Affordable Housing Developers Bristle as NYC Pauses Voucher Reprieve in Section 610 Controversy
Section 610 program, which allowed landlords to collect full value of federal rent vouchers, is now on pause with slim chances of revival.
Affordable housing developers in New York City are feeling the heat as the city pauses its voucher reprieve in the Section 610 controversy. For three years, developers had the option to collect the full value of federal rent vouchers through the program, but now its chances of returning are slim.
The program, known as Section 610, allowed landlords to collect the full value of a federal rent voucher when it exceeded the rent amount. However, the funding for these vouchers came from the federal Section 8 program, which was put in jeopardy in March. As a result, the city paused authorizations, leaving developers in a tight spot.
In July, the final nail seemed to be put in the coffin when New York State's housing department announced they would no longer be authorizing any new vouchers through Section 610. This decision has left many developers frustrated and uncertain about the future of affordable housing in the city.
"Section 610 was a lifeline for us," said one developer who wished to remain anonymous. "It allowed us to still receive full rent payments even when the voucher amount exceeded the rent. Without it, we're left scrambling to make up the difference."
With the future of Section 610 looking bleak, many affordable housing developers are left wondering how they will continue to operate and provide much-needed housing for low-income residents in the city.
https://therealdeal.com/new-york/2025/09/15/nyc-affordable-housing-players-hope-for-section-610-revival/