Real Estate Weekly
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Debt & Equity

City strikes deal to keep world’s largest co-op affordabe

The city’s Department of Housing Preservation and Development has struck a deal to preserve 16,083 affordable homes, including Co-op City, the largest housing cooperative in the world, and Cooper Square, the oldest Community Land Trust in the City.

HPD will provide low-cost preservation financing and tax exemptions to the 95 buildings in the Bronx, Brooklyn and Manhattan affordable to residents.

“We are facing an unprecedented crisis, and after we have defeated this virus and begin to pick up the pieces, we will need affordable housing like never before. Locking in the affordability of these homes across the city will be crucial to ensuring stability for New Yorkers as we recover,” said Mayor Bill de Blasio.

Mayor Bill de Blasio

“Now more than ever New Yorkers need the safety and security of staying in their homes,” said Vicki Been Deputy Mayor for Housing and Economic Development.

“For decades, Co-Op city has been a ladder to the middle class, and we are very proud to keep its more than 15,000 homes affordable.”

Following talks with the Co-op City board, HPD locked in affordability at the largest housing cooperative in the world, until 2052.

With 15,372 homes spread across 72 buildings, the Co-op City will receive $1 million from the City COuncil to fund accessibility to 45 buildings.

At Prospect Park South, HPD has locked in affordability for tenants living in the 384-unit portfolio, recently acquired by the Camber Property Group, for the next 30 years.

Under the deal, Camber must ensure housing code conditions are addressed and that 50 units remain affordable permanently and 26 units are set aside for the homeless.

In collaboration with the Office of the New York State Attorney General’s Office, HPD secured affordability for 327 homes across 21 buildings for the Cooper Square Mutual Housing Association, a limited-equity cooperative located on a Community Land Trust in Lower Manhattan that serves very low and low-income New Yorkers, for the next 40 years.

It will get a $1.5 million grant from the Office of the Attorney General to expand services for local senior residents.

HPD’s Green Housing Preservation Program will also provide financing for energy efficient upgrades. Renovations will include installation of solar PV. Enterprise Community Partners also provided funding for wrap-around services that will allow senior residents of the building to age in place.

“We must do everything in our power to protect New Yorkers during these challenging times,” said Attorney General Letitia James.

“Ensuring that thousands of New Yorkers can remain in their homes without additional financial stress will provide much needed stability and reassurance in the face of this crisis.”

Noel Ellison, general manager of the Riverbay Corporation, which operates Co-op City, said, “This financing allows us to free up additional funds for the many capital projects we are currently undertaking.”

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