A bill that would preserve affordability at Starrett City, the largest federally subsidized rental complex in the United States, was overwhelmingly approved in the House last week. The bill was introduced by Rep. Edolphus Towns and co-sponsored by Rep. Nydia Velázquez. East New York’s Starrett City has 5,800 units and 14,000 residents, and the government wouldn’t allow its current owners to sell the property to a group of investors who bid $1.3 billion for it last year because it was believed that the high sales price meant the housing stock wouldn’t be kept affordable. The bill converts Section 8 and Rental Assistance Program (RAP) contracts at Starrett to a project-based Section 8 contract, which ensures longer-term affordability for those particular units. (We’re not clear on whether this applies to all the massive complex’s units or just some of them.) According to an article in the Eagle, the measure “creates the conditions necessary for purchasers of Starrett City to secure the long-term financing necessary to purchase the property, therefore allowing them to keep the units affordable.” As of late last week, the bill was set to become an amendment in one of the foreclosure-relief bills currently being considered by the House. It wasn’t, however, amended to the controversial anti-foreclosure bill that passed last week and that President Bush has vowed to veto.
Rep. Towns’ Press Release on Starrett Bill [house.gov]
Starrett Bill [govtrack.us]
Reps. Towns, Velázquez Report Success for Starrett City [Brooklyn Eagle]
Photo by ntang.