inclusionary zoning in new york city: the performance of new york city’s designated areas...

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Office&of&Council&Member&Brad&Lander&

Inclusionary,Zoning,in,New,York,City!The!performance!of!New!York!City’s!Designated!Areas!

Inclusionary!Housing!Program!since!its!launch!in!2005!

Report!by!Seth!Ullman,!Michael!FreedmanJSchnapp!and!Council!Member!Brad!Lander!

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Executive&Summary!The!transition!to!a!new!mayoral!administration!is!an!important!moment!to!review!the!strengths!and!

weaknesses!of!the!first!years!of!New!York!City’s!inclusionary!zoning!policies.!Since!its!creation!in!2005,!

New!York!City’s!“Designated!Areas”!Inclusionary!Housing!Program!(IHP),!has!generated!over!2,700!units!

of!permanently!affordable!housing.1!The!affordable!housing!created!by!the!program!is!concentrated!in!

Greenpoint/Williamsburg!and!Manhattan’s!West!Side.!However,!in!the!twoJdozen!other!neighborhoods!

included!in!the!program,!very!few!developers!have!chosen!to!participate.!!

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Mixed,success,in,creating,new,,affordable,housing,,• Under,IHP’s,Designated,Areas,program,,2,769,units,of,affordable,housing,were,generated,in,

41,developments,in,newlyLdesignated,areas.!!

o This!is!more!than!twice!the!number!of!affordable!units!generated!under!the!older!“R10”!

inclusionary!housing!program!since!1987.!

• These,2,769,affordable,units,were,approximately,13%,of,the,total,number,of,multiLfamily,units,developed,in,IHP,areas.!!

• Although,the!IHP!areas!include!many!of!the!fastestJgrowing!parts!of!the!city,!they!collectively!

contained!only!13%!of!all!new!multiJfamily!development!citywide.!As!a!result,!the!inclusionary,housing,program,created,less,than,2%,of,all,newlyLdeveloped,multiLfamily,units,in,NYC,during,these,years.!

• Tenant!advocates!have!also!voiced!concern!about!the!loss!of!rentJregulated!units!through!

demolition!as!a!result!of!the!upzoning!in!these!designated!areas.!!

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Disparity,among,neighborhoods,and,between,boroughs,• Most,of,the,inclusionary,housing,units,were,on,Manhattan’s,West,Side,or,in,

Greenpoint/Williamsburg.,!

o On!the!West!Side,!an!impressive!19%!of!total!units!were!inclusionary!housing!(1,441!

affordable!units).!!

o In!Greenpoint/Williamsburg,!13%!of!total!units!were!affordable!housing!created!through!

the!program!(949!affordable!units).,,!

• Outside,of,those,two,areas,,very,few,inclusionary,housing,units,were,created,,even,where,there,was,significant,development.!In!the!other!two!dozen!designated!areas!where!inclusionary!housing!was!permitted!(in!all!boroughs!except!Staten!Island),!only!6%!of!all!residential!

development!was!affordable!units!(379)!through!IHP.!

• The,type,of,units,created,varied,widely,by,neighborhood.,The!vast!majority!of!developments!in!

Manhattan!included!affordable!housing!on!the!same!site!as!the!linked!marketJrate!housing!

(“onsite”!housing).!In!Brooklyn,!about!half!of!the!units!were!created!on!the!same!time,!and!half!

on!a!different!site!(“offsite”).!Most!of!the!offsite!units!involved!the!preservation!of!existing!

affordable!units.!Very!few!of!the!inclusionary!housing!units!were!offsite!new!construction.!

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!1!“Inclusionary!Housing”,!“IHP”!and!“IH,”!as!used!in!this!report,!represents!the!“Designated!Areas”!portion!of!the!program!

which!produced!the!vast!majority!of!the!postJ2005!units!and!excludes!the!older!RJ10!portion!of!the!program,!unless!otherwise!

noted!in!the!text.!

& Inclusionary&Zoning&in&New&York&City& &

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Voluntary,program,limits,participation,• Only!7%!of!the!multiJfamily!buildings!developed!in!the!designated!areas!include!affordable!units!

onsite.!Even!allowing!for!offsite!new!construction!and!preservation!(most!of!which!has!taken!

place!outside!the!designated!areas!in!the!surrounding!community),!only,a,small,percentage,of,eligible,developers,have,chosen,to,utilize,the,program.!!!

• Developers!choose!not!to!participate!in!the!program!for!a!number!of!reasons,!including:!

o IHP,is,easier,to,use,in,large,developments,than,in,small,ones.!

o Under!the!current!program,!coordinating,timing,between,the,affordable,housing,and,marketLrate,sites,is,difficult!for!developers!seeking!to!use!the!offsite!option.!!!

• For,rezonings,by,private,applicants,that,largely,contain,one,intended,development,the,voluntary,framework,can,create,uncertainty.!In!several!cases,!the!developer!who!initiated!the!rezoning!made!promises!to!create!affordable!units,!but!later!sold!the!site,!leaving!the!new!

developer!without!legallyJbinding!affordability!obligations.!!

• The!vast!majority!of!affordable!units!created!through!the!voluntary!inclusionary!housing!

program!also,utilized,combinations,of,tax,,grant,,and,financing,incentives,from!the!city,!state,!

and!federal!government.!Some!developers!and!experts!have!questioned!whether!the!current!

uses!of!subsidy!in!tandem!with!inclusionary!zoning!achieve!the!best!value!for!the!public.!

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Program,performance,is,not,transparent,• Public,information,about,performance,of,the,program,is,not,easily,accessible!from!the!

Department!of!Buildings!and!limited!information!is!available!from!the!Department!of!Housing!

Preservation!&!Development.!As!a!result,!it!is!difficult!to!track!how!much!and!what!type!of!

affordable!housing!has!been!created,!how!many!units!are!lost!through!demolition,!and!what!

amount!of!subsidy!has!been!required,!etc.!

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Toward,a,Guaranteed,Inclusionary,Zoning,Program,During!the!2013!mayoral!campaign,!affordable!housing!advocates!have!proposed!moving!to!a!

guaranteed!inclusionary!zoning!program,!where!new!developments!(under!some!conditions)!would!be!

required!to!include!affordable!units.!Several!candidates!for!mayor!have!expressed!support!or!openness!

to!a!mandatory!program.!Mandatory!inclusionary!policies!exist!in!many!cities!and!states!around!the!

country!(see!Appendix!5).!A!thoughtfully!crafted,!guaranteed!inclusionary!program!could!address!many!

of!the!shortcomings!identified!by!this!review!of!the!voluntary!“designated!areas”!program.!Regardless,!

any!changes!are!made!to!the!program!should!ensure:!

1. More,consistent,use,of,the,program,,possibly!including!a!base!requirement!for!multifamily!

developments,!with!incentives!for!additional!units!in!targeted!growth!areas.!

2. More,efficient,use,of,subsidies,!to!avoid!giving!too!much!subsidy!to!80/20!developments!in!

highJvalues!areas!(especially!in!Manhattan).!!!

3. Easier,participation,for,smaller,and,midLsized,developers.!

4. Better,protections,to,preserve,rentLregulated,units!in!upzoned!areas.!

5. More,transparent,reporting,of!program!outcomes.!


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Introduction&

This!report!examines!the!impact!of!the!early!years!of!New!York!City’s!Designated!Areas!Inclusionary!

Housing!Program!(IHP),!a!zoning!incentiveJbased!program!that!since!2005!has!encouraged!developers!to!

build!affordable!housing!in!certain!areas!of!New!York!City.2!!

Inclusionary!zoning!(IZ)!is!a!housing!and!landJuse!policy!tool!that!encourages!or!requires!the!creation!of!

affordable!housing!tied!to!marketJrate!housing!development.!First!introduced!in!suburban!jurisdictions!

like!Montgomery!County,!MD,!IZ!has!rapidly!expanded!to!include!many!of!the!largest!cities!in!the!U.S.,!

including!Chicago,!Boston,!San!Francisco,!San!Diego,!and!Denver.!!

Inclusionary!zoning!programs!have!a!number!of!elements!that!vary!between!programs.!Programs!can!be!

mandatory!or!voluntary;!citywide!or!in!designated!areas;!include!a!range!of!potential!incentives!

(especially!density!bonuses,!but!also!parking!or!fee!waivers);!require!affordable!units!to!be!developed!or!

preserved;!have!options!for!onsite!or!offsite!construction;!and!can!allow!payments!to!a!publiclyJ

managed!“inJlieu”!housing!fund.!The!percentage!of!affordable!units!required,!as!well!as!the!depth!and!

length!of!affordability,!vary!as!well.!Most!urban!programs!differ!from!New!York!City’s!program!in!two!

key!ways:!they!cover!the!entire!city!(rather!than!only!designated!areas),!and!they!include!at!least!some!

mandatory!requirement,!rather!than!being!entirely!voluntary!(see!Appendix!5!for!a!chart!of!urban!IZ!

programs!around!the!country).!!

New!York!City’s!first!inclusionary!zoning!law!was!passed!in!1987.!It!allows!developers!in!areas!zoned!!

RJ10!(the!city’s!highest!residential!zoning!designation,!predominantly!in!lower!and!midJManhattan)!or!

equivalent!to!receive!a!density!bonus!up!from!10!to!12!FloorJArea!Ratio!(FAR)!if!they!develop!affordable!

units.!

This!report!focuses!on!NYC’s!second!inclusionary!zoning!law,!the!“Designated,Areas”,program,!which!

was!adopted!in!2005.!The!program!is!generally!mapped!where!zoning!is!being!changed!to!allow!greater!

residential!development!(from!manufacturing!to!residential,!or!to!a!zone!with!a!higher!FAR),!and!offers!a!

33%!density!bonus3!in!exchange!for!making!20%!of!the!units!affordable,!at!or!below!80%!of!the!area!

median!income!($68,720!in!2013).4!

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!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!2!“Inclusionary!Housing”,!“IHP”!and!“IH,”!as!used!in!this!report,!represents!the!“Designated!Areas”!portion!of!the!program!

which!produced!the!vast!majority!of!the!postJ2005!units;!excludes!the!older!RJ10!portion!of!the!program,!unless!otherwise!

noted!in!the!text.!The!program!underwent!modifications!in!a!2009!Zoning!Text!Amendment,!adding!a!homeownership!option,!

updating!the!RJ10!program!and!making!technical!changes!to!the!program.!More!details!are!at:!

http://www.nyc.gov/html/dcp/html/inclusionary_housing/index.shtml!!

3!The!exact!percentage!of!the!bonus!varies!slightly!depending!on!the!zoning!district.!

4!AMI!calculation!from!NYC!HDC,!“Income!Eligibility”!http://www.nychdc.com/pages/IncomeJEligibility.html!

If!the!affordable!project!is!onsite!and!uses!421Ja!tax!credits!then!the!units!must!be!affordable!to!60%!of!area!median!income!

($51,540!for!a!family!of!four!in!2013).!In!some!districts!the!limit!can!rise!to!125%!or!175%!of!AMI!depending!on!how!the!

program!is!applied.!


