Ken Fisher discusses the persistent housing shortage in New York City in amNY. Production has failed to keep up with population growth, and political headwinds against such development have been strong. After the 485-a property tax abatement program was introduced following the expiration of the 421-a program, there was an increase in permit applications for projects under 100 units, but not enough compared to the time of 421-a.

Governor Kathy Hochul has committed $1 billion in support of Mayor Eric Adams’ housing initiatives, including the City of Yes initiative, which aims to develop 80,000 new units over 15 years by easing building regulations and encouraging office-to-residential conversions. The initiative's approval by the City Council reflected a shift in the political environment, where the need for more housing outweighed fears of gentrification. In Adams’ 2025 State of the City speech, he announced a series of plans including a vision of having 100,000 units built in Manhattan alone. The overall forecast for 2025 remains unclear due to political and economic challenges at the state and federal levels, but many are cautiously optimistic.

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