Tish James fines developers who violated 421a
“Not on my watch”: AG Tish James fines developers who violated 421a
One year later, New York is still figuring out key questions over its new rent stabilization law. (iStock)
Rent law’s unanswered questions vex landlords, tenants
Rent law’s unanswered questions vex landlords, tenants
Scott Stringer (Credit: Getty Images)
Scott Stringer calls for “universal affordable housing,” end to 421a
Scott Stringer calls for “universal affordable housing,” end to 421a
Jay Martin, James Whelan and Joe Strasburg
Rent-pocalypse 2.0: Real estate industry reacts to tenant demands
Rent-pocalypse 2.0: Real estate industry reacts to tenant demands
The issue came to light after some owners realized they were incorrectly billed in June (Credit: iStock)
“A big, big, big success,” NYC Finance Department says of new system that overcharged building owners on property tax
“A big, big, big success,” NYC Finance Department says of new system that overcharged building owners on property tax
With the elimination of vacancy decontrol, landlords can't deregulate units in buildings receiving 421a until the tax break expires (Credit: iStock)
Collateral damage? Real estate sounds alarm on rent regs’ impact on condos, 421a
Collateral damage? Real estate sounds alarm on rent regs’ impact on condos, 421a
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...