Does de Blasio's housing plan incentivize developers enough?

Without a new tax break, builders cannot afford 80,000 below-market units
  • To reboot the 421-a tax exemption, de Blasio must meet with the Republican-lead State Senate and Gov. Andrew Cuomo.
  • 421-a was a tax abatement program that expired this past January.
  • Prior to its cessation, 421-a gave 10-year tax exemptions to new housing developments with three or more units on vacant, underutilized or “nonconforming” zones.
  • While REBNY stands behind 421-a improvements, the Pratt Center for Community Development claims the program was being abused prior to its phasing out.

Mandatory Inclusionary Housing may have passed through the City Council, but in order for his plan to take action, Mayor Bill de Blasio must motivate developers — perhaps with an amended tax exemption.