After three years of failed attempts to sell the 140-acre housing complex on Jamaica Bay for more than a billion dollars, the owners of Starrett City may be close to a deal with government officials that would enable them to put $200 million in their pockets while preserving the affordable status of the 5,881 apartments for another 30 years. There's a meeting today among the owners, residents and politicians to discuss the deal, the mechanics of which would involve a $500 million refinancing and the creation of a $40 million capital improvement fund which would remove the need for rent hikes. “Despite the difficult economic times, this arrangement will ensure that Starrett City stays affordable for current and future tenants and allows for vital upgrades to the entire complex to be completed,” Senator Chuck Schumer said. “It’s a great outcome for everyone,” ” said Priscilla Almodovar, president of the State Housing Finance Agency. The deal would require the passage of legislation in Albany to amend the Mitchell-Lama laws that are on the books.
Refinancing Deal May Save Low-Cost Housing at Starrett City [NY Times]
Photo by Sharpen
