An audit of three affordable housing complexes in New York City found a range of unsafe living conditions and more than $1 million in “questionable spending,” according to a report released by New York State Comptroller Thomas P. DiNapoli’s office.
The audit examined three developments in the city’s Mitchell-Lama program—York Hill in Manhattan, Arverne/Nordeck in Queens and Arlington Terrace/North Shore on Staten Island. Among the issues uncovered were exposed nails, mold, collapsed ceilings, pest infestations, exposed wiring and unsafe building façades.
“The conditions identified in this audit are unacceptable,” DiNapoli said in a statement. “The city needs to do a much better job overseeing the Mitchell-Lama program and ensure funding for these buildings goes toward their maintenance.”
The Mitchell-Lama program, which was created in 1955, provides affordable housing to middle-income families. While the buildings are privately owned, the New York City Department of Housing Preservation and Development oversees 93 Mitchell-Lama developments across the city, totaling approximately 46,902 apartments as of February, according to the comptroller’s office.
In recent months, some state senators have considered creating a similar program to help with the ongoing housing affordability crisis.
In addition to the unsafe conditions, the audit revealed $1.6 million in spending at the three developments that was “either unrelated to normal operations or were inadequately supported with financial documentation,” according to the report.
Auditors also estimated that the complexes lost $1.5 million in rental revenue due to long-term vacancies. The reasons given for the extended vacancy periods, the report said, included HPD’s delays in inspecting and approving vacant units at Arlington Terrace/North Shore and units “deemed uninhabitable” at Arverne/Nordeck.
In an emailed statement, HPD spokesperson Ilana Maier said the department was working on improving oversight of the complexes.
“For decades, the Mitchell-Lama program has provided affordable housing for our communities, but in recent years many Mitchell-Lama’s, which are privately owned and independently run, faced maintenance challenges,” Maier said. “Our team is working diligently to assist in the preservation of these critically needed apartments so that they are both affordable and safe. Our focus is on improving oversight and ensuring that funding goes where it’s needed most — toward maintaining these buildings.”
Calls for increased oversight have come from both city and state officials.
New York City Public Advocate Jumaane Williams urged the city to resolve the issues highlighted in the audit, saying, “Housing is a human right, and reforms need to be made to ensure tenants can live with dignity.”