NYU’s Furman Center floats new tax abatement for affordable housing

Study finds 27 percent drop in low-income affordable units since 2002

TRD New York /
Jun.June 11, 2015 06:00 PM

New York University’s Furman Center for Real Estate and Urban Policy has suggested exploring the creation of a new tax abatement program meant to preserve affordable housing supply in the city.

A study by the Furman Center found that the number of apartments affordable to low-income New Yorkers has fallen 27 percent since 2002 – a loss of nearly 240,000 units. The report also noted that around 97,000 of those apartments received no city subsidies, a point used to suggest the possibility of a new tax incentive to preserve the affordability of the city’s existing housing stock, according to Capital New York.

The degree to which a landlord would benefit from such an abatement would depend on the neighborhood their property is located it. The faster a neighborhood’s rent growth, the less beneficial such a program would be for landlords.

Mayor Bill de Blasio recently proposed an end to the current 421a tax break if the state legislature is unable to agree on reforms to the program later this month. [Capital NY]Rey Mashayekhi


Related Articles

arrow_forward_ios
A rendering of 165 Broome Street (Credit: Handel Architects)

Nonprofit plans affordable housing development near Essex Crossing

Nonprofit plans affordable housing development near Essex Crossing
All Falls Down: Kanye West’s “Star Wars”-themed affordable housing plan hits snag

All Falls Down: Kanye West’s “Star Wars”-themed affordable housing plan hits snag

All Falls Down: Kanye West’s “Star Wars”-themed affordable housing plan hits snag
902 Drew Street and 400 East 58th Street (Google Maps)

New York’s multifamily sales improve in Q3

New York’s multifamily sales improve in Q3
Gov. Andrew Cuomo (Getty, iStock)

New York lost $755M in real estate tax revenue this year: REBNY

New York lost $755M in real estate tax revenue this year: REBNY
The Internal Revenue Service is going after foreign real estate investors as part of a broader sweep to collect revenues amid the pandemic.  (iStock)

“There’s a lot of money to be made”: IRS targets foreign real estate investors

“There’s a lot of money to be made”: IRS targets foreign real estate investors
Seven Springs in Westchester and Donald Trump (Getty; Trump Org)

Trump may throw in towel on Seven Springs

Trump may throw in towel on Seven Springs
San Francisco Mayor London Breed (Getty)

San Francisco mayor blasts “lefty movement” for blocking housing

San Francisco mayor blasts “lefty movement” for blocking housing
Manhattan District attorney Cyrus Vance Jr and President Donald Trump (Getty; iStock)

Manhattan DA can see Trump tax returns: judges

Manhattan DA can see Trump tax returns: judges
arrow_forward_ios

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

Loading...