THE CASH-STARVED Housing Authority plans to raise millions by leasing out some of its underused land to luxury condo developers — and the real estate rush will start in the hottest market in the city, Manhattan.
NYCHA Chairman John Rhea said Monday he wants to rent out vacant land and parking lots to developers to construct market-rate housing with some affordable units, though he declined to say where the properties are.
A source later said the plan would start at 25 projects in Manhattan.
“This is a landmark in the evolution of NYCHA,” Rhea told a crowd of the city’s power elite at a breakfast hosted by the Association for Better New York. “A decade ago, this wouldn’t have been possible because developers would have considered our properties off-limits.”
The plan — which has been talked about for years by both Rhea’s debt-hobbled agency and public officials — would hand developers tax breaks to build both luxury and cheaper units on leased NYCHA land.
Rhea insisted no public housing would be sold off and not a single unit in the agency’s 334 developments would be lost. Instead, NYCHA would rent out vacant plots, parking lots or administrative buildings that currently have no housing.