New York City’s public housing authority (NYCHA) operates at a loss and has long been known as the city’s “largest and worst landlord.” The de Blasio administration’s plan to lease empty NYCHA land to developers is therefore welcome news. NYCHA will gain new revenue streams to maintain its existing properties, and the city will increase its housing stock.
The Facts You Need to Know
No Money for Repairs: NYCHA’s annual operating budget is just $3.2 billion, yet the authority needs more than $13 billion over the next five years to maintain its crumbling buildings. Read more
Empty Nests: As children grow up and move away, NYCHA residents often find themselves with empty bedrooms. Thus, 23% of NYCHA units—some 40,000 apartments—are under-occupied. Read more
A New Revenue Stream: Privately owned housing on vacant plazas and parking lots could provide NYCHA with new revenue between $30 million and $50 million a year. Read more
“[Mayor de Blasio] is wisely taking a new approach to securing the future of our public housing with an innovative, ambitious plan to cut costs, modernize operations, and ensure the continued vitality of our largest and most important affordable housing resource.”
The Past is Present
On April 19, federal district judge Loretta A. Preska ruled that the New York City Housing Authority (NYCHA), like every other landlord in the city, could now go to Housing Court to evict tenants who were selling drugs from their apartments. The ruling modified the 25-year-old Escalera consent decree, which had created a separate and prolonged process for such evictions.
On The Calendar
Distinguished editor John Tamny uses entertaining stories from sports, movies, popular culture, and famous businesses to demonstrate the basic principles of economics, including: how the Rolling Stones, Dallas Cowboys, and Paris Hilton are examples of good and bad tax policy; how The Godfather, Gone With the Wind, and The Sopranos reveal the downside of antitrust regulation, and many more.
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And in other news...
City Comptroller Scott Stringer and New York City Housing Authority Chairwoman Shola Olatoye announced today that an audit of the financially strapped public housing landlord found it had mismanaged and misplaced hundreds of thousands of dollars in building materials and supplies, and that NYCHA had agreed to overhaul the administration of its warehouses as a result of the study.