Despite Reforms, Environmental Reviews and Permits Still Hamper NYC Housing Construction
Despite Reforms, Environmental Reviews and Permits Still Hamper NYC Housing Construction
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July 24, 2025 | New York City
While New York City has introduced several initiatives to accelerate housing development, two major roadblocks remain: the city’s complex permitting system and the state-mandated environmental review process. According to the city’s Charter Revision Commission, these challenges are beyond the scope of local charter changes and need broader government intervention.
The “Get Stuff Built” initiative by Mayor Eric Adams has made modest improvements to the city’s permitting system. However, delays still plague many projects due to the overlapping responsibilities of numerous agencies. Similarly, the state’s environmental review process remains a significant hurdle, with a 2022 report revealing that many developments spend nearly two years completing reviews before even reaching the city’s formal land use process (ULURP).
The city's “Green Fast Track” program, launched last year, aimed to exempt smaller developments from environmental review if no adverse impact was anticipated. Yet, in its first year, only three projects qualified under this exemption. Lawmakers have proposed expanding exemptions for larger affordable housing projects, similar to recent moves in California, but such changes stalled in the state Assembly.
With limited progress at the city level, many in the industry argue that substantive reform must come from Albany. Until then, developers and housing advocates warn that New York’s housing shortage may persist, even as demand continues to grow.
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