City Errs In Calculating the Affordable Housing Requirement for Astoria Cove

Blame it on a map-reading error by planners Department of Housing Preservation and Development—looks like an adjustment to the number and kind of affordable units may be required by law at Astoria Cove.

Right now, the affordable units being considered would be available to households making no more than 80% of the area median income. But the income levels may have to be reconsidered for the affordable units, and on top of that, even more affordable units may have to be built. Crain’s reports:

The mistake surrounds a state property tax abatement called 421-a that can provide up to 25 years of property tax relief. In some parts of the city, developers can get this break with no strings attached. In other parts, where building residential is more lucrative, developers have to dedicate 20% of their apartments to households making below 60% of the area median income, which for a family for four was $51,540 in 2013.

When HPD planners were figuring out which category Astoria Cove fit into, they had been reading outdated maps showing Alma didn’t have to provide housing to get the tax break. But after a recent review, it turned out the opposite was true.

In some ways, it doesn’t affect the project. If the zoning, with its mandatory affordable housing component, is approved, Alma must make 20% of its units affordable. Should the developer still seek the 421-a tax subsidy, it would further be required to set aside the affordable units for the lower-income band.

This is a very interesting development in the whole sordid thing, and in the end could benefit more folks who qualify for these units. Apparently it could “give the [City Council] ammunition to ask for more affordable units,” which we sort of expected them to do. We hope more affordable units are in the development’s future.

City admits error on Astoria Cove’s affordable housing [Crain’s]