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Note:&A&more&complete&and&up9to9date&list&of&areas&in&the&program&is&available&in&the&Zoning&Resolution’s&Appendix&F:&

http://www.nyc.gov/html/dcp/pdf/zone/appendixf.pdf!

The!Designated!Areas!program!came!about!in!large!part!because!of!a!strong!organizing!campaign!by!

citywide!and!communityJbased!organizations.!There!was!an!initial,!unsuccessful!campaign!to!apply!

inclusionary!zoning!along!Brooklyn’s!4th!Avenue,!where!the!zoning!was!increased!as!part!of!the!broader!

Park!Slope!Rezoning!in!2003.!Following!that!effort,!community!groups!in!Brooklyn!and!Manhattan,!

working!with!citywide!housing!advocates,!led!a!successful!campaign!to!create!the!inclusionary!housing!

program!for!nonJRJ10!districts.!The!program!was!first!implemented!in!2005!in!the!large!rezonings!of!the!

West!Side!(Hudson!Yards!and!West!Chelsea)!and!Greenpoint/Williamsburg.!!

The!program!has!now!been!mapped!in!over!two!dozen!areas!in!all!boroughs!except!Staten!Island.!These!

areas!include!many!mediumJ!and!highJdensity!areas!of!the!city!that!have!experienced!recent!growth!or!

are!anticipated!to!experience!growth!in!the!near!future.!The!areas!in!the!program!range!from!individual!

blocks!to!corridors!to!large!portions!of!neighborhoods.!!

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Methodology&

This!paper!reviews!the!performance!of!the!Inclusionary!Housing!Designated!Areas!Program!since!its!

creation!in!2005!using!quantitative!and!qualitative!analysis.!The!findings!draw!on!an!HPDJgenerated!list!

of!development!projects!with!affordable!housing!units!that!participated!in!the!Inclusionary!Housing!

Program.!We!present!the!full!analysis!as!Appendix!2!and!the!full!list!(current!as!of!June!2013)!with!

additional!data!as!Appendix!6.!!

To!estimate!the!total!amount!of!residential!development!occurring!in!Inclusionary!Zoning!areas!(in!order!

to!provide!the!“denominator”!and!determine!roughly!what!percentage!of!units!developed!in!these!areas!

have!been!affordable!through!the!IHP),!we!created!a!database!of!DOB!permit!applications!from!2005!to!

June!2013!using!agency!data.5!This!data!is!best!treated!as!an!estimate!even!though!it!is!drawn!from!the!

most!reliable!dataset!about!building!activity.6!When!permit!application!data!was!calculated!for!

inclusionary!housing!areas,!it!was!filtered!to!include!only!A)!tax!blocks!with!a!whole!or!partial!IHP!

designation7!and!B)!applications!filed!within!90!days!of!the!start!of!the!rezoning!that!added!IHP!to!the!

area.!

We!attempted!to!match!receiver/compensated!development!and!generator!sites!using!available!city!

data,!but!a!manual!search!of!DOB!records!is!required!(if!it!is!at!all!possible)!to!conduct!a!comprehensive!

analysis!of!the!program.!Therefore,!the!matches!we!were!able!to!accomplish!through!qualitative!

research!are!presented!in!the!table!in!Appendix!6.!

We!supplemented!the!quantitative!analysis!with!a!literature!review!and!interviews!with!developers,!

housing!professionals,!and!policy!experts!who!have!experience!with!the!Inclusionary!Housing!Program.8&

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!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!5!The!HPD!(Department!of!Housing!Preservation!and!Development)!and!DOB!(Department!of!Buildings)!databases!do!not!

perfectly!correspond.!Two!of!the!32!Designated!Areas!Program!buildings!in!the!HPD!database!–!the!Mercedes!House!

development!and!Silver!Towers!at!Riverplace!on!Manhattan’s!West!Side!–!do!not!appear!in!the!DOB!database.!For!consistency,!

they!have!not!been!included!in!DOB!permit!data!in!this!report.!

6!There!is!limited!data!from!DOB!about!what!buildings!are!actually!built,!so!the!permit!application!database!that!forms!the!basis!

for!this!part!of!the!analysis!is!the!most!comprehensive!and!consistent!set!of!data!available.!Therefore,!there!may!be!some!

buildings!counted!that!are!in!construction!or!not!built,!as!well!as!permits!disapproved,!withdrawn!or!reJfiled.!However,!we!took!

measures!to!check!samples!of!individual!permit!applications!for!the!extent!of!these!issues,!which!were!minimal.!Additionally,!to!

avoid!double!counting!of!building!permits,!we!only!drew!unit!counts!from!the!first!document!filing!with!DOB!(as!multiple!

documents!can!be!filed!for!a!single!permit)!and!limited!permit!applications!to!“new!building”!permits!for!multifamily!buildings.!!

7!Matching!at!the!lot!level!was!not!possible!because!new!buildings!often!involve!zoning!lot!mergers,!which!requires!dealing!with!

many!sets!of!tax!maps!to!verify!exact!zoning!locations.!

8!The!authors!would!like!to!thank!the!following!for!their!assistance!and!feedback!during!the!process!of!writing!this!report:!Frank!

Lang!of!St.!Nick’s!Alliance,!Heather!Gershen!formerly!of!Fifth!Avenue!Committee,!Richard!Bearak!of!Brooklyn!Borough!President!

Mary!Markowitz’s!office,!Martin!Dunn,!Susan!Albrecht!of!Association!of!New!York!Catholic!Homes,!Barika!Williams!and!Moses!

Gates!of!ANHD,!David!Tipson!from!New!York!Appleseed,!James!Doggett!from!Cleary!Gottlieb,!Vicki!Been,!Josiah!Madar,!Adam!

Eckstein!and!Michael!Williams!from!the!NYU!Furman!Center!for!Real!Estate!and!Urban!Policy!and!Caitlyn!Brazill!of!CAMBA!

(formerly!of!the!Furman!Center).!We!would!also!like!to!thank!the!NYC!Department!of!Housing!Preservation!and!Development!

and!the!NYC!Department!of!City!Planning!for!providing!data!and!explaining!the!functioning!of!the!program.!


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How&the&Program&Works&

The,NYC,Inclusionary,Housing,Designated,Areas,Program!is!an!optional!program!for!developers!in!

portions!of!the!city!designated!in!the!NYC!Zoning!Resolution.9!The!program!incentivizes!the!creation!of!

permanently!affordable!rental!or!ownerJoccupied!housing!in!exchange!for!a!density!bonus!(permission!

to!build!more!apartments!than!is!normally!allowed).!In!general,!developers!are!eligible!for!a!33%!density!

bonus!for!building!20%!affordable!units,!for!households!earning!up!to!80%!of!the!NYC!area!median!

income!($68,720!for!a!family!of!four!in!2013).10!New,!multiJfamily!buildings!with!four!or!more!residential!

units!are!eligible!to!receive!the!density!bonus.!The!affordable!units!must!remain!permanently!

affordable,!often!including!a!large!capital!reserve!for!necessary!future!building!maintenance.!

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Diagram,Illustrating,Use,of,Inclusionary,Density,Bonus,Onsite,vs,Offsite,Under,IHP,

!Note:!the!bonus!is!granted!using!square!feet,!so!unit!count!may!vary!slightly!in!reality,!but!housing!units!are!used!here!for!simplicity!of!explanation.!!

In!the!offsite!option,!the!bonus!must!be!used!at!a!compensated!development!in!a!district!that!allows!IHP.!

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!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!9!They!are!enacted!by!Section!23J90!and!Appendix!F!of!the!NYC!Zoning!Resolution.!

10!Per!note!4,!some!onsite!projects!are!required!to!meet!60%!of!AMI;!in!some!districts!it!can!create!125%!or!175%!AMI!units.!


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The!affordable!housing11!can!be!generated!in!the!same!building!where!the!bonus!is!being!used!for!

marketJrate!housing!(referred!to!as!“onsite”!affordable!housing),!or!where!the!bonus!is!used!on!another!

site!or!set!of!sites!nearby!(referred!to!as!“offsite”!affordable!housing).!Offsite!affordable!housing!can!

consist!of!either!newly!constructed!affordable!units,!or!the!preservation/substantial!rehabilitation!of!

existing!affordable!housing.!A!marketJrate!development12!may!make!use!of!bonuses!generated!both!

onsite!and!offsite,!and!conversely,!the!bonus!generated!by!an!affordable!housing!project!may!be!split!

among!multiple!marketJrate!developments.13!!

The!program!involves!the!NYC!Department!of!City!Planning,!the!NYC!Department!of!Housing!

Preservation!and!Development!(HPD),!and!the!NYC!Department!of!Buildings!(DOB).!Areas!are!designated!

in!the!NYC!Zoning!Resolution,!usually!as!part!of!a!broader!areaJwide!rezoning!that!increases!the!amount!

of!allowable!residential!development!(by!rezoning!portions!of!the!area!from!manufacturing!to!

residential!zoning,!and/or!by!increasing!the!allowable!Floor!Area!Ratio).!Developers!apply!to!HPD!to!

participate!in!the!program!and!to!DOB!for!construction!permits.!HPD!issue!certificates!that!demonstrate!

that!the!developer!has!enabled!the!creation!or!preservation!of!a!certain!amount!of!permanently!

affordable!housing.!The!HPDJissued!certificates,!in!turn,!allow!the!addition!of!a!proportional!amount!of!

additional!square!feet!to!a!marketJrate!development!within!a!qualifying!IH!area!when!filed!with!DOB.14!!

These!certificates!can!be!subdivided!among!multiple!marketJrate!projects!or!even!resold.!Once!in!

possession!of!the!certificate,!the!marketJrate!developers!use!them!to!receive!COs!for!units!built!with!

bonus!square!footage.!The!development!is!considered!onsite!when!the!affordable!and!marketJrate!

housing!are!in!the!same!building.!Otherwise,!the!marketJrate!developer!can!use!a!bonus!from!

developing!or!preserving!affordable!housing!offsite!themselves!or!through!a!contracted!partner,!or,!can!

buy!preJexisting!certificates.!!

The!price!of!these!certificates!is!determined!through!negotiation!and!set!in!a!contract!that!is!part!of!the!

financing!of!the!affordable!project.!Interviews!indicated!that!the!actual!price!for!certificates!have!varied!

widely,!depending!on!the!market!conditions!and!available!buyers.15!!

The!older!RJ10!program,!prior!to!2009,!prohibited!developers!from!utilizing!both!an!inclusionary!bonus!

and!a!421Ja!tax!exemption!(because!the!amount!generated!by!the!inclusionary!bonus!was!intended!to!

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!11!Referred!to!in!technical!terms!as!a!“Generating!Site”!as!its!construction!generates!the!right!to!a!density!bonus,!indicated!by!

an!HPDJissued!certificate!at!the!completion!of!the!affordable!housing!development.!

