New York City Council Committee on Land Use Approves “City of Yes for Housing Opportunity” Proposal Text Amendments with Modifications

Authors: Wesley O'Brien, Timothy Gentles

On Thursday, November 21, 2024, the New York City Council's Subcommittee on Zoning and Franchises and Committee on Land Use voted to approve the citywide zoning text amendments associated with the "City of Yes for Housing Opportunity" ("COYHO") proposal, with a number of modifications.

As discussed in a previous client memorandum, the initiative aims to increase housing development through zoning updates, including increased FARs for mixed-income development, the introduction of new higher density residential districts, and more flexible rules for office-to-residential conversions.

The City Council's modifications primarily respond to concerns about the impact of additional development in low-density areas and the adequacy of incentives to build affordable housing under the existing proposal. Portions of the initiative that were the subject of City Council modifications include the following:

• Parking Mandates: As originally proposed, COYHO would have removed all residential parking requirements on new housing, citywide. The City Council modified this to create three geographic zones within the City with tailored parking requirements for each. Parking requirements would be eliminated entirely in "Zone 1," which encompasses Manhattan Community Districts ("CDs") 9, 10, and 11; Queens CDs 1 and 2 and parts of Queens CDs 3 and 4; and Brooklyn CDs 1, 2, 3, 4, 7, and 8 and part of Brooklyn CD 6. Parking requirements would be reduced in "Zone 2" and would largely be maintained in "Zone 3." In Zones 2 and 3, application could be made to reduce parking requirements under specified circumstances, such as for projects containing affordable housing.
  
  
• Landmark Transfer Certifications: COYHO will allow floor area from landmark buildings to be transferred by administrative Certification to receiving sites on surrounding blocks. Bulk modifications to accommodate the additional floor area will be available by discretionary Authorization up to a 25% increase in height; further increases would require a Special Permit.
  
  
• Universal Affordability Preference: Projects utilizing at least 10,000 square feet of floor area under the Universal Affordability Preference ("UAP") program would be newly required to set aside 20% of UAP units to be affordable for families earning 40% of the Area Median Income.
  
  
• Low-Density Area Modifications: Modifications applicable primarily to low-density areas of the City include limitations on the construction of backyard accessory dwelling units, limitations on the geographic reach of Town Center Zoning ("TCZ") and Transit Oriented Development ("TOD") proposals, and the introduction of affordability requirements for larger developments taking advantage of the increased floor area permitted under TCZ and TOD.

Additionally, the City administration has committed $5 billion to support the proposal, including $2 billion for housing capital, $2 billion for infrastructure projects, and $1 billion for increased expense funding.

Next Steps

The modified zoning text voted out of Committee is available here. The full New York City Council is expected to vote on the proposal on December 5, 2024.

For information about prior modifications to the proposal that were made by the City Planning Commission, see our most recent client memorandum.

Please contact us with any questions.

This communication is for general information only. It is not intended, nor should it be relied upon, as legal advice. In some jurisdictions, this may be considered attorney advertising. Please refer to the firm's data policy page for further information.