A nonprofit is spending nearly $1 million per unit on affordable housing for seniors, contrasting claims of building costs at $500,000 with union labor. The Grand Street Guild's $176 million project on the Lower East Side is funded through various sources, totaling $148.3 million, resulting in an estimated cost of $921,000 per apartment. In contrast, Eli Lever's East New York Avenue project builds apartments for $350,000 each. Experts stress the need for reevaluation of funding strategies and reducing development costs to address the affordable housing crisis.
The nonprofit has patched together financing for a $176 million, 191-unit project on the Lower East Side, showing the complexity and cost of subsidized housing.
The Guild's funding includes $19.5 million from the Department of Housing Preservation and Development, and $12.5 million from the Housing Development Corporation, totaling $148.3 million.
Costs for the Grand Street Guild's project amount to $921,000 per apartment, disproving claims that affordable housing can be built for $500,000 per unit.
Michael Lappin stated that the lengthy processing and multiple financing sources produce ridiculous costs, indicating a need for fundamental rethinking in affordable housing.
Collection
[
|
...
]