Adams Administration Produced More New Supportive Homes and Homes for Formerly Homeless New Yorkers in Fiscal Year 2023 Than Any Year in City’s History
With Shelter Population at Record High Resulting From Massive Influx of Asylum Seekers, Mayor Adams Eliminated 90-Day Rule and Administration Connected More New Yorkers to Permanent Homes With CityFHEPS Than Any Year Since Program’s Creation
Nearly 27,000 Affordable Homes Created and Preserved Includes Second Highest Number of New Affordable Homes Created in One Year
Even With Most Funding for Affordable Housing in City’s History, Lapse of Key Affordable Housing Incentive Threatens to Halt Progress Without Action in Albany
New York – New York City Mayor Eric Adams today announced landmark progress in his efforts to tackle the city’s affordable housing crisis and connect New Yorkers to safe, high-quality, affordable homes. In Fiscal Year 2023 (FY23), the administration produced 26,682 affordable homes through new construction and preservation deals closed by the New York City Department of Housing Preservation and Development (HPD), the New York City Housing Authority (NYCHA), and the New York City Housing Development Corporation (HDC) – a 22 percent increase over the prior year. That total includes 12,278 homes that will be newly constructed, the second-highest number of new affordable homes funded in one year since tracking began in 1976. HPD alone increased their affordable housing production by 45 percent over FY22.
The Adams administration also broke several records in its efforts to create and connect the most vulnerable New Yorkers to permanent affordable housing. HPD financed the highest number of supportive homes in city history, as well as the highest number of homes for New Yorkers who formerly experienced homelessness in a fiscal year since tracking began in 2014. As Mayor Adams advanced a package of reforms to the City Fighting Homelessness and Eviction Prevention Supplement (CityFHEPS) housing voucher program and eliminated the 90-day length-of-stay requirement for New Yorkers in shelter to be eligible for the vouchers, DSS connected more New Yorkers to permanent housing using CityFHEPS vouchers than in any other year in the program’s history.
“Our city declared a housing emergency five decades ago, and five decades later, the problem is worse than ever. That’s why my administration is doing everything to flip the script – speeding the production of affordable housing, preserving the housing stock we already have, and slashing red tape to get New Yorkers out of shelters and into permanent homes – and today, the data shows that we are succeeding,” said Mayor Adams. “In the last fiscal year, we built more new supportive homes and homes for those New Yorkers formerly experiencing homelessness than any year in New York City history, connected more New Yorkers to permanent housing using CityFHEPS vouchers than any year in program history, and created and preserved 45 percent more homes than in the previous year. But without action from our partners in Albany, our historic progress will stall. A new and improved 421-a is crucial to getting new housing built, and this year, we’ve seen the way it makes a difference.”
“Since the start of this administration, we knew that addressing the housing crisis required two separate but interconnected strategies: improving how we connect New Yorkers to permanent housing and building a lot more housing,” said First Deputy Mayor Sheena Wright. “I’m so proud of the records we’re setting, thanks to the hard work of HPD, HDC, NYCHA, and DSS. Our work is far from done – and we’ll continue pushing to ensure we’re using every tool we can to create new housing. New Yorkers cannot wait any longer.”
“The 26,682 homes financed last year represent a sign of New York City’s strong recovery and our administration’s commitment to New Yorkers in need of affordable housing,” said Deputy Mayor for Housing, Economic Development, and Workforce Maria Torres-Springer. “Mayor Adams, HPD, HDC, NYCHA, and DSS, along with former Chief Housing Officer Jessica Katz, broke administrative barriers to provide landmark support to tenants, those experiencing homelessness, and those who once did. From the increase in Housing Connect approvals and therefore housing placements to the most homeless and supportive homes produced in a fiscal year, to efforts to move more people with a CityFHEPS voucher into permanent housing, this city said no to old practices that kept people out of homes and yes to action that will make New York City more affordable and stronger after the challenges of the COVID crisis, high interest rates, and more.”
“Today’s announcement demonstrates the city’s dual commitment to streamlining access to safe, stable housing and increasing the availability of affordable housing in the city,” said Deputy Mayor for Health and Human Services Anne Williams-Isom. “Thank you to our partners across government who have made these milestones possible and for working tirelessly to meet our shared goal of finding every New Yorker a permanent home.”
