HUD: You Are Getting Scammed By NYCHA. Time To Pay Attention!
/A favorite subject of mine over the years has been the New York City Housing Authority, or NYCHA.
NYCHA operates hundreds of buildings housing some 500,000 people, in some 170,000 +/- apartments, mostly built from the 1950s to the 1970s. Organized on a pure socialist model of public ownership with heavily subsidized rents, NYCHA has followed the trajectory of all socialist schemes ever attempted, having gone from an excited beginning into a long, slow death spiral that has now been ongoing for at least two decades.
When NYCHA was building the buildings, everyone seems to have assumed that bricks and mortar just last forever; so nobody bothered to consider that at some point the capital investment would need to be renewed, or to plan for how that would be done.
By the 2010s, the buildings were turning 40, 50 and even 60 years old. In 2015 NYCHA announced that it had suddenly discovered a need for some $17 billion to fund urgently-needed repairs. Thereafter, the amounts claimed to be needed for such repairs escalated rapidly: by 2021 it was $32 billion; and by 2023 a new “audit” found the “need” to be $78 billion — about $460,000 per unit. And this is for “low income” housing. (For comparison, according to the most recent data from FRED, the median price of a single family house in the U.S. in the second quarter of 2025 was about $410,000.)
So what’s the plan now?