27-131

Mandatory Inclusionary Housing

Special floor area provisions for zoning lots in Mandatory Inclusionary Housing areas

  1. For zoning lots in Mandatory Inclusionary Housing areas, the following provisions shall apply:
    1. Affordable housing requirement

      Except where permitted by special permit of the Board of Standards and Appeals pursuant to Section 73-623 (Reduction or modification of Mandatory Inclusionary Housing requirements), or as provided in paragraph (a)(4) of this Section, no residential development, enlargement or conversion from non-residential to residential use shall be permitted unless affordable housing, as defined in Section 27-111 (General definitions) is provided or a contribution is made to the affordable housing fund, as defined in Section 27-111, pursuant to the provisions set forth in paragraphs (a)(3)(i) through (a)(3)(v) and paragraph (a)(5) of this Section, inclusive.
    2. Maximum floor area ratio

      For any development, enlargement or conversion from non-residential to residential use that is subject to the provisions of paragraph (a)(4) of this Section, the maximum floor area ratio for the applicable district outside of Mandatory Inclusionary Housing areas shall apply.
    3. Options for compliance with affordable housing requirement

      Options for compliance with the affordable housing requirement of paragraph (a)(1) of this Section are set forth in the following paragraphs (a)(3)(i) through (a)(3)(v). These options shall be applicable within Mandatory Inclusionary Housing areas as indicated in APPENDIX F of this Resolution. Option 4 shall only be made applicable in combination with Option 1, Option 2, or Option 3. Regardless of whether every option specified in this paragraph (a)(3), inclusive, is included in a land use application for applicability to a proposed Mandatory Inclusionary Housing area or as a term or condition of a special permit pursuant to this Resolution, all affordability options available under the provisions of this paragraph (a)(3), inclusive, shall be part of the subject matter of each such application throughout the land use review process. Option 4 shall not be applicable within the Manhattan Core. A development, enlargement or conversion from non-residential to residential use shall comply with either Option 1, Option 2, Option 3, Option 4, or the Affordable Housing Fund Option, as applicable, or shall be subject to an affordable housing regulatory agreement.

      When a building containing residences is enlarged, the following shall be considered part of the enlargement for the purposes of this paragraph (a)(3), inclusive: residential floor area that is reconstructed, or residential floor area that is located within a dwelling unit where the layout has been changed.
      1. Option 1

        For MIH developments utilizing Option 1, an amount of affordable floor area for qualifying households shall be provided that is equal to at least 25 percent of the residential floor area within such MIH development. The weighted average of all income bands for affordable housing units shall not exceed 60 percent of the income index, and there shall be no more than three income bands. At least 10 percent of the residential floor area within such MIH development shall be affordable within an income band at 40 percent of the income index, and no income band shall exceed 130 percent of the income index.
      2. Option 2

        For MIH developments utilizing Option 2, an amount of affordable floor area for qualifying households shall be provided that is equal to at least 30 percent of the residential floor area within such MIH development. The weighted average of all income bands for affordable housing units shall not exceed 80 percent of the income index, and there shall be no more than three income bands. No income band shall exceed 130 percent of the income index.
      3. Option 3

        For MIH developments utilizing Option 3, an amount of affordable floor area for qualifying households shall be provided that is equal to at least 20 percent of the residential floor area within such MIH development. The weighted average of all income bands for affordable housing units shall not exceed 40 percent of the income index, and there shall be no more than three income bands. No income band shall exceed 130 percent of the income index. No public funding shall be utilized for such MIH development except where HPD determines that such public funding is necessary to support a significant amount of affordable housing that is in addition to the affordable floor area satisfying the requirements of this Section.
      4. Option 4

        For MIH developments utilizing Option 4, an amount of affordable floor area for qualifying households shall be provided that is equal to at least 30 percent of the residential floor area within such MIH development. The weighted average of all income bands for affordable housing units shall not exceed 115 percent of the income index, and there shall be no more than four income bands. No income band shall exceed 135 percent of the income index. At least five percent of the residential floor area within such MIH development shall be affordable within an income band at 70 percent of the income index and, in addition, at least five percent of the residential floor area within such MIH development shall be affordable within an income band at 90 percent of the income index. Such MIH development may not utilize public funding.

        Option 4 shall expire within a Mandatory Inclusionary Housing area 10 years after the effective date of the amendment establishing or renewing such option in a Mandatory Inclusionary Housing area, as indicated in APPENDIX F of this Resolution. However, Option 4 shall apply to an MIH development that has filed an affordable housing application for such option prior to expiration of such option, provided that the MIH development complies with all provisions of Section 11-33 (Building Permits for Minor or Major Development or Other Construction Issued Before Effective Date of Amendment), inclusive. For the purposes of applying the provisions of Section 11-33, the effective date of applicable amendment shall be six months after the date of the expiration of the Option 4 in such Mandatory Inclusionary Housing area.

        Option 4 shall not be permitted to be utilized for any development, enlargement, or conversion from non-residential to residential use within the Manhattan Core.
      5. Affordable Housing Fund option

        A development, enlargement, or conversion from non-residential to residential use that increases the number of dwelling units by no more than 25, and increases residential floor area on the zoning lot by less than 25,000 square feet, may satisfy the requirements of this Section by making a contribution to the affordable housing fund. The amount of such contribution shall approximate, using the best available data, the cost of providing the affordable floor area in the same Community District as the MIH development. A schedule setting forth the contribution amount for each affected Community District shall be established by HPD and shall be updated on an annual basis, as set forth in the guidelines.
      6. Affordable Housing Regulatory Agreement option

        A development, enlargement, or conversion from non-residential to residential use that is restricted pursuant to an affordable housing regulatory agreement may satisfy the requirements of this this Section.
    4. Exceptions

      The requirements of this Section shall not apply to:
      1. a single development, enlargement, or conversion from non-residential to residential use of not more than 10 dwelling units and not more than 12,500 square feet of residential floor area on a zoning lot that existed on the date of establishment of the applicable Mandatory Inclusionary Housing area;
      2. a development, enlargement, or conversion from non-residential to residential use containing no residences other than affordable independent residences for seniors; or
      3. a development, enlargement, or conversion from non-residential to residential use that is granted a full waiver of the requirements set forth in paragraph (a)(3), inclusive, of this Section by special permit of the Board of Standards and Appeals pursuant to Section 73-623 (Reduction or modification of Mandatory Inclusionary Housing requirements).
    5. Additional requirements where affordable housing is provided off-site

      ​​​​​​​When affordable floor area is provided on an MIH site that is not an MIH zoning lot pursuant to paragraph (a) of Section 27-16 (Requirements for MIH Sites or UAP Sites), the amount of affordable floor area required pursuant to paragraphs (a)(3)(i) through (a)(3)(iv) of this Section shall be increased by an amount equal to five percent of the residential floor area within such MIH development, multiplied by the percentage of the affordable floor area that is provided on an MIH site that is not an MIH zoning lot. Such additional affordable floor area shall be provided for qualifying households at income levels that comply with the average income bands specified in paragraphs (a)(3)(i) through (a)(3)(iv) of this Section, as applicable to the MIH development.
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