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Preserving Public Housing Roundtable Discussion Douglass Houses April 17, 2013

Douglass Houses Land Lease Presentation 4-17-13 (English)

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Douglass Houses has a $192 million unmet need for capital building improvements over the next 5 years.

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Page 1: Douglass Houses Land Lease Presentation 4-17-13 (English)

Preserving Public HousingRoundtable Discussion

Douglass HousesApril 17, 2013

Page 2: Douglass Houses Land Lease Presentation 4-17-13 (English)

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Introductions

Page 3: Douglass Houses Land Lease Presentation 4-17-13 (English)

Conversation Guidelines

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Let’s hear from everyone No interruptions Treat everyone with respect Respect different opinions No videotaping Facilitators will take comments and questions at

tables Note-takers are capturing ideas and opinions. No

names will be used.

Page 4: Douglass Houses Land Lease Presentation 4-17-13 (English)

NYCHA’s Land Lease Proposal

Proposal to lease land to a developer for construction of a new apartment building.

All revenue will go to building improvements at Douglass Houses and other

NYCHA developments.4

Page 5: Douglass Houses Land Lease Presentation 4-17-13 (English)

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Overview of Land Lease Proposal Building Site and Design Options Request for Proposal Project Timeline Comments and Q & A

Discussion Topics

Page 6: Douglass Houses Land Lease Presentation 4-17-13 (English)

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Overview of Land Lease Proposal

Page 7: Douglass Houses Land Lease Presentation 4-17-13 (English)

$13.4 Billion Unmet Capital Need NYCHA Wide for the Next 5 Years

Douglass Houses and Addition have a total of $192 Million need for capital improvements.

Only $17.4 Millionworth of improvements are planned over the next 5 years

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Page 8: Douglass Houses Land Lease Presentation 4-17-13 (English)

Overview: Land Lease Proposed Plan

NYCHA would lease (not sell) 14 parcels of land located within 8 developments

Income generated will be dedicated to building improvements for public housing

The developers will finance, construct, and operate new residential buildings.

Approximately 80% of the apartments will be market rate and 20% will be permanently low income 8

Page 9: Douglass Houses Land Lease Presentation 4-17-13 (English)

Setting the Record Straight: At Douglass the Development Plan Will:

Not increase rent for NYCHA residents due to the new developments.

Not demolish public housing apartments

Not move NYCHA families

Not privatize – NYCHA will still be the landlord

Not sell the land; NYCHA will own the land under the new buildings.

Not result in job losses or increased work requirements for NYCHA personnel.

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Page 10: Douglass Houses Land Lease Presentation 4-17-13 (English)

NYCHA’s Core Principles for Development

All new buildings located along street fronts to encourage pedestrian traffic and campus integration with the neighborhood and reduce construction impact

Replacement of all parking spaces for all current resident legal permit holders

NYCHA will remain your landlord and retain ownership of the land under the new buildings via 99-year ground leases

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Page 11: Douglass Houses Land Lease Presentation 4-17-13 (English)

Benefits NYCHA Wide

This initiative will generate between $30 million and $50 million of funding on a yearly basis for 99 years (term of ground lease)

All revenue will be used to improve the quality of life of NYCHA residents by funding a portion of critical capital improvements – example: roofs, elevators, boilers, electrical system, apartment upgrades

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Page 12: Douglass Houses Land Lease Presentation 4-17-13 (English)

Benefits for Douglass Houses Residents

Alternative power for systems during blackouts such as hallway and stair lighting, heat and hot water, elevators and security

Construction and permanent jobs opportunities for NYCHA residents

Enhanced security features for the entire development

Preference for low income apartments in the new buildings

Affordability restrictions are permanent12

Page 13: Douglass Houses Land Lease Presentation 4-17-13 (English)

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Douglass Houses

Land Lease Plan

Page 14: Douglass Houses Land Lease Presentation 4-17-13 (English)

Douglass Houses: Development Sites

144,612 residents live at Douglass Houses & Addition

Page 15: Douglass Houses Land Lease Presentation 4-17-13 (English)

Development Opportunity at Douglass Houses

Manhattan Avenue Site

Site Area: 19,000 SF

New Construction: 340,000 SF (approx.)

Estimated # of new apts: 368 units*

West 100th Street Site

Site Area: 18,750 SF

New Construction: 220,000 SF (approx.)

Estimated # of new apts: 237 units*

West 104th Street Site

Site Area: 16,000 SF

New Construction: 175,000 SF (approx.)

Estimated # of new apts: 189 units*

*Calculation based on 925 SF unit size assumption

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Maximum Allowable Income

1 person $ 36,120

2 persons $ 41,280

3 persons $ 46,440

4 persons $ 51,540

Low Income units will be available to households with incomes at or below 60% of Area Median Income (AMI)

Page 16: Douglass Houses Land Lease Presentation 4-17-13 (English)

Douglass Houses Today

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Page 17: Douglass Houses Land Lease Presentation 4-17-13 (English)

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Comments and Concerns about Land Lease Proposal

Group Discussion #1

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Building Site and Design Options

Page 19: Douglass Houses Land Lease Presentation 4-17-13 (English)

Possible Relocation of Site Uses

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Page 20: Douglass Houses Land Lease Presentation 4-17-13 (English)

West 100th Street Development Site

Manhattan Avenue Development Site

Douglass Houses: Development Sites

West 104th Street Development Site

Page 21: Douglass Houses Land Lease Presentation 4-17-13 (English)

Douglass Houses: Relocated Parking

Parking Lot 5 Expanded

Parking Lot 4 Expanded

Parking Lot 3 Expanded

Douglass Farm Proposed New Parking Lot

Page 22: Douglass Houses Land Lease Presentation 4-17-13 (English)

Group Discussion #2

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Design Options Parking Relocation Douglass Farm / Resident Garden

Relocation Security

Page 23: Douglass Houses Land Lease Presentation 4-17-13 (English)

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Process to ask developers for their ideas based on specific

guidelines that NYCHA provides

Request for Proposal

Page 24: Douglass Houses Land Lease Presentation 4-17-13 (English)

RFP is currently in development

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Guidelines Under Consideration Alternate power source

Distribution of apartment units

Employment opportunities & training

Preference for Douglass Houses residents for affordable units

Financial literacy training

Page 25: Douglass Houses Land Lease Presentation 4-17-13 (English)

Group Discussion #3

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Request for Proposal Alternate power source

Distribution of apartment units

Employment opportunities & training

Preference for Douglass Houses residents for affordable units

Financial literacy training

Page 26: Douglass Houses Land Lease Presentation 4-17-13 (English)

Next Steps in 2013

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RFP out end of April Round of resident discussions Proposals submitted July/August Round of resident discussions Designation of developer Fall 2013 Round of discussions with residents, NYCHA Staff

and designated developer

Page 27: Douglass Houses Land Lease Presentation 4-17-13 (English)

Key Milestones 2014-2016Ongoing resident discussions

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Environmental review

Submission of Section 18 application

HUD Review of Section 18 application

Upon approval, enter lease agreement

Construction preparation & groundbreaking

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Q & A

Page 29: Douglass Houses Land Lease Presentation 4-17-13 (English)

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Land Lease Websitehttp://on.nyc.gov/landlease

Public comments can be submitted online and in writing to:New York City Housing Authority

Land Lease CommentsPO Box 3422

New York, NY 10008