New York City will now only set aside 20% of all affordable units to local residents through the affordable housing lottery in order to diversify the mix of applicants.
According to the Gothamist, the city changed its community-preference policy, which currently sets aside 50% of new affordable housing for locals already living in the neighborhood.
However, a lawsuit challenged that the current policy perpetuated racial segregation and restricted New Yorkers who wanted to move out of their neighborhoods. The 20% allocation will end in April 2029, after which it will further shrink to 15%.
Two NYC residents and Black women, Shauna Noel and Emmanuella Senat, challenged the policy, prompting a lawsuit after their applications for affordable housing in other neighbhorhoods were rejected. Noel challenged the policy because she wanted all city residents an equal opportunity to move to other neighborhoods for a better quality of life.
The settlement compels the city to issue a public statement on its website pledging its commitment to equality and fairness in affordable housing allocation. In addition, the city was told to compensate Noel and Senat $100,000 each for any potential damages.
