Today, Governor Hochul, addressed the people of the State of New York in the annual State of the State Address. While today's speech was silent with regards to the 421-a Affordable New York Program, The Governor’s Briefing Book highlighted the following goals for a program which she would support with regards to a replacement affordable housing property tax benefit program:
- Create deeper affordability that services lower income households than 421- a.
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Create longer-term affordability to provide more stability for low-income households.
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Ensure long-term availability of affordable rental units in neighborhoods across New York City.
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Restructure the tax abatement to ensure maximum efficiency of taxpayer dollars with City and State climate goals by requiring carbon-neutral technologies, electrification and electrification-ready building systems.
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Allow flexibility to enable construction of financially viable smaller buildings.
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Create an all-affordable homeownership option to promote low- and moderate-income homeownership opportunities across the City.
The current version of the 421-a Affordable New York Program requires that construction commence prior to June 15, 2022. We remain optimistic that the Governor's proposal as outlined above will offer a viable solution and address the critics of the expiring 421-a Program.
We will keep you abreast of any future developments. Please contact either Brett Gottlieb or Mitchell Korbey for more information.