12!Referred!to!in!technical!terms!as!a!“Compensated!Development”!(also!called!a!“Receiving!Site”!in!this!document)!as!it!

receives!the!right!to!the!density!bonus!from!a!generator!site.!The!developer!of!the!marketJrate!building!files!the!HPDJissued!

certificate!with!DOB!to!enable!the!occupancy!of!the!density!bonus!units.!MarketJrate!buildings!may!receive!a!renewable!

temporary!CO!until!they!meet!all!final!other!zoning!requirements.!

13!For!the!purpose!of!the!analysis!in!this!paper!that!labels!affordable!housing!as!onsite!or!offsite,!this!represents!HPDJprovided!

data!that!listed!generating!sites!as!to!whether!the!bonus!was!used!“offsite”!or!“onsite.”!In!this!paper,!where!the!IHPJcreated!

affordable!housing!is!labeled!onsite!or!offsite,!it!represents!whether!the!density!bonus!was!used!onsite!or!offsite,!respectively.!

14!The!actual!process!is!more!complex!and!differs!slightly!between!using!bonuses!offsite!and!onsite,!but!the!basic!principles!of!

HPDJissued!certificates!being!filed!at!DOB!to!attain!a!density!bonus!is!the!same.!

15!One!developer!sold!affordable!square!feet!from!$50!to!$125!per!affordable!square!foot!at!various!points!in!the!market!cycle.!


!

8&

be!sufficient!subsidy!for!the!development).!However,!such!a!combination!is!allowed!in!the!Designated!

Areas!program!and!after!a!2009!zoning!text!amendment,!in!RJ10!areas!as!well!(as!is!the!use!of!other!

affordable!housing!subsidies).!Thus!far,!inclusionary!housing!in!designated!areas!has!generally!been!

used!in!tandem!with!the!421Ja!Tax!Exemption!Program!because!many!of!the!designated!areas!are!also!

in!the!421Ja!“geographic!exemption!areas”!where!including!affordable!housing!is!required!to!receive!the!

property!tax!abatement.!In!2006,!the!421Ja!program!was!changed!to!require!affordable!units!onsite,!out!

of!concerns!over!the!effectiveness!of!the!offsite!“negotiable!certificates”!program.!Affordable!units!

created!under!IHP!can!also!be!used!to!satisfy!the!affordable!housing!requirements!for!421Ja!if!they!meet!

60%!of!area!median!income,!providing!a!strong!incentive!for!onsite!affordable!units!for!developments!

within!the!exclusion!area!(shown!in!the!maps!on!the!following!pages!and!Appendix!1).16!!

!

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!16!While!the!new!requirements!were!made!effective!for!projects!initiated!before!July!2008,!projects!with!building!permits!

issued!earlier!were!grandfathered!into!the!older!program.!


!

! ! !

9&

!

407

412

405

408

411

410

318

305

210

401

402

301

209

307

409

212

211

317

312

306

403

406

112

302

303

314

310

404

202201

304

204

207

107

316

208

413

104

108

103

111

308

309

203

105

206

109

110

106

205

102

101

311

Designated Areas IH Program

R10 IH Program

421a Geographic Exclusion Area

Inclusionary Housing Program AreasWith Units Created 2005–2013 by Neighborhood

West Side1,441 Units

Harlem137 Units

Lower East Side59 Units

South Bronx40 Units

Greenpoint/Williamsburg

949 Units

Jamaica33 Units

Rest of BK83 Units

R10 (1987–2013)1,753 Units

Riverside South77 Units

Data:� HPD,� DCP� &� NYU� Furman� Center;� Analysis� &� Mapping� by� Office� of� Council� Member� Brad� Lander,� August� 2013


!

10&

&

!!

!!!

!

!

!!

!

!!

!

!

!

! !

!!

!!!

!

!

!!

!

!

!! !

!

!

!

!

407

412

405

408

411

410

318

305

210

401

402

301

209

307

409

212

211

317

312

306

403

406

112

302

303

314

310

404

202201

304

204

207

107

316

208

413

104

108

103

111

308

309

203

105

206

109

110

106

205

102

101

311

Designated Areas# Units 2005-13! 1 - 10! 11 - 25

! 26 - 50

! 51 - 100

! 101 - 251



Affordable� Units� Produced� by� Inclusionary� Housing� Programs

By� Number� of� Affordable� Units� in� Each� Building



!

! ! !

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Findings&

The,NYC,Inclusionary,Housing,Program,has,had,mixed,success,in,generating,affordable,housing.,Under!the!program,!2,769!affordable!units!were!produced!in!41!affordable!projects!in!the!seven!years!since!

2005.17!This!compares!favorably!to!1,753!units!produced!in!60!projects!under!the!older!RJ10!inclusionary!

housing!program!in!the!25!years!since!1987.18!The!affordable!units!generated!under!the!Designated!

Areas!program!represents!13%!of!all!new!building!permits!filed!in!those!areas!during!this!period.,!

!*Compares&affordable&units&produced&under&IHP&Designated&Areas&Program&from&2005&through&June&2013&

&with&multi9family&building&permits&submitted&within&90&days&of&the&start&of&inclusionary&area&eligibility.!

At!the!same!time,!this!represents!a!very!modest!amount!of!new!housing!development!in!New!York!City.!

Although!the!designated!areas!include!many!of!the!fastestJgrowing!parts!of!the!city,!they!collectively!

contained!only!13%!of!all!new!development!permit!applications!citywide!—!21,652!units!out!of!

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!17!These!41!affordable!developments!include!different!phases!of!several!large!projects,!and!are!counted!as!separate!

developments.!Multiple!developments’!bonuses!were!applied!entirely!toward!a!single,!large!marketJrate!development,!while!

others!were!used!for!multiple!marketJrate!developments.!See!Appendix!6!for!a!full!list!of!affordable!housing!projects.!18!A!2004!report!by!PolicyLink!and!PICCED!titled!“Increasing!Housing!Opportunity!in!New!York!City:!The!Case!for!Inclusionary!

Zoning”!cites!a!May!2004!comment!from!Richard!Barth,!Executive!Director!of!City!Planning,!asserting!that!600!RJ10!units!had!

been!created!to!that!date.!There!is!incomplete!data!for!start!&!completion!dates!to!be!certain!when!the!remaining!1,100!R10!

units!were!created,!and!whether!any!were!in!R10!zones!that!overlap!with!Designated!Areas.!However,!a!review!of!the!available!

date!information!shows!at!least!887!RJ10Jlinked!units!that!were!likely!created!before!2005.!Therefore,!no!more!than!866!units!

were!in!the!RJ10!program!after!the!Designated!Areas!program!started.!The!PolicyLink/PICCED!report!is!available!at:!

http://prattcenter.net/sites/default/files/users/pdf/Inclusionary%20Zoning%20Full%20Report.pdf!


!

12&

approximately!160,000!citywide!for!new!multifamily!construction,!between!January!2005!and!June!

2013.19!As!a!result,!the!inclusionary!housing!units!created!in!these!areas!represent!only!1.7%!of!all!units!

in!new!building!permits!filed!in!NYC!during!these!years.!

Geography,Findings,

Utilization,of,the,Inclusionary,Housing,Program,has,varied,widely,by,neighborhood!(as!shown!in!the!charts!above!and!below),!with!excellent,usage,on,Manhattan’s,West,Side,,strong,usage,in,Greenpoint/Williamsburg,,and,very,little,usage,elsewhere.!

!

!

On,Manhattan’s,West,Side,(in,the,Hudson,Yards,and,West,Chelsea,rezoning,areas),,participation,in,the,program,has,been,extremely,strong,!with!1,441!IHP!units!generated!amidst!7,752!total!units.!This!

represents!18.6%!of!total!development,!a!high!participation!rate!since!(theoretically)!full!participation!

would!yield!20%!affordable!units.!IHP!generated!affordable!housing!in!this!area!was!entirely!onsite!and!

generally!part!of!large!luxury!rental!or!condominium!buildings.20!These!projects!averaged!almost!500!

total!units!per!development,!with!nearly!100!inclusionary!affordable!units!per!development!—!very!

large!development!projects!compared!to!the!outer!boroughs.!!

The!participating!developments!generally!contained!20%!inclusionary!affordable!units,!allowing!for!a!

combination!of!the!Inclusionary!Housing!density!bonus,!a!421Ja!tax!exemption!for!20!years,!and!other!

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!19!This!figure!only!counts!permits!filed!within!90!days!of!when!each!area!was!added!to!the!Inclusionary!Housing!program.!

20!As!noted!above,!these!are!HPD’s!unit!totals,!which!in!some!cases!do!not!match!up!exactly!with!DOB!and!PLUTO!totals.!!


!

! ! !

13&

“80/20”!financing!incentives!(including!taxJexempt!bond!financing!and!the!use!of!federal!“4%”!lowJ

income!housing!tax!credits).!As!a!result,!some!experts!and!even!developers!expressed!concern!about!the!

level!of!public!subsidy!involved!in!these!deals.!

In,North,Brooklyn,,participation,was,fairly,strong!(949!inclusionary!units!out!of!7,218!total!units,!or!13%).!Here,!the!type!of!affordable!housing!was!more!varied:!58%!of!the!affordable!housing!units

21!were!

on!the!same!site!as!the!marketJrate!housing.!As!part!of!major!development!projects!on!the!waterfront,!

550!units!were!developed!on!the!same!site!(though!not!necessarily!in!the!same!building).22!Like!on!the!

West!Side,!the!vast!majority!of!the!deals!involved!other!public!subsidies,!including!a!special!version!of!

the!421Ja!tax!exemption!program,!which!allowed!waterfront!developments!to!count!as!“onsite”!even!if!

the!affordable!housing!is!in!separate!buildings,!located!on!the!same!zoning!lot.!

An!additional!399!units!were!created!offsite,!of!which,!249!were!“preservation!projects”23!—!existing!

affordable!housing!already!owned!by!missionJdriven!organizations!that!required!funding!to!ensure!their!

units’!continued!affordability.!Preservation!projects!are!easier!to!complete!than!offsite!new!

construction,!because!they!do!not!involve!the!additional!cost!and!unpredictable!timeline!of!land!

acquisition!and!new!building!construction.!

After!the!economy!weakened,!and!421Ja!exemptions!dwindled,!IHP!deals!slowed!significantly!in!North!

Brooklyn.!Anecdotal!evidence!indicates!the!pace!of!Inclusionary!Housing!projects!appears!to!be!picking!

up.!Over!the!longJterm,!affordable!projects!in!the!neighborhood!are!more!likely!to!be!primarily!onsite,!

because!of!the!importance!of!the!421Ja!tax!abatement!and!the!end!of!the!grandfathering!period!for!new!

permits!(discussed!below).!!

Very,few,eligible,developers,in,other,areas,are,using,the,inclusionary,housing,program.!Most!

developments!in!the!remainder!of!the!designated!areas!in!Queens,!the!Bronx,!and!Brooklyn!have!not!

used!Inclusionary!Housing.!Outside!of!North!Brooklyn!and!Manhattan’s!West!Side!there!were!only!

eleven!developments!that!generated!Inclusionary!Housing!bonuses!through!the!Designated!Areas!

program,!for!a!total!of!5.6%!of!total!units!generated!(379!out!of!6,682!units).!