“Behind all the numbers is a New Yorker who will have a home they deserve, in a neighborhood of their choice – that’s what we’re fighting for and will continue to deliver for the city we love,” said HPD Commissioner Adolfo Carrión, Jr. “This is a year of many ‘mosts’ for HPD – the most supportive units, most homeless units, most 421-a units, and nearly the most new construction units. I’m extremely proud of our team at HPD for overcoming obstacles, putting in the work, and creating and preserving far more housing than anyone thought possible.”
“NYCHA’s public housing portfolio is a critical component of New York City’s affordable housing stock, and we remain committed to using every available tool to preserve it for future generations of New Yorkers,” said NYCHA CEO Lisa Bova-Hiatt. “The successes of the PACT program are tried and true – enabling us to bring investment into our properties and enhance the conditions of our aging buildings to the direct benefit of the residents who live there.”
“Since day one, the Adams administration has taken important steps and implemented robust reforms to eliminate barriers to permanent housing while expanding access to city-funded rental assistance for vulnerable New Yorkers. And the numbers speak for themselves – our efforts are clearly headed in the right direction,” said DSS Commissioner Molly Wasow Park. “In FY23, we connected a record number of New Yorkers to permanent housing using CityFHEPS vouchers while significantly increasing placements from shelter, and we’re increasing overall placements to supportive housing by more than 40 percent. DSS is also implementing bold solutions to create housing opportunities for New Yorkers in need, including the innovative use of social service contracts to increase affordable housing options, piloting a housing-first model, and partnering with HPD on projects to create more deeply affordable housing. We look forward to building on this progress as we collaboratively work to address homelessness and housing insecurity in New York City.”
“Today’s announcement reflects the city’s significant progress in expanding the supply of affordable housing, improving the quality of our public housing stock, and responding to the needs of those experiencing or at risk of homelessness,” said HDC President Eric Enderlin. “HDC is proud to join our partners across the administration and our many public and private partners in providing our fellow New Yorkers with the housing opportunities and supportive services they need to thrive amidst ongoing economic challenges. As we aim to deliver even more affordable housing in the years ahead, we call on our partners at every level of government to help us secure the resources needed to ensure that all New Yorkers have a stable, affordable, and decent place to call home.”
“Every new home created or financed is a step toward a more affordable New York City. The Department of City Planning is working every day to support new affordable housing in every neighborhood of the city, in conjunction with smart infrastructure and environmental investments,” said New York City Department of City Planning Director and City Planning Commission Chair Dan Garodnick. “Together, we can ‘Get Stuff Built’ and ‘House Our Neighbors.'”
“Over the last several years, PACT has proven to be an important and effective solution for renovating public housing developments following decades of federal disinvestment,” said NYCHA Executive Vice President for Real Estate Development Jonathan Gouveia. “As the largest public housing authority in the U.S., NYCHA will continue to lead the way with this innovative program that delivers tangible results for residents across the five boroughs.”
The Adams administration has committed $24 billion for affordable housing – the most in New York City’s history. This is just part of the administration’s work under Mayor Adams’ “Housing Our Neighbors” and “Get Stuff Built” plans and progress towards the city’s “moonshot” goal of meeting the need for 500,000 new homes over the next decade. In the coming months, Mayor Adams will take steps to advance his “City of Yes for Housing Opportunity” proposal with changes to zoning citywide to unlock potential for more new housing in every corner of the city.
Amid a crisis that has brought more than 95,000 asylum seekers to New York City and more than doubled the city’s shelter population in approximately a year to more than 107,000, the Adams administration took extraordinary steps that proved successful in connecting New Yorkers in the shelter system to permanent affordable housing and created more housing to serve the most vulnerable. In FY23, DSS helped 15,000 households move out of shelters and into permanent housing – 18 percent higher than the prior fiscal year. Through a series of policy changes and process improvements, DSS also increased placements in supportive housing by 43 percent, year over year. HPD and HDC approved 9,003 households for new, affordable homes through Housing Connect lotteries – a 37 percent increase over the prior year – while connecting 2,531 households who formerly experienced homelessness to HPD-financed homes, an increase of 15 percent.
