Newsweek contributor Kotkin: Bloomberg needs to make a public policy shift away from projects like AY
But as Bloomberg begins his new term, New York needs to reexamine its core economic strategy.Of course, AY is promoted as including more than luxury housing; the questions are how much of the subsidized affordable housing would be available to members of ACORN, which signed an agreement with Forest City Ratner, and how much the housing would cost relative to subsidized housing elsewhere.
...Nurturing these neighborhoods will require a distinct shift in public policy. During the Bloomberg years the big subsidies have gone to luxury condo megadevelopments, sports stadiums, or huge office complexes. Consider the 22-acre Atlantic Yards project in downtown Brooklyn, which will include luxury housing and a new arena for the NBA's Nets; one recent report by the city's Independent Budget Office put the total subsidies provided by the city, New York state, and the transit authority at $726 million and estimated the project will hurt, not help, the city's economy over time.