NYSAFAH: No stance yet on NYC mandatory inclusionary housing

The New York State Association for Affordable Housing, a trade group representing 375 private and non-profit developers, lenders and investors, has thrown its weight behind one of New York City Mayor Bill de Blasio’s proposed zoning changes, but has declined to take a position on a second prong of his plan until more details are disclosed.

NYSAFAH has testified in favor of de Blasio’s Zoning for Quality and Affordability plan, which includes several tweaks meant to promote more modern mixed-income housing near mass transit and a spectrum of senior facilities. The group has not taken a stance on the mayor’s Mandatory Inclusionary Housing initiative, which would allow for denser development but require that it include “permanently” affordable units.

NYSAFAH President and CEO Jolie Milstein told City & State that her organization supports the concept of mandatory inclusionary zoning. But she said NYSAFAH would like more details about what mix of tenant incomes would be used to achieve the average income target at buildings before taking a position on the specific proposal in New York City.

De Blasio’s Mandatory Inclusionary Housing initiative proposes three templates. In one, a quarter of a development’s units would have to be affordable for those earning an average of 60 percent of the area median income, or $46,620 annually for a family of three. In another, 30 percent of the site would be set aside for those with annual salaries averaging 80 percent of the area median income ($62,150 for a family of three). A third option, available in more middle-income communities outside the Manhattan core, would have 30 percent of a residence reserved for those with incomes averaging 120 percent of the area median income ($93,240 annually).

“Generally, we are very much in favor of harnessing the engine of market-rate development to create more affordable housing,” Milstein said. “We just can’t comment until we see the particulars. ... We believe in mixed income projects. So we believe that the affordable piece needs to accommodate a range of incomes in every case, if possible. And, we haven’t seen what goes in to make up that average of 60, 80 and 120 percent [area median income].”

The city plans to take a “prescriptive” approach and give developers a specific set of income levels to use while fulfilling the average income requirementin the affordable portion of projects, according to Milstein.

She said she was told more details would be disclosed before a vote. The City Planning Commission will hold a public hearing on both zoning proposals Dec. 16. The City Council has final approval over the measures.

Planning officials said de Blasio’s Mandatory Inclusionary Housing initiative allows for flexibility in which income bands would be used to achieve the averages, and that the approach and various alternatives were expected be part of the public discussion. Mandatory inclusionary housing and other elements of the administration’s housing plan are aimed at fostering economically diverse neighborhoods and assisting families among the city’s poorest to middle class, the planning officials said.

Milstein said she had not contemplated whether it would make sense to pass one zoning measure but not the other. However, she said the Zoning for Quality and Affordability measure could stand on its own merits.

“It’s just allowing the text to catch up with the zoning,” she said. “The Zoning for Quality and Affordability does not encourage the destruction of existing buildings, it doesn’t increase congestion, it’s not changing landmark buildings. … We all want to be able to house New Yorkers in affordable housing, and this is an important step forward.”

Milstein said she was pleased that the measure incorporated several suggestions from NYSAFAH, such as eliminating parking space requirements – and trimming project costs – for mixed-income developments within half a mile of a subway station.

Other NYSAFAH proposals incorporated in the measure include lifting street setbacks and dropping other clauses that currently cut into sites’ authorized footprint and promoting a range of independent, assisted living, nursing homes and other facilities for the elderly.

Milstein stressed that in most cases the measure would only extend permissible building heights by five feet. She said this would help pave the way for taller ground floor spaces that are amenable to more retail tenants. In denser areas, the additional height contemplated could range up to four stories, according to a city brochure.

Several borough boards and community boards have expressed reservations with aspects of the zoning proposals, from fears of gentrification to concerns about paring back parking space requirements at senior developments.

The mayor and City Council Speaker Melissa Mark-Viverito have said the approval process is just beginning and suggested some changes are likely.