Outside!of!North!Brooklyn!and!the!West!Side,!the!projects!that!utilized!the!IHP!were:!

• One!project!on!125th!Street!in!Manhattan.&

• Three!projects!in!the!East!Village!in!Manhattan.&

• One!project!at!West!59th!Street!and!West!End!Avenue!in!Manhattan.&

• Two!projects!in!Jamaica,!Queens!initiated!between!2012!and!2013.&

• Two!projects!in!in!the!Bronx!associated!with!the!Harlem!Waterfront!Rezoning!initiated!in!2012.&

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!21!Affordable!unit!location!data!for!units!built!after!February!2012!was!not!able!to!be!verified,!but!data!provided!by!HPD!for!

units!with!signed!agreements!between!February!2012!and!June!2013!are!included!in!the!numbers!in!the!report.!

22!This!option!–!multiple!buildings!on!the!same!site!–!was!established!in!New!York!State!law!for!the!GreenpointJWilliamsburg!

area!only,!as!part!of!the!reform!of!the!421Ja!tax!exemption!program.!

23!The!other!150!units!were!offsite!new!construction!developed!by!missionJdriven!organizations.!


!

14&

• One!project!in!BedfordJStuyvesant,!Brooklyn!constructed!as!part!of!HPD’s!Cornerstone!Program!

that!is!entirely!composed!of!Inclusionary!Housing!affordable!units!with!the!resulting!bonus!used!

onsite,!and!a!density!bonus!in!another!associated!offsite!project.!&

• One!project!in!Park!Slope,!Brooklyn!where!a!small!preservation!project!had!its!funding!

completed!as!part!of!an!unorthodox!negotiated!settlement!with!a!building!on!4th!Avenue!that!

had!built!beyond!its!asJofJright!density.&

! !

None,of,the,remaining,designated,areas,,such,as,Woodside,,Flatbush,,Astoria,,Tribeca,,Dutch,Kills,,Upper,West,Side,,etc.,,have,been,used.!It!is!not!simply!that!development!in!these!areas!is!not!as!hot!as!

on!the!West!Side!and!North!Brooklyn,!since!nearly!6,000!total!units!have!been!generated!in!these!areas.!

Certainly,!most!of!the!affordable!housing!generated!by!the!program!is!in!the!areas!that!have!seen!the!

most!development,!and!many!of!the!unused!areas!entered!the!program!later!and!may!have!been!

impacted!by!the!severe!recession,!or!lack!of!sufficient!demand!for!largeJscale!development.!However,!at,least,131,eligible,marketLrate,projects,have,applied,for,new,construction,building,permits,in,the,other,areas,covered,by,the,program!(this!includes!Harlem!and!the!Lower!East!Side/East!Village,!neither!of!

which!is!a!stranger!to!large!residential!developments).26!Developers!and!housing!experts!offered!a!

number!of!reasons!for!the!low!utilization!in!other!areas.!Many!of!these!developments!consisted!of!

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!24!As!noted!above,!this!analysis!is!derived!from!permits!filed!with!DOB!for!new!buildings!with!4!or!more!units!on!tax!blocks!

intersecting!with!the!designated!areas!program!between!January!2005!and!June!2013.!The!permit!numbers!only!include!those!

that!were!submitted!within!90!days!of!the!start!of!inclusionary!area!eligibility.!Tax!blocks!were!used!because!lot!numbers!often!

change!when!new!building!permits!are!filed,!making!it!difficult!to!include!all!relevant!permit!applications.!

25!Per!note!18,!no!more!than!866!units!were!created!in!the!RJ10!program!in!the!2005–2013!period.!If!all!of!these!the!RJ10!units!

were!assumed!to!be!during!this!time!period!(which,!given!the!consistency!of!date!information!available,!is!unlikely)!added!to!

the!numerator,!this!percentage!would!only!increase!slightly!to!2.2%.!

26!Development!size!is!not!a!significant!contributor!to!the!lack!of!participation!as!these!areas!had!34!permits!for!50+!unit!

buildings,!compared!to!37!in!Greenpoint/Williamsburg!and!25!on!the!West!Side.!

,

Buildings,&,(Units),in,nonLR10,,Inclusionary,Housing,(IH),Areas,

Citywide,,Jan,2005,–,Jun,2013,

Greenpoint,Williamsburg,

IH,Areas,

Other,Brooklyn,IH,Areas,

West,Side,IH,Areas,

Other,Manhattan,IH,Areas,

Bronx,&,Queens,IH,Areas,

Total,IH,Areas,Since,

2005,

Affordable,Housing,Created,through,,

June,2013,

15! 2! 15! 5! 4! 41!na!(949)& (83)& (1,441)& (233)& (73)& (2,769)&

Eligible,4+,Unit,Building,Permits,Filed,through,June,201324,

211! 75! 40! 24! 32! 387! 4,669!

(7,218)& (1,447)& (7,752)& (3,598)& (1,637)& (21,652)& (160,003)&

IHP,Units,as,Percent,of,Permits,Filed, 13.1%! 5.7%! 18.6%! 6.2%! 4.5%! 12.8%! !!!1.7%

25!


!

! ! !

15&

smaller!multifamily!buildings,!where!the!inclusionary!housing!program!is!more!difficult!to!use.!More!

clearly,!outside!of!the!421Ja!geographic!exclusion!area,!there!is!less!financial!incentive!to!include!

affordable!housing!(only!five!of!29!onsite!bonuses!were!used!outside!the!exclusion!zone).27!Some!

speculated!that!more!attention!—!and!therefore!more!subsidy!—!were!focused!on!the!major!rezoning!

areas!by!the!Bloomberg!Administration.!!

Program,Findings,

Developers,of,midLsized,buildings,are,largely,not,using,the,program.!Every!marketJrate!project!using!

the!IHP!bonus!(receiver!sites)!that!we!were!able!to!identify!(see!Appendix!6)!has!had!more!than!fifty!

units.!Most!of!these!projects!contain!hundreds!of!units!and!one!has!more!than!one!thousand!units.!

Developers!of!midJsized!buildings!have!opted!not!to!use!the!program.!

The!transaction!costs!for!and!information!barriers!to!using!IHP,!the!risks!created!by!timing!uncertainty,!

and!the!challenges!of!working!with!an!affordable!development!partner!and!city!agencies!are!all!

significant.28!Offsite!affordable!projects!generally!require!prearranged!buyers!of!the!bonus!certificates!in!

order!to!finance!new!construction!or!preservation.!As!noted!below,!square!footage!is!unfortunately!

often!not!readily!available!for!marketJrate!developers!to!purchase!in!most!areas.!In!addition,!in!some!

cases!it!can!be!difficult!to!fit!the!density!bonus!into!a!smaller!building!envelope,!especially!in!some!of!

the!smaller!contextual!districts!(especially!the!R6B!zone!in!Greenpoint/Williamsburg).!!

Smaller,or,less,savvy,developers,have,difficulty,using,the,program.!It!is!clear!from!our!interviews!that!

IHP!is!perceived!as!difficult!to!use,!particularly!for!smaller,!less!experienced!developers!working!

primarily!in!the!outer!boroughs.!ForJprofit!developers!that!lack!experience!working!with!HPD!or!

affordable!developer!partners!may!lack!the!knowledge!and!knowJhow!to!effectively!use!the!program,!

even!if!they!are!aware!of!it.!Experts!we!interviewed!repeatedly!speculated!that!there!is!a!lack!of!

awareness,!expertise,!and!interest!in!working!with!HPD’s!affordable!housing!programs!among!the!

developers!who!are!most!likely!to!be!working!in!the!less!expensive!IHP!areas!farther!from!the!

Manhattan!CBD.!To!entice!developers!into!the!program,!they!need!knowledge!of!the!program’s!

existence,!easy!ways!to!analyze!its!potential!use!for!their!sites,!knowledge!of!potential!partners,!and!

confidence!in!the!process!of!partnering!with!affordable!housing!developers!and!city!agencies.!Each!of!

these!has!presented!a!challenge.29!!

Inclusionary,Housing,,even,for,those,familiar,with,city,agencies,,is,difficult,and,timeLconsuming,to,navigate.,Developers!noted!that!working!with!HPD!was!timeJconsuming,!and!that!coordinating!between!

DOB!and!HPD!was!not!easy.!Developers!(as!they!are!similarly!required!for!all!HPD!or!HDCJinvolved!

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!27!The!two!buildings!in!the!Bronx,!two!buildings!in!Queens!and!the!one!allJaffordable!Cornerstone!building!in!BedJStuy!were!the!

only!onsite!bonuses!used!outside!the!2008Jeffective!exclusion!zone.!There!were!some!offsite!bonuses!used!outside!the!

exclusion!zone,!including!RJ10Jlinked!buildings!but!all!receiver!sites/compensated!developments!we!identified!were!within!the!

new!421Ja!exclusion!zone!

28!This!timing!issues!also!adds!a!degree!of!risk!for!the!affordable!developers!as!well.!Even!with!a!signed!contract!of!sale!for!the!

inclusionary!certificates,!bankruptcy!or!even!a!significant!delay!for!the!marketJrate!bonus!project!can!deprive!the!affordable!

project!of!obtaining!the!expected!inclusionary!funds!needed!to!close,!which!our!interviews!indicated!happened!at!least!once.!

29!Some!have!also!speculated!that!contextual!zoning!envelopes!applicable!on!small!midJblock!sites!may!present!a!problem!in!

utilizing!the!full!inclusionary!bonus.!


!

16&

developments)!are!required!to!reJfile!all!organizational!paperwork!with!HPD!for!every!project!and!create!

separate!reserve!accounts!with!HDC!(the!city’s!affordable!housing!finance!agency).!Further,!buildings!

stabilized!under!the!7A!program!(which!often!does!not!include!significant!public!investment),!are!not!

eligible!to!use!the!program.!!

Use,of,offsite,bonuses,from,new,construction,of,affordable,housing,has,been,very,limited,(though,perhaps,this,is,a,good,thing).!Very!few!of!the!affordable!units!generated!by!the!program!have!been!

offsite!new!construction.!In!Manhattan,!the!overwhelming!bulk!of!units!have!been!built!offsite.!Even!in!

North!Brooklyn,!where!42%!of!the!units!have!been!offsite,!the!vast!majority!of!these!have!been!

preservation!of!existing!affordable!housing.!As!noted!below,!using!the!program’s!offsite!option!is!risky!

for!both!affordable!and!marketJrate!developers.!The!price!of!land!and!the!high!likelihood!that!the!

timeline!of!any!given!affordable!Inclusionary!Housing!project!is!different!than!cooperating!marketJrate!

projects!are!major!challenges!to!offsite!Inclusionary!Housing’s!longJterm!viability.!!

