Mayor de Blasio’s recently released affordable housing plan is extensive and forward thinking – but also extremely expensive. The 200,000 units it envisions are estimated to cost $41 billion, of which $8 billion will come from City coffers.
We could reach the same goal without such astronomical spending. In fact, the City could do it without spending a single dollar from its budget.
To accomplish this feat, we need to harness the power of the market. Here is a five-point plan for how we can do so to create a housing plan that serves all New Yorkers:
First, we must put to use the vast sums of funding in the capital markets to build mixed-income housing and provide for low-income households through a partnership between the public and private spheres. This funding can help generate more housing in a cost-effective way.
Source: Gotham Gazzette. Read full article.