Last week, the NYTimes ran a story– “Some ‘affordable’ units too costly” February 13– affirming what we have been saying for years: that the subsidized units financed under Bloomberg’s New Housing Marketplace do not actually serve the housing needs of the communities (largely in the Bronx) where they are being built.
HPD is using a “median income” of 79K for areas where the true median income is 29K.
The result is a bonanza for developers, who often double dip by renting unaffordable units pitched as “middle-income” to section 8 recipients. So the City subsidizes the construction, and then pays the unreasonable rents. Sweet!
Check out the Association for Neighborhood and Housing Development’s full report on their website.