An!important!question!beyond!the!scope!of!this!report!is!whether!units!preserved!in!IHP!were!genuinely!

at!risk!of!loss,!although!using!existing!funding!programs!for!preservation!would!draw!on!limited!

resources,!affecting!other!city!preservation!projects,!without!providing!permanent!affordability.!An!ideal!

program,!if!it!allowed!any!offsite!preservation,!might!require!a!higher!number!of!affordable!units!to!be!

preserved!than!new!construction.!Some!make!an!argument!that!onsite!new!construction!is!generally!

preferable!to!offsite.!Onsite!units!promote!integration!in!changing!neighborhoods!(e.g.!children!in!the!

same!building!will!be!zoned!for!the!same!school).!Preservation!units!do!not!necessarily!promote!

integration;!however,!they!insure!the!ability!of!longerJterm!residents!of!the!neighborhood!to!stay,!which!

is!often!a!challenge!in!rapidly!gentrifying!communities.!New!offsite!construction!can!sometimes!

promote!integration,!but!under!the!current!program,!it!can!be!located!in!other!neighborhoods!with!very!

different!housing!markets!as!the!marketJrate!site!within!the!same!community!district.!Further,!there!

needs!to!be!a!reexamination!of!the!utilization!of!the!421Ja!tax!break!(which!now!tops!$1!billion!in!

annual!tax!expenditures),!including!the!geographic!areas!in!which!affordable!housing!is!required!and!its!

relationship!to!IHP.30!

Making,IHP,work,requires,tight,coordination,between,marketLrate,developers,,affordable,housing,developers,,and,HPD,that,can,too,often,be,a,barrier,to,success.!New!marketJrate!construction!tends!to!

be!completed!more!quickly!than!new!affordable!construction!because!of!the!added!challenges!of!

coordinating!multiple!subsidies!and!additional!cost!of!new!construction.!This!introduces!a!timing!

concern!for!marketJrate!developers!who!want!to!use!an!offsite!bonus!from!affordable!developers,!

because!they!need!the!affordable!units!to!be!complete!to!receive!COs!for!their!new!marketJrate!bonus!

units.!This!tension!creates!complex!coordination!challenges!between!incongruent!developments’!

timelines.!All!offsite!affordable!projects!must!coordinate!their!timing!with!both!the!marketJrate!projects!

and!HPD,!all!of!which!require!coordination!and!work!on!different!timelines.!Affordable!developers!

typically!found!marketJrate!partners!by!reaching!out!to!developers,!developers!referred!to!the!

affordable!developers!and!word!of!mouth!among!developers.!

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!30!NYC!Dept!of!Finance.!“FY!2013!Tax!Expenditures!Report.”!


!

! ! !

17&

Many!affordable!preservation!projects!in!North!Brooklyn!were!initiated!at!the!height!of!the!housing!

boom!between!2006!and!2008.!Often,!a!missionJbased!organization!(nonJprofit!or!forJprofit)!with!an!

existing!affordable!site!in!need!of!additional!funds!to!maintain!its!affordability!partnered!with!one!or!

more!marketJrate!developers.!The!marketJrate!developers!committed!funds!to!ensure!the!site’s!

permanent!affordability!in!exchange!for!the!affordable!project’s!bonus!FAR!certificate.!In!some!cases,!

surplus!certificates!were!further!resold!and!subdivided!among!marketJrate!developers.!!

Tenant,advocates,have,expressed,concern,that,rentLregulated,units,are,often,lost,through,demolition,in,rezoned,Inclusionary,Housing,areas,,still!potentially!leading!to!a!net!loss!of!affordable!units,!even!after!units!are!created!or!preserved!through!IHP.,The!areaJwide!rezonings!that!apply!Inclusionary!Housing!have!typically!added!substantial!marketJrate!density!(even!before!the!inclusionary!bonus)!to!

many!existing!residential!buildings,!creating!substantial!development!pressure.!Tenant!advocates!report!

that!this!pressure!has!led!to!the!harassment!of!rentJregulated!tenants!out!of!existing!buildings,!so!that!

buildings!can!be!demolished!to!make!way!for!new!developments!that!take!advantage!of!the!full!market!

potential!of!the!site.!The!end!result!can!be!a!net!loss!of!existing!affordable!housing,!whether!or!not!the!

developer!includes!affordable!units!through!the!Inclusionary!Housing!Program.!,

For!example,!the!Fifth!Avenue!Committee!(FAC)!documented!the!harassment!of!rentJstabilized!tenants!

at!150J158!4th!Avenue!following!the!Park!Slope!Rezoning,!and!the!buildings’!subsequent!sale!for!luxury,!

higher!density!redevelopment.31!These!fourJstory,!“oldJlaw!tenement”!buildings!contained!40!rentJ

regulated!units!which!housed!lowJincome!and!workingJclass!tenants.!In!just!the!three!years!following!

the!rezoning,!the!units!were!vacated!(with!substantial!harassment!in!the!process!reported!to!FAC)!and!

the!buildings!were!demolished.!The!buildings!were!replaced!by!the!Arias,!a!95Junit!luxury!building.!

Because!the!Inclusionary!Housing!Program!was!not!applied!to!4th!Avenue!(and!at!the!time!the!building!

was!not!within!the!421Ja!geographic!exclusion!area),!no!affordable!units!were!included,!resulting!in!a!

net!loss!of!40!affordable!housing!units.!Even!if!the!IHP!had!been!utilized,!it!would!only!have!generated!

19!affordable!units!(20%!of!95),!still!resulting!in!a!net!loss!of!21!units!of!affordable!housing.!,

We!do!not!know!precisely!how!many!rentJregulated!units!were!demolished!in!the!designated!areas!

following!their!rezoning.!Citywide,!between!January!2005!and!October!2011!there!were!845!demolition!

permits!submitted!for!buildings!in!IHP!areas!after!the!rezonings,!but!we!do!not!know!how!many!rentJ

regulated!units!were!in!these!buildings.!According!to!the!NYC!Rent!Guidelines!Board,!there!were!7,960!

units!removed!from!rent!regulation!citywide!between!2005!and!2012!due!to!demolition,!condemnation,!

or!related!reasons,!but!these!are!only!tracked!by!borough!(see!Appendix!4).!If!these!were!spread!across!

the!city!in!the!same!proportion!as!new!development!permits!during!this!time,!then!13%!of!these!units,!

or!approximately!1,000!rent!regulated!units!(which!seems!potentially!conservative,!given!845!demolition!

permits),!would!have!been!demolished!in!the!IHP!designated!areas,!reducing!the!net!affordable!housing!

generated!in!those!areas!by!36%!to!around!1,700.!!

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!31!Fifth!Avenue!Committee.!“A!Fair!Exchange:!Balancing!Private!&!Public!Development!When!Rezoning!Gowanus.”!September!

2010.!Page!14.!!


!

18&

New!York!City’s!affordable!housing!policy!toolbox!contains!several!strong!tools!to!address!the!issue!of!

tenant!harassment!in!the!face!of!development!pressure!created!through!zoning,!but!the!Bloomberg!

Administration!refused!to!apply!them!in!most!of!the!IHP!designated!areas.!AntiJharassment!provisions,!

originally!established!in!the!Special!Clinton!District!(ZR!§96J110,!mapped!in!1974),!were!applied!to!the!

Hudson!Yards!and!Greenpoint/Williamsburg!rezonings.!These!provisions!require!developers!to!

demonstrate!that!there!has!been!no!history!of!tenant!harassment!before!a!building!permit!is!issued.!If!

tenants!or!tenant!advocates!establish!a!history!of!harassment,!the!developer!is!required!to!include!

additional!affordable!housing!to!“cure.”32!Affordable!housing!advocates!requested!that!these!provisions!

be!applied!generally!where!inclusionary!zoning!was!mapped,!but!the!Department!of!City!Planning!

stopped!including!them!after!the!2005!rezonings!(and!no!analysis!has!been!done!of!their!effectiveness).!

In!addition,!the!Special!Clinton!District!also!includes!strong!relocation!provisions!in!case!of!demolition,!

under!which!developers!are!required!to!work!to!relocate!existing!rentJregulated!tenants!to!other!

affordable!units!in!the!area.!However,!these!provisions!were!not!applied!to!any!of!the!IHP!designated!

areas.!Further,!as!Borough!President!Marty!Markowitz!and!other!elected!officials!have!advocated,!even!

if!the!city!continues!on!a!neighborhoodJbyJneighborhood!expansion!approach,!applying!IHP!to!already!

upzoned!areas!like!4th!Avenue!should!not!be!off!the!table.!

For,developerLspecific,rezonings,(i.e.,rezonings,by,private,applicants,that,largely,contain,one,intended,development),the,program’s,voluntary,framework,can,create,uncertainty.!The!original!developers!of!the!New!Domino!project!and!the!Toll!Brothers’!Gowanus!project!promised!to!participate!in!Inclusionary!

Housing!and!exceed!the!maximum!bonusJeligible!affordable!housing!during!negotiations,!as!part!of!their!

efforts!to!win!the!rezonings!they!proposed.!However,!both!the!base!level!of!the!Inclusionary!Housing!

Program!and!the!higher!amounts!of!affordability!promised!remain!voluntary.!If!upzoned!sites!with!

voluntary!agreements!are!sold!to!other!entities,!there!are!no!guarantees!that!any!affordable!units!would!

be!built.!In!both!of!these!two!cases,!the!subsequent!developers!(Two!Trees!in!the!case!of!New!Domino,!

Lightstone!Development!in!the!case!of!Toll!Brothers!Gowanus)!have!promised!to!build!affordable!units.!

However,!they!are!under!no!obligation!to!do!so!or!to!meet!the!voluntary!promises!of!the!original!

rezoning!applicants!because!the!city!did!not!write!the!affordable!promises!into!the!rezoning.!

The,results,of,the,Inclusionary,Housing,Program,are,difficult,to,track.!The!use!of!the!bonus!certificates!is!not!systematically!tracked!—!they!are!merely!on!file!with!DOB!for!each!individual!marketJrate!project!

and!HPD!is!not!informed!about!their!use.!HPD!maintains!a!list!of!inclusionary!housing!“generating!

projects”!(i.e.!the!affordable!units),!and!quickly!and!willingly!provided!it!for!this!report!twice.!However,!

in!most!cases!the!“receiving!site!details”!are!not!available,!making!it!very!difficult!to!evaluate!the!

program!overall.!A!better!system!is!needed!that!would!allow!the!city!and!researchers!to!easily!

understand!not!just!which!developers!opt!into!the!program,!but!also,!which!opt!out,!and!that!could!

easily!track!the!square!footage!generated!as!it!is!sold,!and!potentially!resold.!Such!a!system!could!also!

be!developed!as!a!resource!to!developers!in!designated!areas,!allowing!them!to!identify!potential!

partners.! &!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!32!e.g.!in!the!Special!Clinton!District,!they!are!required!to!make!affordable!an!additional!20%!of!the!new!building!or!28%!of!the!

demolished!building,!whichever!is!more.!


!

! ! !

