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NY Post
New York Post
21 Apr 2023


NextImg:Florida’s solving its real-estate crunch — New York should pay attention

I visited friends in Florida last month and (like most New Yorkers) spent some time salivating over the prospect of owning some Boca bungalow or Sarasota semi.

But as you may have anticipated, therein lies the crux of Florida’s real-estate crunch: too many folks like me; not enough housing units.

I may have temporarily left New York, but the housing problems at the heart of our state-budget impasse were firmly in tow.

A mountain of polling data confirms housing affordability is the No. 1 issue for residents of both states.

The allure of Florida is easy to quantify. Half the tax burden. Low cost of living.

“Free state” mentality. Nice weather.

But a big downside to all this appeal is the state’s growing workforce can no longer afford to live in the popular urban areas where they work.

Sound familiar?

The similarities between the housing crises in New York and Florida end there, however.

Our states’ respective approaches to solving it could not contrast more.

One state builds more housing, the other issues press releases touting how it one day, maybe, sorta, hopefully, will build more housing. 

Florida is third in the nation in housing construction and built five times more housing units per capita than 47th-place New York.
Courtesy of Crissie Cudd

While there, I had an opportunity to hear Gov. Ron DeSantis speak about how his administration is addressing the issue.

His plan, the Live Local Act, is fairly straightforward.

The bill provides more than $700 million in grants, incentives and loans to developers, home buyers and local governments, about double the previous year’s outlay. 

Unlike New York, this plan is not tied to — and specifically bans — the kind of rent-control laws that stifle growth and investment.

Unlike New York, this plan focuses on homeownership and middle-class wealth preservation through low-interest loans for down payments.

Unlike New York, this plan passed in the Legislature with little controversy and overwhelming bipartisan support.

Another key distinction between DeSantis’ and Gov. Kathy Hochul’s plans is that while both supersede some local zoning laws, the Live Local Act targets underused commercial and industrial properties inside the dense urban core where housing is needed. Albany has its sights set on rezoning the ’burbs. 

While Florida wants to eliminate commuting hours and auto traffic by bringing the workforce downtown, our governor wants to send low-income workers to Mount Kisco and Lake Ronkonkoma, charge them for the privilege of congesting the roads on their way to work and rob them of countless hours on commutes.

Another key difference is tax incentives.

In New York, any tax incentive like 421a is treated like a hot potato wrapped in poison.

In Florida, tax incentives just build more housing. 

Unsurprisingly, DeDantis is cheered around his state, while Hochul faces a suburban “uprising” across hers.

SoHo building

New York’s floor-area-ratio cap limits residential construction to 12 times the square footage of any lot.
Getty Images

Ironically, it’s the lawmakers who most vocally demand more housing who seem almost hell-bent on preventing it from being built where it’s needed most — New York City’s dense urban core. 

Take, for example, the state’s arbitrary floor-area-ratio cap, which limits residential construction to 12 times the square footage of any lot.

As City Council Speaker Adrienne Adams and the City Planning chair correctly pointed out last month, there is “no health or safety rationale” for this limit.

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Even Hochul is generally on the right side on this, now pushing its reform for office-building conversions.

Yet many activist lawmakers have consistently opposed broad reforms of this law with the same NIMBY attitude that infuriates wokesters when suburbanites resist change.

And while these lawmakers stifle new construction, more than 40,000 rent-stabilized apartments in these neighborhoods also sit empty — the sole result of their bad housing policy.

Allowing rents to rise to cover the costs of bringing those units up to code could unlock the bulk of these units within months.

Add in the disastrous proposal for “good-cause eviction,” the myriad bureaucratic problems that saddle the city’s housing-voucher programs and the slow push to end the city’s notorious red tape, and anyone can see why many New York developers have invested in Florida.

Perhaps that brings us closer to the fundamental difference between our two states.

DeSantis and the Florida GOP see private developers and landlords — yes, even big corporations — as partners in solving the housing-affordability crisis.

A general view of apartment buildings as seen on E118th Street in New York, NY.

This March marked the third straight month that fewer than 30 new foundation permits were filed in New York City, a city of 8.8 million people.
Christopher Sadowski

In New York, developers and landlords are one step above cops in the concentric rings of progressive hell.

“Greedy landlords,” “Big Real Estate” et al. are the mortal enemy of the Clicquot Communists who now hold sway in our government.

But the proof is in the pudding. Florida is third in the nation in housing construction and built five times more housing units per capita than 47th-place New York.

This March marked the third straight month that fewer than 30 new foundation permits were filed in a city of 8.8 million people.

The same old housing tricks haven’t worked in the Empire State for decades.

Perhaps more New York politicians need to take a Florida vacation.

Joe Borelli is the minority leader of the New York City Council.