Max Meltzer Tower on Manhattan's Lower East Side is a 20-story building exclusively for seniors with 230 apartments housing an estimated 246 residents. Meltzer Tower has a $10.5 million unmet need for capital building improvements over the next 5 years.

2. 79 Years Strong

3. 3
Meltzer Tower
March 2013
Preserving Public Housing

4. A Roadmap for Preservation
Ensures that public housing remains available for
current and future generations of New Yorkers
4

5. Plan NYCHA Development
 NYCHA worked hand in hand
by hosting dozens of meetings
with residents, electeds,
community partners and
employees
 Thousands of residents
provided input into proposals
including:
o Looking at ways to use NYCHA’s
most valuable asset –our land- to
generate revenue
o Development of new mixed-use,
mixed-income housing to support
more families in need
5

6. A Roadmap for the Future
A Call to:
 Preserve public
housing – buildings,
communities and
opportunities
 Restore financial
stability
 Transform the way we
do things
 Improve services
6

7. Why Now?
NYCHA Is Struggling To Get Ahead
 Severe government
funding shortages
 Unmet capital needs
 Structural operating
deficit
 Regulatory burdens
hinder us from
controlling costs
 Aging and decaying
buildings
7

8. Two Different Federal
Funding Streams
Capital:
► Covers roofs, bricks,
elevators and
electrical, plumbing
and heating systems
► Requires long term
planning
► Calls for complex and
lengthy execution
Operating:
► Covers building
maintenance and
repairs, day to day
operations and
administration
► Based on HUD funding
formula that short
changes NYCHA
8

9. -$900
-$800
-$700
-$600
-$500
-$400
-$300
-$200
-$100
$0
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
InMillionsofDollars Insufficient Capital Funds For
Rehabilitation Needs
9
Underfunded by
$876 Million

10. -$800
-$700
-$600
-$500
-$400
-$300
-$200
-$100
$0
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Loss Of Operating Dollars For
Maintenance, Repairs And Services
10
$ 750 Million
Deficit
DollarsinMillions

11. $13.4 Billion Unmet Capital Need
NYCHA Wide for the Next 5 Years
Meltzer Tower
has a
$10.5 Million
need for capital
improvements
11

12. Plan NYCHA
Is Our Plan Of Action
To restore
financial stability
by looking for
other sources of
long-term
funding
opportunities
12

13. Proposed Plan will help Preserve Public
Housing for Current and Future Families
 NYCHA would lease (not
sell) 14 parcels of land
located within 8
developments
 Income generated will be
dedicated to building
improvements for public
housing
 The developers will finance,
construct, and operate new
residential buildings.
13

14. Proposed Plan will help Preserve Public
Housing for Current and Future Families
 Private developers will
pay NYCHA for the right
to build on leased land
that NYCHA owns (and
will continue to own)
 Approximately 80% of
the apartments will be
market rate and 20% will
be permanently low
income 14

15. Setting the Record Straight
The Development Plan Will:
 Not increase rent for NYCHA
residents due to the new
developments.
 Not demolish public housing
apartments
 Not displace NYCHA families
 Not privatize – NYCHA will still be
the landlord
 Not sell the land; NYCHA will own
the land under the new buildings.
 Not result in job losses or increased
work requirements for NYCHA
personnel.
15

16. NYCHA’s Core Principles for Development
 Location of new buildings along
street fronts to encourage
pedestrian traffic and campus
integration with the
neighborhood
 Replacement of all parking
spaces for all current resident
legal permit holders at impacted
developments
 Compactor yards relocated on
campus
16

17. NYCHA’s Core Principles for Development
 Where space is available,
other impacted areas will
be relocated, replaced
and/or reconfigured (i.e.,
seating areas and gardens)
 NYCHA will remain your
landlord and retain
ownership of the land
under the new buildings via
99-year ground leases
17

18. Benefits NYCHA Wide
 This initiative will generate between $30 Million
and $50 Million of funding on a yearly basis for
99 years (term of ground lease)
 New funding streams will be used to improve the
quality of life of NYCHA residents by funding a
portion of critical capital improvements
 This initiative will generate approximately 800
permanently low income housing units for low
income New Yorkers
 NYCHA resident will be given a preference for
the low-income units
18

19. Meltzer Tower: Where We Are
19
250 residents live at Meltzer Tower

20. Meltzer Tower: Development Site
20

21. Development Opportunity at Meltzer Tower
Development Site:
 Site Area: 18,750 SF (approx.)
 New Construction: 121,500 SF
(approx.)
 Rent and utilities will NOT
exceed 30% of your income
 Affordable units will be
available to households with
incomes at or BELOW 60% of
Area Median Income (AMI)
21
Maximum Allowable Income
1 person $ 36,120
2 persons $ 41,280
3 persons $ 46,440
4 persons $ 51,540

22. Possible Relocation of Site Uses
22

23. Benefits for Meltzer Tower Residents
 Preference for low income
apartments in the new
buildings
 Affordability restrictions are
permanent
 Alternative power for systems
during blackouts such as
hallway and stair lighting, heat
and hot water, elevators and
security
 Construction and permanent
jobs opportunities for NYCHA
residents
 Enhanced security features for
the entire development
23

24. Closing Statement
24

25. 25
Q & A