Soon-ish, housing projects filed in certain community districts can skip City Council review.
In November, voters approved the “housing fast-track,” a condensed version of the city’s land use review process.
The fast-track will be available to some projects proposed in the 12 community districts with the lowest rates of affordable housing development. To be eligible, a housing project must be (at least) subject to the affordability requirements under the city’s Mandatory Inclusionary Housing program.
Such projects will avoid City Council review during the city’s Uniform Land Use Review Procedure, or Ulurp. The local community board and borough president will also review the project concurrently for 60 days, further cutting down the review timeline.
But first, the city has to identify the districts.
The city will look at new affordable housing development in each district every five years. The first tally will look at apartments initiated between July 1, 2021, and June 30, 2026.
The Department of City Planning recently released proposed rules for calculating development rates in each community district.
The proposed methodology relies on two metrics. The first: The number of new affordable housing units added to a community district over a five-year period. “New units” are counted if a regulatory agreement or restrictive declaration has been signed and a permit has been issued by the Department of Buildings.
Requiring both of those milestones “ensures that new affordable units are sufficiently far along in the development process that they are reasonably certain to be delivered,” the proposed rules state.
The second: The total number of housing units in a district at the start of each five-year cycle, based on the latest Census (plus or minus any units built or demolished in the intervening years, based on DOB records). To establish the development rate in each district, the number of new units will be divided by the total number of housing units in the district.
City Planning has to release the list of 12 districts by Oct. 1, and then every five years after that. Projects can apply for the fast track in these districts starting Jan. 1.
A hearing on the proposed rules is slated for April 1.
The “fast-track” is one of three approved ballot measures aimed at easing housing approvals. One allows developers to appeal the City Council’s rejection of a housing project, while another creates a shorter review process (dubbed Expedited Land Use Review Procedure, or Elurp) for modest projects.
What we’re thinking about: Are you working on a project that may be affected by the housing ballot measures? Are you eyeing a development in a district that you suspect will make the fast-track list? Send a note to kathryn@therealdeal.com.
A thing we’ve learned: An appellate court this week upheld the dismissal of a lawsuit brought by the Carnegie House co-op board, which sought to halt ground lease negotiations and the state’s rent laws as they pertain to setting initial rents in the event that the co-op building is deconverted and turned into rent-stabilized apartments. Last year, Judge Arthur Engoron threw the lawsuit out, calling it “premature.”
The appellate court agreed, noting that “deconversion and the ensuing harms
envisaged by plaintiffs may never come to pass.”
The recent ruling is the latest win for landowners, Rubie Schron and David Werner. Late last year, another court found in favor of the owners, signing off on increasing the ground rent from $4.36 million to $24 million.
Elsewhere in New York…
— The Public Authorities Control Board on Wednesday advanced plans to build 105 income-restricted homeownership units at the former Lincoln Correctional Facility at 31-33 West 110th Street. The board signed off on $18.7 million in funding from the state Homes and Community Renewal’s Affordable Homeownership Program. The project is being developed by Infinite Horizons, L+M Development Partners, Urbane Development Group and Lemor Development Group.
— The Mamdani administration on Wednesday broke ground on 341 affordable housing units at a former NYPD parking lot in East Harlem. The project, dubbed Timbale Terrace, has been a long time in the making. The project was proposed in 2016 as part of the East Harlem Neighborhood Plan. A developer for the site was selected in 2021.
— ICYMI, the mayor appointed five new members to the Rent Guidelines Board. He also reappointed one of the tenant reps.
Closing Time
Residential: The top residential deal recorded Wednesday was $24.2 million for a 3,547-square-foot sponsor-sale condominium unit at 50 West 66th Street in Lincoln Square. Beth Benalloul and Hilary Landis of the Corcoran Group had the listing.
Commercial: The top commercial deal recorded was $269.7 million for the hotel and commercial portions of The Ritz-Carlton New York, Central Park, at 50 Central Park South. As TRD reported today, the full price of the acquisition was $320 million.
New to the Market: The highest price for a residential property hitting the market was $33.7 million for a 4,628-square-foot condo at 520 Park Avenue in Lenox Hill. Lisa Larson and Angela Wu with Sotheby’s have the listing. The unit last sold for $28.25 million in 2022.
Breaking Ground: The largest new building permits filed were for a proposed 13,331-square-foot, 16-unit project at 4572 Manhattan College Parkway in Kingsbridge. Lester Katz filed the permit on behalf of Nasser Ghorchian.
— Matthew Elo