19&

Conclusion:&Toward&a&Guaranteed&Inclusionary&Zoning&Program&

The!mixed!success!of!the!Inclusionary!Housing!Designated!Area!Program!shows!that!inclusionary!zoning!

is!a!promising!strategy!for!increasing!the!city’s!supply!of!affordable!housing!if!taken!to!scale.!However,!

the!program’s!serious!limitations!—!especially!the!extremely!limited!use!outside!of!Manhattan’s!West!

Side!and!Greenpoint/Williamsburg,!the!failure!to!generate!any!affordable!housing!from!the!vast!

majority!of!new!development!that!took!place!outside!the!“designated!areas,”!and!the!loss!of!rentJ

regulated!units!through!demolition!—!demand!attention.!!!

During!the!2013!mayoral!campaign,!affordable!housing!advocates!have!proposed!moving!to!a!

“guaranteed”!inclusionary!zoning!program,!where!new!developments!(under!some!conditions)!would!be!

required!to!include!affordable!units.!Several!candidates!for!mayor!have!expressed!support!or!openness!

to!such!a!program.!Based!on!this!earlyJstage!review!of!the!voluntary!IH!program,!a!thoughtfully!crafted,!

guaranteed!inclusionary!program!could!address!many!of!the!shortcomings!this!report!identified.!

Mandatory!inclusionary!policies!exist!in!many!cities!(including!Boston,!Chicago,!Denver,!San!Diego,!and!

San!Francisco)!and!some!states!(including!California,!Massachusetts,!and!Connecticut)!around!the!

country!(see!Appendix!5).!The!urban!programs!generally!require!10,–,15%,affordability,for,all,multifamily,development!(over!some!minimum!unit!threshold,!most!commonly!10!units).!Some!of!these!

programs!offer!incentives!(e.g.!density!bonus),!and!some!offer!incentives!for!additional!affordability!

(e.g.!Boston!and!San!Diego!offer!density!bonuses!for!20%!affordability!in!smart!growth!areas).!Most!of!

the!programs!offer!developers!either!an!offsite!or!“inJlieu”!fee!option.!!

Opponents!might!argue!that!a!guaranteed!program!could!dampen!development!overall.!However,!

studies!have!not!shown!a!significant!negative!impact!on!development.33!In!addition,!given!the!evidence!

that!significant!new!construction!in!New!York!City!during!the!2000s!decade!has!not!brought!down!

housing!costs!overall,!and!that!a!significant!number!of!affordable!units!have!been!lost!(not!only!through!

demolition,!but!also!through!vacancy!decontrol)!in!areas!of!the!city!where!substantial!development!has!

taken!place,!there!is!a!strong!argument!that!more!should!be!done!to!require!increased!affordability.!In!

any!case,!even!opponents!of!guaranteed!affordability!who!want!to!see!inclusionary!zoning!succeed!in!

New!York!City!would!have!strong!reason!to!address!the!shortcomings!identified!in!this!report.!!

! !

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!33!Brunick,!Nicholas.!“The!Impact!of!Inclusionary!Zoning!on!Development.”!Business!and!Professional!People!for!the!Public!

Interest.!2003.!

Basolo,!Victoria!and!Nico!Calavita.!2004.!“Policy!Claims!with!Weak!Evidence:!A!Critique!of!the!Reason!Foundation!Study!on!

Inclusionary!Housing!in!the!San!Francisco!Bay!Area.”!!Working!paper.!

Calavita,!Nico!and!Kenneth!Grimes.!1998.!“Inclusionary!Housing!in!California:!The!Experience!!of!Two!Decades.”!Journal!of!the!

American!Planning!Association!64(2):!150J170.!


!

20&

Any!changes!made!to!the!program!should!ensure!the!following:!

• More,consistent,utilization,in,a,wider,range,of,neighborhoods.!A!guaranteed!inclusionary!program!could!include!a!base!requirement!for!multifamily!developments!citywide,!with!

incentives!for!additional!units!in!designated!areas.!

• Increasing,participation,in,midLsized,buildings,(20–100,units).!While!a!legal!requirement!would!

obviously!increase!participation,!more!should!be!done!to!make!participation!easier!for!smaller!

developers.!This!could!begin!with!focus!groups!of!developers!of!midJsized!buildings,!to!identify!

additional!changes!to!IHP!administration!that!would!help!them!to!participate.!!

• More,efficient,use,of,subsidies,!to!avoid!giving!too!much!subsidy!to!80/20!developments!in!

highJvalue!areas!(especially!in!Manhattan).!As!noted!in!this!report,!the!high!rate!of!participation!

on!Manhattan’s!West!Side!has!come!from!an!extremely!generous!package!of!incentives,!often!

including!a!substantial!density!bonus,!20Jyear!421Ja!tax!exemptions!(an!expensive!resource!for!

the!City!over!time),!taxJexempt!bond!financing!(a!scarce!resource),!4%!lowJincome!housing!tax!

credits,!and!other!subsidies.!In!particular,!advocates!and!policy!experts!worry!that!(a)!

inclusionary!housing!deals!that!only!achieve!20%!affordability!are!not!a!good!use!of!the!City!or!

State’s!taxJexempt!bond!“volume!cap,”!since!highJpriced!development!leads!to!an!extremely!

high!perJunit!cost,!compared!to!allJaffordable!deals,!and!(b)!that!the!application!of!the!421Ja!tax!

exemption!is!too!expensive!for!the!city!over!time,!exceeding!$1!billion!annually!for!the!first!time!

in!FY!2013.34!!!!!

• Better,protections,to,preserve,rentLregulated,units,in,rezoned,areas.!As!noted!in!this!report,!the!application!of!the!Special!Clinton!District!antiJharassment!and!relocation!requirements!in!

cases!of!demolition!could!assist!in!preserving!existing!affordable!housing!in!designated!areas.!

The!antiJharassment!provisions!were!applied!only!in!the!Hudson!Yards!and!

Greenpoint/Williamsburg!areas,!the!two!areas!where!the!program!succeeded!best!and!that!saw!

a!high!rate!of!marketJrate!development,!so!they!do!not!appear!to!present!a!burden!for!

developers.!These!provisions!should!be!included!wherever!inclusionary!zoning!is!mapped.!

• More,transparent,reporting.!The!city!should!adopt!a!better!system!for!tracking!and!reporting!on!

inclusionary!housing!units,!that!enables!a!clearer!understanding!of!the!link!between!affordable!

units!and!marketJrate!units.!Such!a!system!would!be!easy!to!establish,!and!beneficial!to!the!city,!

developers,!and!the!public!at!large.!!

!

!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!34!421Ja!is!now!the!most!expensive!real!estate!tax!expenditure!program!the!city!has,!at!250%!the!cost!of!property!tax!

exemption!for!NYCHA!properties.!NYC!Department!of!Finance.!“Annual!Report!On!Tax!Expenditures,!Fiscal!Year!2013,”!p.!1.!


!

! ! !

21&

Appendix&1&–&Additional&Maps&

!

! !

!!!

!!!

!

!

!!!!

!

!

!

!!

!

!

!! !

!

!!!!!

!!!!

!

407

412

405

408

411

410

318

305

210

401

402

301

209

307

409

212

211

317

312

306

403

406

112

302

303

314

310

404

202201

304

204

207

107

316

208

413

104

108

103

111

308

309

203

105

206

109

110

106

205

102

101

311

Designated Areas IH ProgramAffordable� Unit� Loca on

! Onsite

! Offsite

! Both



Affordable� Units� Produced� by� Inclusionary� Housing� Program

Offsite� vs� Onsite� Inclusionary� Housing� for� Designated� Areas� IH� Program



!

22&

!

! !

!!

!!!

!

!

!!!!

!

!

!

!

!!

!

!!!

!

!

!

!

!! !

!

!

!!

!

407

412

405

408

411

410

318

305

210

401

402

301

209

307

409

212

211

317

312

306

403

406

112

302

303

314

310

404

202201

304

204

207

107

316

208

413

104

108

103

111

308

309

203

105

206

109

110

106

205

102

101

311

Designated Areas IH ProgramType of Project

! Preserva on/Substan al� Renova on

! Unknown

! New� Construc on



Affordable� Units� Produced� by� Inclusionary� Housing� Program

By Type of Project for Designated Areas IH Program



!

! ! !

23&

!

!

!

!!

!!

!!

!!

!!

!!

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!

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!

!

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!

!!

!

!

!

! !

!!

!!!

!

!

!!

!

!

!! !

!

!

!

!

407

412

405

408

411

410

318

305

210

401

402

301

209

307

409

212

211

317

312

306

403

406

112

302

303

314

310

404

202201

304

204

207

107

316

208

413

104

108

103

111

308

309

203

105

206

109

110

106

205

102

101

311

Designated Areas# Units 2005-13! 1 - 10! 11 - 25

! 26 - 50

! 51 - 100

! 101 - 251


R-10# Units 1987-2013! 1 - 10! 11 - 25

! 26 - 50

! 51 - 100

! 101 - 251

R10 IH Program


Affordable� Units� Produced� by� Inclusionary� Housing� Programs

By� Number� of� Affordable� Units� in� Each� Building


! Inclusionary!Zoning!in!New!York!City! !

!

24!

Appendix!2!–!Full!Analysis!of!HPD!&!DOB!Data!!!

!

!Buildings)&)Units)in)Inclusionary)Housing)(IH))Areas)During)Eligible)Dates)

! !

!

Greenpoint)Williamsburg)

IH)

Other)Brooklyn)IH)

West)Side)Manhattan)

IH)

Other)Manhattan)

IH)

Bronx)&)Queens)IH)

Total)IH)Areas)))))))))))))))))

Since)2005!)

Citywide)Since)2005)

R10)Since)1987)

Affordable)Housing)Buildings) 15! 2! 15! 5! 4! 41) !! 57!

Onsite! 5! !!1*! 15! 4! 4! 29) !! 47!

Offsite! 10! 1! 0! 1! 0! 11) !! 10!

New!Construction! 5! 1! 14! 3! 0! 23) !! 45!

Preservation! 8! 1! 0! 0! 0! 9) !! 3!

Substantial!Rehab! 0! 0! 0! 0! 0! 0) !! 0!

Unknown! 2! 0! 1! 2! 4! 9) !! 9!

Affordable)Units)Created) 949! 83! 1,441! 223! 73! 2,769) !! 1,703!

Onsite! 550! 14! 1,441! 189! 73! 2,267) !! 1,587!

Offsite! 399! 69! 0! 34! 0! 502) !! 116!

Avg.!Affordable!Units/Development! 63! 42! 96! 45! 18! 68) !! !!

Eligible)4+)Unit)Building)Permits) 211! 75! 40! 24! 32! 387) 4,669! !!

Units! 7,218! 1,447! 7,752! 3,598! 1,637! 21,652) 160,003! !!

!*IH!used!for!bonus!floor!area!both!onsite!and!offsite!

!!

!

Office!of!Council!Member!Brad!Lander!

!

!

25!

!

Appendix!3!–!Understanding!the!Recession’s!Impact!!

!

