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The change could spur more housing development if accompanying reforms in the City of Yes for Housing Opportunity plan are approved.
A reform included in New York State’s FY 2025 budget eliminates a Floor Area Ratio (FAR) cap for residential buildings that housing advocates say hamstrings residential construction in the city. The change relies on the proposed creation of new zoning districts in Mayor Eric Adams’ City of Yes for Housing Opportunity plan.
An explainer on the Kramer Levin website describes the change, which removes a 12 FAR cap on residential buildings in proposed new zoning districts and “Where the City’s zoning districts mandate a minimum affordability percentage that is equivalent to or exceeds its Mandatory Inclusionary Housing (MIH) program.”
According to the article, City of Yes would create two new types of residential zoning districts that would permit FARs of 15 and 18. “The regulations for these districts would be added to the Zoning Resolution, but they would not exist anywhere in the City until they become available for use in an area either through further changes to the zoning text or through a subsequent zoning map amendment, both of which would require compliance with MIH.”
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