RPJ Partner Alice Jump Quoted on City Initiative to Convert Vacant Offices into Affordable Housing
New York City Council is working on tackling the city’s affordable housing shortage by converting vacant office space, Natalie Sachmechi wrote in Crain’s New York Business yesterday. While the plan is largely supported by members of the real estate community, numerous barriers stand in the way.
A state law enacted in June created a $100 million fund to convert distressed hotels into housing, but faced similar reservations. “Without tax breaks or subsidies from the state, which doesn’t have much to give right now, developers are on the fence about whether hotel conversion would make financial sense,” RPJ Partner Alice Jump commented in the article.
Councilmembers plan to hold a public hearing on Tuesday to discuss whether office-to-affordable housing conversions are feasible and effective, and what specific buildings are suitable for conversion. Numerous members of the real estate community are set to testify.