Half of the units will be affordable, and half will be market rate, according to the New York Daily News.
NYCHA has been attempting to raise funds for improvements at its properties by granting developers 99-year leases on empty space in exchange for payments for repairs. Two Trees and Arker will pay NYCHA $37 million, with $18.5 million geared toward Wyckoff Gardens.
Leaders of both companies have donated money to Mayor Bill de Blasio. Arker Companies owner Sol Arker collected $24,600 of donations for the mayor’s reelection campaign, while Two Trees CEO Jed Walentas wrote de Blasio’s now-defunct nonprofit Campaign for One New York a $100,000 check in 2015.
NYCHA first tried this controversial strategy at Holmes Towers on the Upper East Side. The city selected Fetner Properties to build a 47-story tower at that site, also split between affordable and market-rate units.
Fetner has donated to de Blasio as well, with CEO Harold Fetner and his family contributing $39,150 to his campaigns. [NYDN] – Eddie Small