CB2 committee signals support for 126 Lafayette MIH application; developers to seek tax abatement

The CB2 Land Use and Housing Committee on Sept. 10 signaled advisory support for a Mandatory Inclusionary Housing (MIH) application for 126 Lafayette Street, a proposed mixed‑use development that the project team said would contain 99 residential units, including 25 affordable apartments.

The project team — led by attorney Ting Packa of Adler & Stachenfeld and representatives of High Street Residential — told the committee the building would provide 74 market‑rate and 25 affordable units (about 25.5% of the total) under MIH Option 1. The affordable portion, the presenters said, would meet the MIH unit‑type requirements by allocating a majority of the affordable apartments as two‑bedrooms and distributing affordable units across most residential floors.

Committee members said they appreciated the addition of affordable units but pressed the team on several technical points, including unit mix, FAR, on‑site amenity access for affordable households, and whether the project would use public subsidies. The developers said they will not be taking direct city subsidies for the project but plan to apply for the city tax incentive described in the presentation as “4 85 x tax abatements.” Developers also said the building is designed to comply with local zoning height and setback limits for the S & X Soho/Noho Mixed Use District.

Why it matters: The MIH rules adopted with recent rezonings are the principal mechanism for producing on‑site affordable housing in neighborhoods like Soho and NoHo. The committee’s advisory recommendation will be included in the project’s HPD MIH filing and may shape conditions requested by local elected officials.

Key details - Proposed total residential units: 99 (25 affordable; 74 market rate). - Affordable mix: team reported about 52% of the MIH units are two‑bedrooms, with the remainder one‑bedrooms and studios by MIH rules; they said they are meeting the MIH distribution requirement across more than the minimum number of floors. - Zoning/FAR and massing: the presenters said they are building close to the maximum allowable floor area for the lot and described a stepped massing that sets back twice above a contextual base height. - Amenities and access: presenters said finishes and access to shared amenities would be comparable for affordable and market units; ownership is proposing not to charge affordable tenants amenity fees while market tenants may pay for some services. - Subsidy/finance: presenters said there is no direct public construction subsidy; they intend to pursue the tax abatement program referenced as “4 85 x” and will apply under the MIH program administered by the Department of Housing Preservation and Development (HPD).

Committee reaction and next steps Committee members asked for follow‑up materials (floor plans, MIH unit distribution tables and the full presentation). The board indicated support for the MIH application and asked the applicant to supply the documents discussed so the full board can consider an advisory resolution. Members also requested clarity on tenant utility allocations and whether any amenity fees would apply to market tenants.

What remains unresolved: The committee asked for the final, legible MIH distribution slide and confirmation of the tax‑abatement application timeline. The developers said they would submit the requested documents to the board and HPD as part of the MIH filing process.

Ending The committee’s advisory support will be transmitted to HPD with the committee’s questions and requests for additional materials; the developers said they will send revised and higher‑resolution plans and MIH tables for the board to include in its formal recommendation to HPD.