Despite rising housing costs due to increasing interest rates, inflation, construction costs, and insurance rates, HPD additionally financed the most homes for New Yorkers who formerly experienced homelessness since tracking began in 2014 with 3,574 homes now in progress. That figure represents 15 percent of the agency’s overall housing production – the highest share of total production since tracking began in 2014. HPD also produced more supportive housing than any year on record with 1,923 units now in progress, representing 8 percent of total production – also the highest share of total production since tracking began in 2014.
Nearly one-quarter (23 percent) of all homes that HPD financed last year will serve extremely low-income households, those earning between 0 percent and 30 percent of area median income. This figure represents the highest share of total production dedicated to this set of New Yorkers on record since 2014. At the same time, projects that rely on the 421-a affordable housing incentive program made up fully half of the new construction units financed last year.
Through the Street to Housing pilot program that Mayor Adams introduced in November 2022, DSS connected 80 New Yorkers experiencing unsheltered homelessness to supportive housing units. Today, 40 of those individuals have already signed their leases, and their supportive housing units are now their permanent home. The elimination of the 90-day length-of-stay requirement for CityFHEPS made over 500 households – that would have otherwise been required to wait 90 days for a housing voucher – immediately eligible for this powerful tool.
In line with Mayor Adams’ commitment to use every tool available to connect New Yorkers to affordable homes, the city continued to lead the nation in utilizing federal Emergency Housing Vouchers for households in need – distributing all 7,788 allocated from the federal government since 2021 with 90 percent already being utilized to access permanent housing, despite the extreme scarcity of available apartments.
The Adams administration is the first mayoral administration in New York City history to include public housing in its housing plan, and Mayor Adams’ commitment to NYCHA is evident in his groundbreaking efforts to create the Public Housing Preservation Trust. Earlier this week, Mayor Adams visited Nostrand Houses in Brooklyn to inform residents about their opportunity to be the first development to opt into the Trust.
At the same time, through the Permanent Affordability Commitment Together (PACT) initiative, NYCHA has deployed a proven national program to protect aging homes for tens of thousands of public housing residents, while preserving affordability and maintaining strong tenant rights and protections. NYCHA plans to convert a total of 62,000 apartments through this program, which is subsidized by the U.S. Department of Housing and Urban Development and allows the Authority to continue to own the land and buildings.
In FY23, NYCHA converted 2,592 apartments to the Project-Based Section 8 program through the PACT program, representing $922 million in capital repairs for nearly 6,000 residents. To date, NYCHA has used the PACT program to convert 18,018 apartments at 62 developments, representing over $4.3 billion in capital repairs across the city. Another 19,691 apartments at 76 developments are in active planning and are slated for comprehensive repairs and upgrades.
Overall, over 37,000 apartments across 138 developments are in pre-development, under construction, or have completed renovations through the PACT program. This effort represents nearly $8 billion in building upgrades for public housing.
Today’s event took place at 311 11th Avenue, a new, mixed-income housing project funded in part by the 421-a program with 235 homes affordable to New Yorkers with incomes as low $26,229 for a family of two, or up to 40 percent of area median income. With 938 total units, the Douglaston Development project has been dubbed the largest multifamily rental building in Manhattan and will deliver a new Fire Department of the City of New York Emergency Medical Services Station, which will help reduce emergency response times on the west side of Manhattan.
The expiration of the 421-a affordable housing incentive – the city’s main incentive program for building new affordable housing – has begun to undercut affordable housing production and threatens to derail the administration’s efforts to continue building the housing New Yorkers need – unless Albany acts to replace it. Mayor Adams earlier this year laid out a clear agenda for investments and policy changes needed at the state level to give New York City the tools to create the housing New Yorkers need. Building on important wins in Albany this year – including emergency rent relief for NYCHA residents; a replacement for the J-51 affordable housing preservation program; and the Housing Affordability, Resiliency, and Energy Efficiency Investment Act – Mayor Adams will continue advocating for the state to provide these additional critical tools in 2024.
