NYCHA Roiled in West Chelsea Again by Ex-State Sen. Lawsuit

Obstacles to NYCHA’s quest to redevelop two public housing complexes in West Chelsea keep springing up.

Late last month, former State Sen. Thomas Duane filed a lawsuit looking to block the redevelopment of the Fulton and Elliott-Chelsea Houses, Crain’s reported. The lawsuit claims NYCHA’s plan is illegal, as it involves leasing the properties to Related Companies, ostensibly in violation of a state law dating back to 2010.

“It is absolutely unacceptable that the city of New York would sell its land and low-income housing to a private developer,” Duane said in a statement. He represented the neighborhood for 14 years in the state senate.

Duane expressed fear about displacement, citing statistics. The lawsuit cited a study from the comptroller’s office that found eviction rates at privatized public housing to be 0.57 percent, compared to a 0.12 percent rate at more conventional NYCHA complexes.

NYCHA declined to comment on the lawsuit due to pending litigation.

It’s the latest challenge to NYCHA’s $2 billion plan to demolish and rebuild the pair of properties.

In November, a judge refused to order two senior citizens residing in the Fulton and Elliott-Chelsea Houses to immediately vacate. Most of the residents are able to stay in place while work is done to build the forthcoming properties, but some are being asked to temporarily relocate and not all are willing, leading to multiple lawsuits.

NYCHA and Related filed plans for a 12-story, 217-unit building at 401 West 19th Street over the summer.

The development team, which also includes Essence Development, is replacing more than 2,000 public housing units. They will also build retail and commercial space, as well as 3,500 mixed-income apartments, 1,000 of which will be put aside at affordable rates.

Last month, the Public Authorities Control Board approved the redevelopment of the first apartment tower, a project expected to cost $1.2 million per unit.

— Holden Walter-Warner