citymeetings.nyc

Your guide to NYC's public proceedings.

Q&A

NYCHA's rent arrears and collection trends

0:30:36

·

162 sec

Video Player is loading.

Current TimeÂ 0:00

DurationÂ 0:00

Loaded: 0%

Stream TypeÂ LIVE

Remaining TimeÂ 0:00

Â

Chair Chris Banks inquires about NYCHA's progress with rental arrears, collection trends, and financial projections related to rental revenue.

As of February 28, 2025, NYCHA's rent arrears stood at $545 million, after applying $150 million of state ERAP funds.
The average household in arrears owes around $8,116.
Rent collection rate is around 63% through February 28, 2025.
Despite similar collection rates, NYCHA is collecting more dollars year-over-year.
Two programs are being implemented to address arrears:
COVID rental arrears program through the state ($35 million)
Home ARP program (estimated $125 million)
After these programs, rent arrears are expected to drop to around $360 million.

Chris Banks

0:30:36

Okay.

0:30:38

When it comes to rent arrears, the rent obviously is a critical resource of revenue for NYCHA And the disruption in the rental payments as a result of COVID of the COVID pandemic has been a challenge for the authority.

0:30:55

Can you update the committee on the progress you're making with rental res?

0:31:01

What trends are you seeing with with with and and what concerns you may have?

0:31:10

And is NYCHA's financial plan, which plan reflects the rental revenue of over a billion in 2025, but approximately only, like, 920,000,000 in 2026.

0:31:22

Can you explain the drop, and does it have anything to do with the ERAP funding?

Annika Lescott-Martinez

0:31:27

Sure.

0:31:27

Thank you so much for that question Councilmember Banks.

0:31:30

So as of 02/28/2025, our rent arrears stood at $545,000,000.

0:31:37

This is after we applied a hundred and $50,000,000 of the state ERAP funds.

0:31:42

On average, the households that are in arrears owe around $8,116 which is a considerable sum for low income residents.

0:31:54

You know our rent collection rate is around 63% through 02/28/2025.

0:32:02

The percentage is more or less the same or slightly lower than what we've seen in 2423 but what's really important is that we're actually collecting more dollars.

0:32:12

So for example in 2024 at a 65% rate we collected $993,000,000.

0:32:19

In '23 at 65% rate we collected $962,000,000.

0:32:24

So there is some progress that's being made.

0:32:27

What's drowning out the collection rate is the arrears balance.

0:32:31

It is large, it is difficult for residents to manage.

0:32:34

The good news is we do have two programs we'll be implementing this year.

0:32:39

The first is the COVID rental arrears program through the state, that's around $35,000,000.

0:32:44

We are already submitting a payment file to the state, we've started to receive some funds and we'll be applying those to tenant accounts.

0:32:52

We also have a home art program of a hundred, it's a total of a 50, we conservatively estimate a hundred and $25,000,000 and we're working with our HPD, City Hall and OMB partners on that program.

0:33:05

So we expect that after those two programs our rent arrears should drop to around $360,000,000 Again, large, some certainly but much progress as to where we are today.

← Previous Chapter

State funding commitment for NYCHA in the governor's budget

Next Chapter →

Exploring reasons for non-payment of rent in NYCHA properties