“I join Mayor Adams in celebrating the strides that New York City has made in addressing the housing crisis,” said U.S. Representative Jerrold Nadler. “Through cooperation at the city, state, and federal levels, a record-breaking number of New Yorkers were able to access affordable housing. Though this is a significant milestone, it is also, importantly, a moment to recommit ourselves to creating more housing and making New York more affordable for everyone.”
“New Yorkers know we are facing a record housing and homelessness crisis. Affordability is a core problem and is forcing many tenants onto the streets or out of the city, especially longtime residents of color who built our neighborhoods. As we continue to confront the city’s housing crisis, it is critical we prioritize housing for our most vulnerable New Yorkers, and I am glad to see the administration’s progress on efforts to produce more supportive and formerly homeless housing units, as well as voucher move-ins,” said New York City Councilmember Pierina Sanchez, chair, Committee on Housing and Buildings. “Our commitment to a fairer, more just city for all demands that we continue to work collaboratively to ensure more permanent housing opportunities are accessible to every New Yorker, regardless of their circumstances. I look forward to continuing to push our colleagues in Albany to increase renter protections and our ability to build and preserve here in the city, and to building a stronger and more inclusive city together.”
“This is a historic moment for New Yorkers as we continue navigating the housing crisis impacting our communities,” said New York City Councilmember Marjorie Velázquez. “We must continue to support our fellow New Yorkers as they seek permanent, affordable housing that meets the needs of their families for long-term success and stability. Today’s announcement confirms our city’s commitment to providing much-needed housing to improve the quality of life for all. Thank you, Mayor Adams, for being a housing advocate and ensuring New Yorkers have a place to call home.”
“I celebrate Mayor Adams’ announcement of a historic milestone,” said New York City Councilmember Nantasha Williams. “New York has achieved record-breaking success in creating and connecting its residents to permanent affordable housing. With all-time highs in supportive and formerly homeless unit production, we have made remarkable progress. Today, I stand united with the mayor as we double down on our urgent plea to Albany: empower New York City with the necessary tools to meet the housing needs of our vibrant city. Especially as Downtown Jamaica and other parts in my district look to welcome new affordable developments in partnership with this administration, we need Albany to act now to encourage further progress.”
“Like many New Yorkers, 32BJ members face no greater expense that affects their lives than the skyrocketing cost of rent and housing,” said Manny Pastreich, president, 32BJ. “These days, even a good-paying job does not guarantee you can afford to live in NYC. Thankfully, Mayor Adams has stepped up and used the power of City Hall to uplift the voices of the 8.5 million New York City residents. His voice for the millions of working New Yorkers who need affordable housing is obviously the most important voice our state leaders need to hear. We proudly add 32BJ’s voice to the mayor’s in pushing for proven and effective programs like 421-a.”
“3Eleven is a shining example of how 421-a allows us to deliver 235 vitally needed, deeply affordable residences to the West Chelsea community,” said Jeffrey E. Levine, founder and chairman, Douglaston Development. “Creating housing of this quality for low-income New Yorkers in high-opportunity neighborhoods is crucial to promoting housing equity citywide, and we could not do it without the powerful combination of both Mandatory Inclusionary Housing and 421-a.”
“As a person with the lived experience of being homeless as a child, a single parent, and most recently a single adult, I’m glad to be in the right place at the right time working with the right mayor, who is clearly providing the right solution to homelessness: real affordable housing,” said Shams DaBaron aka “Da Homeless Hero.” “The numbers don’t lie, and from the numbers we’re seeing, a historic amount of affordable housing has been developed, more people are exiting shelter and entering housing quicker, and the administration is proving that by thinking out of the box they can find effective ways to address the lack of affordable housing crisis that has plagued our city. As I consistently have said, the city is moving in the right direction, and I’m confident that at some point, we will be able to reverse the negative impact of previous administrations that talked the talk but didn’t walk the walk when it comes to producing real affordable housing for those of us who need and qualify for it.”
