Yonkers City Council Approves Funding for Affordable Housing Project

The Yonkers City Council voted on Tuesday to approve $10 million in funding for an affordable housing project in the city’s downtown area. The project, which will be developed by the non-profit Community Housing Development Corporation (CHDC), will create 100 new affordable housing units for low- and moderate-income residents.

Background on Affordable Housing Shortage in Yonkers

Yonkers has long faced a shortage of affordable housing options for its residents. Over the past decade, housing prices in the city have risen dramatically while incomes have largely remained flat. This has made it very difficult for lower earning workers and families to find decent and affordable places to live in Yonkers.

Recent Studies

According to a recent study by the Yonkers Tribune, over 60% of renters in the city are cost-burdened, meaning they spend more than 30% of their income on housing costs. Additionally, Yonkers has a waitlist of over 5,000 families awaiting placement in public and subsidized housing units.

With affordable housing options drying up, many residents find themselves “priced out” of living in the city. Young people just starting out and seniors on fixed incomes struggle the most. Even middle-class households like teachers, nurses and office workers have trouble affording average rents in Yonkers, which now top $1,500/month for a one-bedroom apartment.

Impact of the Affordable Housing Shortage

The lack of affordable housing has many negative effects across Yonkers. Long commutes have become common as lower earning workers move farther from the city center in search of cheaper rent. Traffic and transit congestion rise as a result.

Homelessness and housing insecurity also increase without enough affordable options. Yonkers Public Schools report high rates of student turnover and absenteeism as unstable housing situations disrupt education.

Neighborhoods feel the loss when older residents and young families can no longer afford to live in the community where they have roots and support systems. Diversity decreases as well.

Details of New Affordable Housing Project

The new affordable housing project approved by the City Council this week aims to help address this shortage. The development will consist of a 100-unit apartment building located at 20 New Main Street in downtown Yonkers.

50 of the units will be set aside for households earning less than 60% of the Area Median Income (AMI), which in Yonkers is around $57,000 annually for a family of four. Another 30 units will be for those earning up to 80% of AMI, and the remaining 20 units will be at market rates.

Rents in the income-restricted units will range from $800 to $1,200 per month for a one or two bedroom apartment. The market rate units will rent for around $1,500 to $1,800.

The project will also have 24-hour security, a fitness center, and community garden. It is located close to public transportation and other amenities like grocery stores, pharmacies, and schools.

Who Will Benefit

The affordable housing units will help working individuals and families remain in the Yonkers community. Potential tenants include teachers, healthcare workers, retail and service employees, seniors, and young people starting out.

Many who have been displaced or struggling could return to Yonkers if selected by the housing lottery for an affordable unit. The project will also benefit the neighborhood by being an attractive and well-managed property.

Project Funding

The total development cost for the project is estimated at $28 million. The city’s $10 million commitment approved this week will go towards upfront costs like site preparation, permits, architectural plans, etc.

The remaining $18 million will be raised through various state and federal affordable housing programs, including low-income housing tax credits. The developer CHDC has a strong track record of securing funding for these types of projects.

In addition to the 100 affordable units, the project is estimated to create over 100 short-term construction jobs and several permanent staff positions for building operations.

Sayings of City Officials and Housing Advocates

City officials and affordable housing advocates applauded the Council’s approval of funding for this project. Here are some notable quotes:

“This project will make real progress towards addressing Yonkers’ affordable housing shortage. We thank the City Council for their commitment to our most vulnerable residents.” – Jane Smith, Executive Director of CHDC

“We are proud to support quality housing for our lower earning residents who keep Yonkers running but have been priced out of living here.” – Tom Wilson, Yonkers City Council President

“In our current housing crisis, we need all hands on deck. This city funding will leverage millions more in investment and create homes for over 200 of our neighbors.” – Alex Garcia, Director of the Yonkers Affordable Housing Coalition

Conclusion

While this project on its own will not fully address Yonkers’ affordable housing needs, it is seen as an important step forward. Housing advocates plan to continue lobbying the city to invest more in affordable housing projects like this in the coming years.

Some goals include increasing the affordable housing set-aside percentages for new market-rate developments and converting unused city property into affordable homes. Continued state and federal funding will also be crucial.

For now, the Council’s approval of this funding shows their commitment to being part of the solution to the city’s housing problems. Construction on the new downtown affordable development is expected to begin next year, with residents hopefully moving in by 2026.