The Commissioner of the city’s housing maintenance and development of the talks on the Bloomberg administration plans for 165,000 new affordable housing, support for increasing the limit on rent stabilized apartments and drawing in Albania housing issues
Location: Why is it so important that affordable housing in New York in the economy?
Michael Donovan: One of the main goals of the agenda for the economic development of the city under the Bloomberg administration has been to diversify the economy. If you look at New York’s economy, tourism is an important area, and the mayor is very focused on services, construction, in some areas where there is a sharp increase in the real economy.
In principle, we must ensure that we can continue to attract moderate and low-paid workers who fuel the economy.
It is therefore a key issue for the competitiveness of the city as it is a question of social justice. If the city can not continue to attract and home and it was really people from all over the world, it is a real risk to our economy in general.
Furman the NYU Center published a study showing that between 2002 and 2005, New York has lost 139,000 housing affordable to families earning the median income of the city, or about $ 1000 per month to rent. How well can the mayor plan for affordable housing, to 165,000 units in 10 years, to fill the gap?
Something else that the Center Furman prove, I think the important thing is that we have a difference of around 100,000 dwellings [at all income levels]. In other words, the real estate market in balance, even today, with the exception of millions of people around us expect to add to the city in 2030, we have a gap 100,000 units. What happened in 1990 specifically, our population is growing much faster than our homes has increased. What has developed housing gap, which in a simple law of supply and demand, demand is growing, supply does not increase the price increases.
If you see PlaNYC, there is a concrete plan with a series of measures designed to increase the capacity of our housing stock of 500,000 units in 2030. We must continue to rezoning. We need to see new and creative ways creatng new land bridge arteries and other areas.
I do not think that the 165000-unit rate is the number when it comes to Furman study. A larger context [is] how to increase housing for all income levels. Over the past three years, we had a record production of housing. A good proof of this goes back to 1965, and it was only the last three years has been only one year, with 30,000 housing permits for the city. We have more than 30,000 units in 2005, 2006 and 2007, based on years of data, we should have another year of more than 30,000 units.
What seems to be saying that you can not judge whether the management plan, Bloomberg New Market Housing may be offset by losses, because it is too early to say.
The question is, the data, look at what units are online in 2005, will not take into account the new housing project indeed Marché. We put 5000 and 7000 financing of new units for stock grants each year. Of course, when you start something and framework, complemented by 18-24 months later. And what we have seen is that the realization of this important band.
What about the rent stabilization? What is the Bloomberg administration to consider increasing the ceiling to $ 2000 when an owner can take a stabilized apartment on the market?
We support and I think he should go hand in hand. The governor spoke during the campaign. There was a recent bill to raise the issue to $ 2800. To be honest, I think it is a tough fight with the [state] Senate is to overcome, but supports it.
In general, Bloomberg administration increased to tests, an extension of rent regulations in a different way or to lower rent increases?
I would say that this is not enough. It was not the focus of our work. One reason is that the rent stabilization device is not targeted at specific groups. Rent stabilization only rents that do not require certain income levels to live in those units.
Therefore, I believe that the most effective in creating new units to target these units to low-and middle-income countries. We must go beyond what is not rent stabilization, which is just to keep rents low, but not sure that people really need more housing ports living in these units.
I understand that you were satisfied with the status of the 421st tax bill, as amended, the popular incentive for development. What is your problem?
We are continuing discussions to this point. The concern, one of the concerns we have for the law, the abolition of all our flexibility to moderate income projects. Requires that each project is the 421st execution in the areas where it has a low income component, and while our attention has low income, have also significantly expanded middle class housing initiative. Queens West is one example.
We are also concerned about the areas where. The South Bronx, for example, it is clear that this is an area where we believe it is appropriate to extend the exclusion zone. And then thirdly, we are concerned about the level of benefits that the law should be manually assemble a team of developers Atlântico-Yards provision, as our leader, offered 300 million U.S. dollars tax incentives for Atlantic Yards.
Now if we could solve the problem on middle-income housing, could lead to a solution that could reduce their benefits but also make it possible for the project.