“Older New Yorkers consistently cite the cost of housing as one of their top concerns. So AARP New York congratulates the mayor and his team for financing over 27,000 new units of affordable housing, surpassing their already ambitious goal by more than 30 percent,” said Beth Finkel, New York state director, AARP. “We are particularly pleased that nearly 1,700 of these units will be designated for senior housing, because older adults represent the city’s fastest growing demographic. The 65-plus age group grew 36 percent in the decade from 2011 to 2021, while the under-65 population shrank. Providing sufficient affordable housing for older New Yorkers is critical.”
“We are proud to partner with the city to help solve New York’s housing crisis,” said Thomas Yu, executive director, Asian Americans for Equality (AAFE). “In Manhattan, Queens, and Brooklyn, AAFE is working in close collaboration with the administration to build a range of housing options in support of unstably housed families, low-income seniors, and first-time homeowners. We are encouraged by these new housing production numbers and appreciative of the administration’s efforts to expedite affordable housing construction across the city.”
“These are the kind of results we need if we’re going to overcome this housing crisis,” said Steven Rubenstein, chairman, Association for a Better New York. “Every affordable apartment protected or financed takes years of hard work to achieve, and to deliver nearly 27,000 in a single fiscal year is a major accomplishment. We congratulate Mayor Adams and his entire team, and we thank them for ensuring tens of thousands more New Yorkers will have safe, decent, and affordable apartments to call home.”
“There’s a lot riding on New York’s ability to build new housing, from the city’s future economic competitiveness to solving the homeless crisis and expanding economic mobility,” said Jonathan Bowles, executive director, Center for an Urban Future.
“With so much at stake, it’s hugely important that Mayor Adams has championed and supported housing construction at every turn.”
“We welcome the administration’s prioritization of and progress on its ambitious housing agenda,” said Andrew Rein, president, Citizens Budget Commission. “Increased production is the key to an affordable and growing city. But to fully solve the housing crisis, New York City needs more state and federal support. The administration is right to push for streamlined environmental review, lifting the FAR cap, and a successor to 421-a, which was responsible for one out of three new affordable units in 2022 – all of which would help unlock the potential for even more needed housing.”
“The city’s achievements on affordable housing creation and preservation in FY23 are both extraordinary in an increasingly challenging financial environment and a reminder of the need for further action,” said Howard Slatkin, executive director, Citizens Housing and Planning Council. “We saw record construction for extremely low-income and formerly homeless New Yorkers and among the highest levels of new affordable construction in recent memory. However, half of new affordable housing construction relied on the 421-a tax incentive program, which the state has ended. Deep needs for new housing remain. In addition to advocating for state action, it’s essential that the city maximize what it can achieve with the resources available by streamlining processes and clearing obstacles to housing affordability.”
“CSS congratulates the Adams administration on the progress made towards achieving its goals for preserving and creating housing for the city’s most vulnerable residents,” said David R. Jones, president and CEO, Community Service Society. “To be sure, there is much work still to do when it comes to achieving housing equity and tackling the city’s housing affordability crisis. But today’s report offers hope that we are moving in the right direction.”
“Affordable housing is critical for the stability of all New Yorkers today and in the future,” said Karen Haycox, CEO, Habitat for Humanity New York City and Westchester County. “At New York City Habitat for Humanity, we are committed to the development of new opportunities for affordable homeownership and to the preservation of existing homeownership. Our work would be impossible without the partnership of New York City agencies and the support of Mayor Adams, and we are grateful not only for what has been accomplished but for what is to come as our pipeline of projects move toward fruition.”
“I applaud the city for taking this important step in the right direction in the creation of affordable housing and supportive housing for rent-burdened tenants and the homeless,” said Aaron Carr, founder and executive director, Housing Rights Initiative. “Affordable housing and supportive housing are key pillars in combatting homelessness, unaffordability, and human suffering.”
“New York’s future depends, in large part, on New York’s capacity to provide affordable housing for its people. Despite the substantial headwinds challenging New York City, including the impacts of the COVID crisis and over 100,000 migrants seeking its shelter, and the consequent financial staffing constraints, the Interfaith Assembly is pleased to recognize the real progress of the Adams administration and its entire housing team in surpassing its affordable housing target in FY23,” said Marc Greenberg, executive director, Interfaith Assembly on Homelessness and Housing. “We are also very grateful to Mayor Adams and his leadership team for their commitment to work as partners in establishing more affordable housing on faith property in the coming years.”
