NY Daily News - New York City’s cash-strapped public housing authority is nearing a deal to sell a 50% stake in close to 900 apartments to a pair of private developers, a spokeswoman for the agency confirmed.
Real estate giant L+M Development Partners and BFC Partners are expected to pay $150 million for the half-interest in the units, plus another $100 million for much-needed renovations in the six housing complexes, which are in Manhattan, Brooklyn and the Bronx...
The federal government would pay the developers the different between the NYCHA tenants’ rents and what the apartments would be worth on the open market, according to the terms of the deal, which was first reported by the Wall Street Journal.
After 30 years, the developers could technically ask for the units to become market rate, but any switch would be at the discretion of NYCHA, which has vowed to keep the units affordable.
American Prospect - Public housing—a program financed through direct government subsidies
since its inception in the late 1930s—has been severely underfunded by
Congress for decades. The dearth of funds has translated into a housing
stock decline: Since the mid-1990s, more than 260,000 dilapidated units
have been demolished or removed from the program. And despite long
waiting lists around the country, agencies have only built new units to
replace about one-sixth of those that were removed. HUD estimates that nearly $30 billion is needed to repair and restore the nation’s 1.2 million remaining public housing units.
1 comment:
Building p0ublic housing would be the jobs program we need, and could replace 50 billion of pentagon funding and create more jobs
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