January 27, 2016 | Commercial Observer
Mayor Bill de Blasio must be beside himself now that the 421a tax benefits program has expired. Labor’s unwillingness to agree to reasonable wages for construction workers has dealt a crushing blow to the mayor’s objective of creating/preserving 200,000 units of affordable housing over the next 10 years. “Preserving” is always a necessary hedge word when politicians employ it, as it is impossible to accurately determine how many units get preserved. This provides elected officials with wiggle room when examining actual results versus numerical projections. However, new construction is a critical component of any initiative to increase affordable housing in the city. Without the 421a program—or some kind of equivalent—even a fraction of this target is outlandishly optimistic.
There is no doubt that New York City is in dire need of more affordable housing for residents across a broad range of earning levels. Affordable housing is typically thought of as housing for the poorest among us; however, the working class is an equally important segment of society that requires housing within the city’s boundaries...
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