New York Assembly Bill A07679

New York 2025-2026 Regular Session

• Introduced: 4/4/25
• Refer: 4/4/25
• Refer: 1/7/26

Caption

Establishes the vacant rental improvement program to provide grants of up to $75,000 per unit to owners of buildings with five or fewer units.

Summary

A07679 would create a new “vacant rental improvement program” within the New York private housing finance law to help finance repairs and rehabilitation of small rental properties outside New York City. The Housing Trust Fund Corporation would be authorized, subject to appropriation, to award capital grants of up to $75,000 per unit to owners of buildings with five or fewer units, with priority for units that are vacant or have outstanding code violations. The bill’s stated purpose is to address the shortage of safe and affordable rental housing in upstate New York and to support stable housing outcomes tied to employment, education, and health. In exchange for receiving grant funds, property owners would have to enter into a regulatory agreement requiring the renovated units to be rented at an affordable rate to households earning no more than 80% of area median income for ten years beginning with the first lease after renovation. If an owner violates the agreement, the grant funds could be recouped in full, and the affordability restriction would continue even if the property is sold. The bill also directs the Housing Trust Fund Corporation to adopt rules governing eligibility, applications, disbursement, and compliance, and it creates a dedicated rental improvement fund in the state finance law to support the program.

Impact

The bill would amend the private housing finance law by adding a new article establishing the grant program and affordability conditions, and it would amend the state finance law to create a dedicated rental improvement fund for program expenditures. It would primarily affect owners of small residential buildings with five or fewer units located outside cities of one million or more residents, as well as the Housing Trust Fund Corporation, the state comptroller, and the Division of Housing and Community Renewal through fund administration and rulemaking. The measure would not itself appropriate money, but would authorize use of appropriated or transferred funds for grants tied to rehabilitation of vacant or noncompliant rental units.

Sentiment

The available context suggests generally favorable sentiment toward the bill’s housing-rehabilitation goals, with the measure framed as a response to a shortage of safe and affordable rental housing in upstate New York. Because there are no committee transcripts or recorded votes provided, there is no documented opposition or support from floor debate in the supplied materials. The bill’s structure indicates a policy preference for using public funds to leverage private rehabilitation of small rental stock while preserving affordability for a decade.

Contention

The main points of potential contention are likely to be the use of public money for private property improvements, the size of the grant award, and the long-term affordability restrictions imposed on owners. Property owners may view the ten-year income restriction and recoupment provisions as burdensome, while housing advocates may support them as necessary safeguards to ensure public funds produce lasting affordability. Another possible issue is the bill’s geographic scope, which excludes New York City and focuses on smaller buildings outside the city, potentially raising questions about regional equity and program targeting.