“We are in the midst of a housing crisis that threatens to push New Yorkers over the brink into homelessness, and we support Mayor Adams and his team creating and preserving thousands of affordable homes across New York City,” said Valerie White, senior executive director, Local Initiatives Support Corporation New York. “By increasing the housing supply, we can make significant progress addressing this crisis and help ensure New Yorkers have a stable home and access to the opportunity it provides – key to closing the racial wealth gap and ending the harm it causes throughout our economy and society.”
“The city’s housing agencies should be commended for achieving an historic increase in desperately needed new units to help ease the dual affordable housing and homelessness crises,” said Jolie Milstein, president and CEO, New York Association for Affordable Housing. “These numbers demonstrate what can be achieved by the partnership between the affordable housing industry and government housing agencies. Furthermore, this historic production validates what can be achieved through smart zoning financed by sound tax policy. We strongly hope that such policies are extended and expanded in the coming year, because while this progress is encouraging, we must redouble our efforts to tackle this housing crisis.”
“As a leading advocate for affordable housing, the New York City Housing Partnership is proud to play a role in the creation and preservation of affordable housing for New Yorkers,” said Jamie A. Smarr, president and CEO, New York City Housing Partnership. “We will continue to work collaboratively with HPD to streamline the affordable housing creation process, and we congratulate the mayor and his team for this impressive accomplishment.”
“We applaud the whole team at HPD for robust affordable housing production in FY23. We are in a housing crisis, and every unit means one more household has stability, and with these numbers, thousands of households will have safe, decent housing,” said Rachel Fee, executive director, New York Housing Conference. “We are especially encouraged by the focus on record levels of affordable housing at the lowest incomes, including for extremely low-income households and households experiencing homelessness. The housing crisis is most acute for the lowest-income New Yorkers, and we are glad to see HPD focusing resources where it is most needed.”
“Open New York is excited about the progress that the city made under difficult conditions last year, especially to develop more supportive housing, get new housing vouchers in the hands of the most vulnerable New Yorkers, and connect more New Yorkers in shelter with affordable housing,” said Annemarie Gray, executive director, Open New York. “But there are major headwinds moving forward with rising interest rates, expired tax incentives, and no support from Albany for regulatory relief. We will need the mayor and the City Council to take bold action in 2024 to keep this momentum from dying out.”
“This announcement demonstrates the important role the city government plays in affordable housing production and preservation and should be a reminder that state legislation is urgently needed to further accelerate the city’s efforts to address our housing shortage,” said Kathryn Wylde, president and CEO, Partnership for New York City.
“We commend the City of New York for their efforts to build and connect record numbers of people to affordable housing over the last fiscal year,” said Stanislav Khaldarov, supervising housing navigator, Queens Defenders. “Queens Defenders has worked tirelessly to place more than 250 Emergency Housing Voucher holders into permanent housing across the city since February 2022, and we will continue to do our part to support the city in their efforts to solve the city’s housing crisis once and for all.”
“Given the unprecedented need for supportive housing across the five boroughs, the historic number of units in the pipeline thanks to the city’s financing efforts over the past year is encouraging,” said Pascale Leone, executive director, Supportive Housing Network of New York. “We commend HPD for achieving this important milestone while faced with significant challenges – including the acute staffing shortage that supportive housing providers are also experiencing, which is putting both staff and tenants at risk. While this is a meaningful step forward, we recognize that much more remains to be done, and we hope this forward momentum continues apace.”
“Ending homelessness in New York City will not be easy, but it starts with connecting New Yorkers with housing that they can afford – and that’s exactly what we are celebrating today,” said Christine C. Quinn, president and CEO, Win. “Creating and preserving tens of thousands of units of affordable housing and using vouchers to get a record number of New Yorkers out of shelter are great accomplishments. I look forward to continuing this work with Mayor Adams and our colleagues at DSS and HPD.”
New York, August 3 2023
Source: NYC City Hall Mayor Eric Adams office New York news – Big New York news BigNY.com
