April 21, 2016

This Just In: New York City Council Approves East New York Rezoning and Affordable Housing Plan

2 min

The New York City Council has now approved the East New York Plan, which includes rezoning of portions of East New York and Ocean Hill. This is the first neighborhood rezoning that will involve the Mandatory Inclusionary Housing (MIH) program.

The rezoning will:

  • Require that a minimum percentage of new housing be permanently affordable: either MIH Option 1 (25% of housing at an average of 60% of Area Median Income (AMI) with 10% at 40% of AMI) or the Deep Affordability Option (20% of housing at 40% of AMI). MIH will be administered by the NYC Department of Housing Preservation and Development (HPD).
  • Enhance commercial districts mapped along major corridors.
  • Increase residential density along major commercial corridors.

Other aspects of the East New York Plan will involve actions by the City and by HPD:

  • Ensure that at least 50% of new housing is affordable to low and moderate-income residents.
  • Prioritize the development of over 1,200 new affordable units within the next two years.
  • On private sites subsidized by HPD, ensure that developers build affordable housing with most units affordable to households with incomes at or below 60% of Area Median Income (AMI).
  • On public sites, deeper affordability will be provided.
  • Promote growth in the East NY Industrial Business Zone.
  • Promote start-up businesses and growth of existing businesses.

Future MIH rezoning proposals are expected in the Bronx (Jerome Avenue), Manhattan (East Harlem), Queens (Flushing West and Long Island City), and Staten Island (Bay Street Corridor), as well as additional areas in the future. The City anticipates up to 15 neighborhood rezonings total.

If you have any questions about this alert, please contact Susan E. Golden. More information about the MIH program is available here.