Projects that would boost the city’s low housing supply continue to stagnate, with a nearly 30% drop in residential filings in March compared to February, according to data from the Real Estate Board of New York.
The organization found that developers filed plans for only 985 proposed residential units across 24 projects last month—down 29% from the 34 filings in February and continuing the downward trend that began in 2022, after the affordable housing tax break known as 421-a expired that June. Last year developers filed plans for just 9,909 residential units across 285 multifamily projects, a small percentage of the 50,000 new homes that Mayor Eric Adams says are crucial to build each year to hit his moonshot goal of 500,000 over the next decade.
The slowed activity shows no signs of abating. Last month developers filed plans for just three new buildings with more than 100 units each—all of them in Brooklyn—and they have submitted paperwork for only 30 large buildings in the last year, a more than 50% drop from the previous 12-month period, according to the REBNY report.
One of those larger projects is a 21-story tower at 1 Division Ave. in Williamsburg, which will likely include 218 condominiums. Another is a 14-story mixed-use development at 275 Chestnut St. in Cypress Hills, which is slated to have 327 rental units, 85 of which will be offered at below-market-rate rents. And the third project is a 47-story mixed-use tower at 205 Montague St. in Downtown Brooklyn that is set to contain 136 residential condos and a 100-car parking garage as well as a restaurant on the first and second floors and recreation space on the fourth floor, Crain’s recently reported. Together, those three buildings account for nearly 70% of the total 985 units proposed last month, REBNY said.
Developers, along with city and state officials, are counting on a housing package in a final budget deal to reverse this decline. Lawmakers on Monday passed another extension of the budget deadline, until Thursday, after blowing past their April 1 deadline as labor unions spar with developers over a new tax break for affordable housing construction and progressive legislators push for “good cause” eviction protections that landlords have long opposed, Crain’s reported last week.
Julianne Cuba , 2024-04-09 19:19:29
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