The!recession!severely!reduced!new!residential!construction!in!New!York!City.!The!above!chart!illustrates!the!decline!of!new!building!permits!

citywide,!in!the!designated!areas,!and!in!Greenpoint/Williamsburg.!2011!saw!the!beginnings!of!a!recovery,!and!thus!far!anecdotally,!2012!

appears!to!provide!evidence!of!increased!development.!The!designated!areas!phased!in!since!2005,!with!some!not!becoming!active!until!the!low!

point!of!new!construction!in!2009–2010.!It!is!possible!that!the!program,!as!it!exists,!will!see!somewhat!increased!use!as!the!development!

increases.!However,!the!timing!coordination!problems,!and!many!of!the!other!issues!explained!above!will!remain!regardless!of!the!point!in!the!

economic!and!development!cycle.! !


!

26!

!

Appendix!4!–!Demolition!of!RentPRegulated!Units!!

Losses)to)NYC's)Rent\Stabilized)Stock)via)Demolition,)Condemnation,)Etc.)

) Bronx) Brooklyn) Manhattan) Queens) Staten)Island) Total)

2006! 92! 302! 571! 162! 12! 1,139!

2007! 135! 371! 605! 193! 0! 1,304!

2008! 171! 370! 668! 109! 3! 1,321!

2009! 133! 290! 980! 152! 2! 1,557!

2010! 62! 142! 522! 697! 1! 1,424!

2011! 36! 143! 368! 106! 0! 653!

2012! 39! 161! 272! 90! 0! 562!

Total) 668) 1,779) 3,986) 1,509) 18) 7,960)!

! Source:!NYC!Rent!Guidelines!Board!Reports:!Changes!to!the!Rent!Stabilized!Stock,!2006!D!2012!

! !


!

!

27!

Appendix!5!–!Other!Guaranteed!Inclusionary!Housing!Programs!!

INCLUSIONARY)ZONING:)COMPARISON)CHART)FOR)LARGE)CITIES)WITH)GUARANTEED)INCLUSIONARY)PROGRAMS)Developed(by(New(York(Appleseed(

MUNICIPALITY) Minimum)Units)for)Inclusion)

UNIT)%)

OFFSITE) FEE\IN\LIEU)

INCENTIVES) OTHER)FEATURES)

Sacramento,)CA) 9!or!more!

units!

15%! Yes! No!• Fee!waivers!or!deferrals;!

• Modified!public!works!&!planning!

standards!(e.g.!minimum!lot!size)!

• Interior!finish!reductions!for!IZ!units;!

• Density!bonus!

• Local!Public!Funding!

• Limited!to!“new!growth!areas”!

San)Diego,)CA) 10!or!more!

units!

10%! Yes! Yes! • None!found!• Began!with!a!pilot!in!North!City!Future!Urbanizing!

area!that!did!not!allow!feedindlieu.!

San)Francisco,)CA) 10!or!more!

units!

15%! Yes!!

(20%)!

Yes!

(20%)!

• None!found!• Allows!for!a!combination!of!onsite,!offsite,!and!feed

indlieu!!

• Mayor’s!Office!of!Housing!performs!study!every!5!

years!of!impact!on!market!and!demand!for!

affordable!housing!

Denver,)CO) 30!or!more!

units!

10%! Yes! Yes!• Cash!per!affordable!unit!from!special!

revenue!fund;!

• Density!bonus;!

• Parking!reduction;!

• Expedited!processing!

!

Chicago,)IL) 10!or!more!

units!

10%! No! Yes! • None!found,!but!see!limited!

applicability!in!“Other”!

• Applies!to!projects!that:!

o Benefit!from!certain!zoning!changes;!

o Include!land!purchased!from!the!city;!

o Receive!financial!assistance!from!the!city;!or!

o Are!part!of!a!Planned!Development!downtown!!

• Allows!for!combination!of!units!and!feedindlieu!

Boston,)MA) 10!or!more!

units!

15! Yes! Yes!• Allows!for!cost!offsets!such!as!

density,!height,!setback,!and!

coverage!through!the!redzoning!

process!

• !The!city!also!provides!a!voluntary!system!for!

including!20%!affordable!units!in!certain!Smart!

Growth!Overlay!Districts!!

! !


!

28!

Appendix!6!–!Full!List!of!Known!Inclusionary!Housing!Developments!in!New!York!City!!Includes!Designated!Areas!&!RD10!generator!sites.!Site!data!provided!by!HPD.!Receiving!site/compensated!development!details!based!on!affordable!housing!developer!interviews,!data!from!Brooklyn!Borough!President’s!office!and!news!stories/releases!found!online.!

Closed)or)Completed)Inclusionary)Housing)Projects)Per)HPD)as)of)2013) Receiving)Site/Compensated)Development)(if)known))

Project)Name) Borough) Address) Block) Lot) IH)Type,)Area)

Construction)Type) Total)Units) IH)

Units) Receiving)Name) Siting) Generator)Developer)

Morris!Court!

Apartments! Bronx!

250!EAST!144!

STREET! 2334! 38!

Harlem!

Waterfront! Unknown! Unknown! 20! Unknown! Onsite! !

Morris!Court!

Apartments! Bronx!

253!EAST!142!

STREET! 2334! 43!

Harlem!

Waterfront! Unknown! Unknown! 20! Unknown! Onsite! !

The!Garvey! Brooklyn!

1594d1604!

Fulton!Street! 1699! 24!

BeddStuy!

South!

New!

Construction! 78! 77!

The!Garvey!generated!55,000!sq/ft!

and!used!9,700!(17.6%!onsite),!the!

Bradford!(nearby!dev,!105!units)!used!

22,000.!Remainder!unused,!but!will!be!

offsite!by!definition.!14!counted!

onsite,!63!offsite!

On!and!

Offsite!

BRP!

Companies!

Eastern!Light!d!II! Brooklyn!

19!Humboldt!

Street! 3127! 22! GPW!Upland! Preservation! 12! 12! Unknown! Offsite!

St.!Nicholas!

NPC!

II!d!Morgan!d!

586A!Morgan!

Ave.! Brooklyn!

586A!Morgan!

Avenue! 2691! 71! GPW!Upland! Preservation! 8! 8!

4!buyers,!all!lined!up!beforehand!180!d!

10,000!sq!ft.! Offsite!

St.!Nicholas!

NPC!

Hooper!Street! Brooklyn!

293!and!301!

Hooper!Street! 2463! 21! GPW!Upland! Preservation! 68! 68! Unknown! Offsite!

M.!Lax!(at!

least!for!301)!

or!UJO!

Eastern!Light!d!I! Brooklyn! 124!Graham!Ave! 3080! 5! GPW!Upland! Preservation! 9! 9! Unknown! Offsite!

St.!Nicholas!

NPC!

176!South!Eighth!

Street!d!POP! Brooklyn!

176!South!Eighth!

Street! 2139! 7! GPW!Upland! Preservation! 30! 30! 95!Bedford! Offsite!

Progress!of!

Peoples!

101!d!105!South!

Eighth!Street!d!

POP! Brooklyn!

101!d!105!South!

Eighth!Street! 2131! 32! GPW!Upland! Preservation! 25! 25! 95!Bedford! Offsite!

Progress!of!

Peoples!

Most!Holy!Trinity!

SRO! Brooklyn!

157!Graham!


Northside!Piers!(Possibly!some!resold!

to!others)! Offsite!

Progress!of!

Peoples!


!

!

29!





Reverend!

Donald!J.!Kenna!

Court! Brooklyn!

21!Cook!Street!

aka!40!Varet!

Street! 3113! 9! GPW!Upland!

New!

Construction! 89! 88! Northside!Piers!and!six!others! Offsite!

L&M/Dunn!

Development!

Corp!

Union!Court! Brooklyn!

306!Union!


4!total!buyers,!3!of!which!were!lined!

up!before!project!launch! Offsite!

St.!Nicholas!

NPC!

Reverend!

Donald!J.!Kenna!

Court! Brooklyn! 9!Cook!Street! 3113! 32! GPW!Upland!

New!

Construction! 63! 62! Northside!Piers!and!six!others! Offsite!

L&M/Dunn!

Development!

Corp!

1133!Manhattan!

Avenue! Brooklyn!

1133!

MANHATTAN!

AVENUE! 02482! 0026! GPW!Upland! Unknown! Unknown! 44! Unknown! Onsite! !

50!North!5th! Brooklyn!

50!NORTH!5!

STREET! 2341! 0009! GPW!Upland! Unknown! Unknown! 46! Unknown! Onsite! !

Edge!Community!

Apartments!

Building!1! Brooklyn!

27!North!6th!

Street! 2332! 7501!

GPW!

Waterfront!

New!

Construction! 96! 96! The!Edge! Onsite!

Douglaston!

Development!

Palmer's!Dock! Brooklyn!

20!North!5th!

Street! 2340! 1!

GPW!

Waterfront!

New!

Construction! 113! 113! Northside!Piers! Onsite!

L&M/Dunn!

Development!

Corp!

Edge!Community!

Apartments!Bldg!

2! Brooklyn!

34!North!6th!

Street! 2324! 7501!

GPW!

Waterfront!

New!

Construction! 252! 251! The!Edge! Onsite!

Douglaston!

Development!

96!Rockwell!

Place! Brooklyn!

55d57!Flatbush!

Avenue! 2106! 7! Rd10!

Substantial!

Rehabilitation! 36! 1! Unknown! Onsite! !

236!Livingston! Brooklyn!

236!Livingston!

Street! 165! 17! Rd10!

New!

Construction! 271! 8! Unknown! Onsite! !

15!Quincy! Brooklyn!

15d21!Quincy!

Street! 1969! 33! Rd10!

New!

Construction! 48! 48! Unknown! Offsite! !

89!Carlton! Brooklyn!

89d91!Carlton!

Avenue! 2044! 23! Rd10!

New!


713!Third!

Avenue! Brooklyn!

713!Third!

Avenue! 645! 67!

South!Park!

Slope! Preservation! 6! 6!

639!4th!Avenue,!was!sold!an!extra!

2,000!sq/ft.!Unknown!whether!resold,!

but!doubtful.!Per!Oasis,!46!units! Offsite! !


!

30!





Studio!City!

(Gotham!West)! Manhattan!

550,!530,!&!510!

West!45th!Street! 1073! 1!

Clinton!

District!

New!

Construction! 1238! 137! Studio!West! Onsite! !

Two!Trees!

Clinton!Park!

Phase!II! Manhattan!

550!West!54th!

Street!or!770!

11th!Avenue! 1082! 1008!

Clinton!

District/!

Private!

Rezoning!

New!

Construction! 480! 96! Mercedes!House! Onsite! Two!Trees!

Tapestry! Manhattan!

235!East!124th!

Street! 1789! 16!

125!Street!

Rezoning!

New!

Construction! 185! 37! Tapestry! Onsite!

Jonathan!

Rose!

Companies!

330!West!39th!

Street! Manhattan!

330!West!39th!

Street! 762! 60!

Hudson!

