Governor Hochul Announces 71,000 New Homes in NYC Through State’s Landmark Housing Deal

Coverage begins at the 10:56 mark.

Governor Kathy Hochul celebrated the creation of about 71,000 new apartments in New York City, including 21,000 affordable units, thanks to an extension of the construction completion deadline for the 421-a tax incentive program. This celebration comes after letters of Intent were filed with the New York City Department of Housing Preservation and Development from owners that represent nearly 650 buildings. The 421-a construction completion deadline extension was part of a joint effort between Governor Hochul and the Adams administration to secure new tools to address the City’s housing crisis.

“By extending the 421-a construction completion deadline, we are able to put more than 70,000 new homes back on track and create affordable options to live in New York City,” Governor Hochul said. “My administration is committed to combating the affordability crisis in every region of the State, and I want to thank Mayor Adams and his team for their partnership and advocacy as we tackle the housing crisis by ensuring that there are more and more opportunities to live and thrive in New York State.”

Today’s announcement ensures the creation of significant additional housing options under the 421-a program by extending the construction completion deadline, which was made possible by Governor Hochul as part of the FY25 Enacted Budget. The FY25 Enacted Budget included numerous bold initiatives to address New York’s housing crisis by increasing the housing supply, promoting affordability, strengthening protections for New York renters and homeowners and combating bias, and discrimination in housing. A key element of the Governor’s housing agenda was extending the construction completion deadline for projects in the now expired, 421-a program from June 15, 2026, to June 15, 2031, for eligible projects that commenced construction after Dec. 31, 2015, and on or prior to June 15, 2022.

The extension enables these housing projects that were at risk of missing the construction completion deadline due to factors such as market volatility in the wake of the pandemic to move forward without interruption, saving approximately 21,000 affordable units. By facilitating a longer timeline, the 421-a construction completion deadline extension allows for the thoughtful, sustainable development of housing that meets New Yorkers’ diverse needs.

Source: The Office of the Governor