Yards!

New!

Construction! 199! 42! Unknown! Onsite!

Glenwood!

Management!

505!West!37th!

Street! Manhattan!

505!West!37th!

Street! 709! 25!

Hudson!

Yards!

New!

Construction! 835! 168! 505W37! Onsite! Rockrose!

Emerald!Green! Manhattan!

310d320!West!

38th!Street! 761! 10!

Hudson!

Yards!

New!

Construction! 569! 120! Emerald!Green! Onsite!

Glenwood!

Management!

The!Townsend!

fka!Tower!37! Manhattan!

350!West!37th!

Street! 760! 67!

Hudson!

Yards!

New!

Construction! 208! 42! Townsend! Onsite! !

455!West!37th!

Street! Manhattan!

453d455!West!

37th!Street! 735! 1!

Hudson!

Yards!

New!

Construction! 394! 80! Unknown! Onsite! Rockrose!

9,!11d17!Second!

Ave! Manhattan!

9,!11d17!Second!

Ave! 456! 27!

Lower!East!

Side!

New!


Lower!Eastside!

Girls!Club! Manhattan! 101!Avenue!D! 377! 1203!

Lower!East!

Side!

New!

Construction! 78! 12! Lower!Eastside!Girls!Club! Onsite! !

250d254!EAST!

4TH!STREET! Manhattan!

250!EAST!4!

STREET! 386! 11!

Lower!East!

Side! Unknown! Unknown! 34! Unknown! Offsite! !

Two!Trees!

Clinton!Park!

Phase!1! Manhattan!

770!11th!Avenue!

New!York,!NY!

10019! 1082! 1002!

Private!

Rezoning!

New!

Construction! 222! 44! Mercedes!House! Onsite! Two!Trees!

439!West!53rd!

Apartments! Manhattan!

439!West!53rd!

Street! 1063! 11! Rd10!

New!


Phipps!Plaza!

North! Manhattan!

331!East!29th!

Street! 935! 13! Rd10! Preservation! 208! 208! Unknown! Offsite! !

505!West!51st!

Street! Manhattan!

505!West!51st!

Street! 1080! 25! Rd10!

New!



!

!

31!





Phipps!Plaza!

South! Manhattan!

323d329!East!

25th!Street! 931! 17! Rd10!

New!


1330!First!

Avenue! Manhattan!

1330!First!

Avenue! 1466! 1! Rd10!

New!


210!West!102nd!

Street! Manhattan!

210!West!102nd!

Street! 1873! 39! Rd10!

New!


110!Fulton! Manhattan!

110!Fulton!

Street! 1902! 19! Rd10!

Substantial!

Rehabilitation! 28! 28! Unknown! Offsite! !

58!West!109th!

Street! Manhattan!

58!West!109th!

Street! 1844! 155! Rd10!

New!


351!East!61!

Street! Manhattan!

351!East!61st!

Street! 1436! 122! Rd10!

New!


1831!Second!

Avenue! Manhattan!

235!East!95th!

Street! 1540! 29! Rd10!

New!


206!East!87th!

Street! Manhattan!

206!East!87th!

Street! 1532! 45! Rd10! Preservation! 20! 17! Unknown! Offsite! !

123!West!104th!

Street! Manhattan!

123!West!104th!

Street! 1859! 17! Rd10!

New!


The!Victory! Manhattan!

501!West!41st!

Street! 1070! 29! Rd10!

Substantial!

Rehabilitation! 417! 16! Unknown! Onsite! !

306d308!East!

38th!Street! Manhattan!

306d308!East!

38th!Street! 943! 52! Rd10!

New!


202!West!108th!

Street! Manhattan!

202!West!108th!

Street! 1879! 136! Rd10!

New!


417!and!438!East!


417!and!438!East!

76th!Street! 1471! 10! Rd10!

New!


33!West!End!

Avenue! Manhattan!

33!West!End!

Avenue! 1171! 160! Rd10!

New!


1115d1119!First!

Avenue! Manhattan!

1115d1119!First!

Avenue! 1436! 24! Rd10!

New!


141!East!23rd!

Street! Manhattan!

141!East!23rd!

Street! 879! 26! Rd10!

New!


West!Side!Y!II! Manhattan!

5d15!West!63rd!

Street! 1116! 1705! Rd10!

New!



!

32!





773d777!10th!

Avenue!&!501!

W.!52nd!Street! Manhattan!

773d777!10th!

Avenue!&!501!

W.!52nd!Street! 1081! 1201! Rd10!

Substantial!


521!West!42nd!

Street! Manhattan!

521!West!42nd!

Street! 1071! 20! Rd10!

New!


321!East!21st!

Street! Manhattan!

321!East!21st!

Street! 927! 13! Rd10!

New!


307!East!54th!

Street! Manhattan!

307!East!54th!

Street! 1347! 52! Rd10!

Substantial!


334!East!96th!

Street! Manhattan!

334!East!96th!

Street! 1558! 33! Rd10!

Substantial!


385!Third!

Avenue! Manhattan!

385!Third!

Avenue! 908! 56! Rd10!

New!


250!East!60th!

Street! Manhattan!

250!East!60th!

Street! 1414! 29! Rd10!

New!


Joseph!I.!Blum!

Apartments! Manhattan!

235!East!14th!

Street! 896! 17! Rd10!

New!


160!East!100th!

Street! Manhattan!

160!East!100th!

Street! 1627! 46! Rd10!

New!


211!West!105th!

Street! Manhattan!

211!West!105th!

Street! 1877! 28! Rd10!

New!


1!East!35th!

Street! Manhattan!

1!East!35th!

Street! 865! 5! Rd10!

New!


231!East!77th!

Street! Manhattan!

231!East!77th!

Street! 1432! 12! Rd10!

New!


228!East!46th!

Street! Manhattan!

228!East!46th!

Street! 1319! 37! Rd10!

New!


171d173!West!


171d173!West!

107th!Street! 1862! 1002! Rd10!

New!


1865!Second!

Avenue! Manhattan!

1865!Second!

Avenue! 1646! 1002! Rd10!

New!


Riverwalk!

(Roosevelt!

Island)! Manhattan!

425!Main!Street,!

Roosevelt!Island! 1373! 5! Rd10!

New!


Dyer!d!R10! Manhattan!

440!West!42nd!

Street! 1051! 1! Rd10!

New!



!

!

33!





Riverplace!II!(Rd

10)! Manhattan!

601!West!42nd!

Street! 1089! 5! Rd10!

New!

Construction! 83! 83! Silver!Towers!at!Riverplace! Offsite!

Silverstein!

Properties!

965!Columbus!

Avenue! Manhattan!

965!Columbus!

Avenue! 1843! 3! Rd10!

New!


28!East!29th!

Street! Manhattan!

28!East!29th!

Street! 858! 56! Rd10!

Substantial!


351!East!54th!

Street! Manhattan!

351!East!54th!

Street! 1347! 122! Rd10!

New!


1850!Second!

Avenue! Manhattan!

1850!Second!

Avenue! 1558! 50! Rd10!

New!


300d306!East!


300d306!East!

39th!Street! 944! 45! Rd10!

New!


10!East!29th!

Street! Manhattan!

10!East!29th!

Street! 858! 8! Rd10!

New!


334!East!92nd!

Street! Manhattan!

334d336!East!

92nd!Street! 1554! 37! Rd10!

New!


800!Avenue!of!

the!Americas! Manhattan!

800!Avenue!of!

the!Americas! 829! 3! Rd10!

New!


171!Lexington!

Avenue! Manhattan!

171!Lexington!

Avenue! 886! 62! Rd10!

New!


346!East!21st!

Street!d!Sub!

Rehab! Manhattan!

346d348!East!

21st!Street! 926! 41! Rd10!

Substantial!


246!East!77th!

Street! Manhattan!

246!East!77th!

Street! 1431! 31! Rd10!

New!


346!East!21st!

Street!d!

Preservation! Manhattan!

346d348!East!

21st!Street! 926! 41! Rd10! Preservation! 30! 22! Unknown! Offsite! !

400!Third!

Avenue! Manhattan!

400!Third!

Avenue! 884! 42! Rd10!

New!


332!East!22nd!

Street! Manhattan!

332!East!22nd!

Street! 927! 37! Rd10!

New!


501!West!51st!

Street! Manhattan!

501!West!51st!

Street! 1080! 25! Rd10!

Substantial!



!

34!





Victory! Manhattan!

500!W!42nd!

Street! 1070! 7501! Rd10! Unknown! Unknown! 25! Unknown! Onsite! !

240!Manhattan!

Avenue! Manhattan!

240!

MANHATTAN!

AVENUE! 01846! 0001! Rd10! Unknown! Unknown! 7! One!Morningside!Park! Onsite! !

110!Madison! Manhattan!

110!MADISON!

AVENUE! 859! 0069! R10! Unknown! Unknown! 18! Unknown! Offsite! !

21!West!End!

Avenue!(15!West!

End!Avenue)! Manhattan!

21!WEST!END!

AVENUE! 1171! 0165!

Riverside!

South! Unknown! Unknown! 127! Unknown! Onsite! !

303!10th!Avenue! Manhattan! 303!10th!Avenue! 699! 33!

West!

Chelsea!

New!

Construction! 89! 18! Port!10! Onsite!

The!Atlantic!

Development!

Group!

Avalon!West!

Chelsea! Manhattan!

517d525!West!

28th!Street! 700! 1!

West!

Chelsea!

New!

Construction! 690! 114! Avalon!West!Chelsea! Onsite! AvalonBay!

Caledonia! Manhattan!

450!West!17th!

Street! 714! 1182!

West!

Chelsea!

New!

Construction! 229! 59! Caledonia! Onsite!

The!Related!

Companies!

Ohm! Manhattan! 316!11th!Avenue! 701! 62!

West!

Chelsea!

New!

Construction! 369! 80! Ohm! Onsite!

Douglaston!

Development!

500!West!30th!

Street! Manhattan!

502!WEST!30!

STREET! 701! 43!

West!

Chelsea! Unknown!

391!(from!

permit)! 77! Unknown! Onsite! !

Dyer!d!WC/HY! Manhattan!

440!West!42nd!

Street! 1051! 1!

W.!Chelsea!

and!Hudson!

Yards!

New!

Construction! 590! 130! MiMA! Onsite!

The!Related!

Companies!

Riverplace!II!

(HY/WC)! Manhattan!

600!West!42nd!

Street! 1089! 3!

W.!Chelsea!

and!Hudson!

Yards!

New!

Construction! 1169! 234! Silver!Towers!at!Riverplace! Onsite!

Silverstein!

Properties!

Rufus!King!Court!

Apartments! Queens!

148d19!90!

AVENUE! 9681! 91! Jamaica! Unknown! Unknown! 13! Unknown! Onsite! !

161st!St!Jamaica! Queens!

90d04!161!st!

Street! 9757! 18! Jamaica! Unknown! Unknown! 20! Unknown! Onsite! !

!

inclusionary zoning in new york city: the performance of new york city’s designated areas...

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