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State Comptroller Thomas P. DiNapoli released a report recommending concrete actions needed to improve building conditions, protect tenant health and safety, and strengthen management practices in New York’s Mitchell-Lama housing developments. The report found that chronic oversight deficiencies by city and state agencies have led to unsafe living conditions, financial mismanagement and prolonged vacancies, leaving thousands of affordable apartments at risk or unoccupied.
“Too often, serious problems in Mitchell-Lama buildings were identified but not resolved,” DiNapoli said. “When state and city agencies fail to ensure necessary repairs are made, unsafe conditions persist and New Yorkers who need affordable apartments can’t access them. Immediate action on our recommendations is needed to address the many issues these audits found and safeguard one of New York’s most important affordable housing programs.”
DiNapoli’s report reviewed five audits conducted between 2019 and 2025, covering conditions at 26 Mitchell-Lama housing developments in New York City and statewide, which revealed systemic oversight failures across the Mitchell-Lama program by both the New York City Department of Housing Preservation and Development (HPD) and the State Division of Housing and Community Renewal (DHCR).
HPD- and DHCR-supervised Mitchell-Lama developments include approximately 93,000 housing units statewide and remains one of the few long-term affordable options for middle-income New Yorkers. When unsafe conditions go unaddressed or apartments remain vacant, those units are effectively removed from the housing supply.
In response to these findings, DiNapoli’s report recommends the following actions:
Safety & Inspections
- Require corrective action whenever inspections identify unsafe conditions.
- Establish clear repair timelines and verify that fixes are completed.
- Enforce required annual inspections of apartments and buildings; ensure inspection reports are completed, reviewed and acted upon.
- Improve communication so hazards are promptly shared with responsible parties and addressed.
Financial Accountability & Governance
- Require proper documentation, including invoices and receipts, for all spending.
- Increase monitoring and accountability of managing agents; require training on fiduciary duties and good governance, and take corrective action when agents fail to comply.
Vacancy Management
- Enforce vacancy timelines and require action plans for apartments vacant beyond allowable limits.
“The Mitchell-Lama program has long been a bastion of affordable housing for generations of New Yorkers,” said Assemblymember Linda B. Rosenthal, Chair of the Assembly Housing Committee. “State Comptroller DiNapoli's most recent report, as well as previous audits, however, prove what I have been saying for years: without proper stewardship at the city and state level, these critical units are falling into an unforgivable state of disrepair. That’s why as chair of the Assembly Committee on Housing, I’ve led the fight to allocate additional funding for these cash-strapped developments, reduce the shelter rent tax and, of course, strengthen the state and city’s financial and physical oversight of Mitchell-Lama developments. We must continue to use every tool at our disposal to preserve these vital housing units.”
“Mitchell-Lama developments remain a vital source of stable, affordable housing for thousands of Manhattan residents,” said Manhattan Borough President Brad Hoylman-Sigal. “I’m grateful to State Comptroller DiNapoli for shining a light on these oversight failures and putting forward concrete recommendations to improve conditions and accountability. Our city and state agencies should act quickly to ensure these homes are safe, well-managed, and available to the New Yorkers who rely on them.”
"Safe, stable housing is a fundamental human right — something every single New Yorker is entitled to,” said Queens Borough President Donovan Richards. “But for far too many of our neighbors living in Mitchell-Lama housing, the conditions of their homes have been allowed to degrade without relief, all while other apartments continue to sit vacant in the midst of a housing crisis. I join State Comptroller DiNapoli in calling for unacceptable conditions in Mitchell-Lama housing units across the city to be immediately addressed, as well as for a renewed sense of urgency in getting families in need of housing into apartments that have sat vacant for months."
"New Yorkers deserve clean, safe and livable and financially-sound housing wherever they live,” said State Sen. Zellnor Myrie. “I'm grateful to Comptroller DiNapoli and his team for this important report on the Mitchell-Lama Housing program and look forward to continuing our work together to address the affordable housing crisis in our state.”
“Mitchell-Lama developments are a vital source of affordable housing for thousands of New Yorkers,” said State Sen. Jose Serrano. “These findings underscore the importance of strong oversight and accountability to ensure buildings are properly maintained, vacant apartments are returned to use, and residents have safe living conditions. Addressing these issues is essential to preserving the long-term stability of the Mitchell-Lama program.”
“Across Senate District 23, thousands of New Yorkers live in Mitchell-Lama housing, and many of them are older adults living on a fixed income,” said State Sen. Jessica Scarcella Spanton.“ As affordability, especially as it pertains to finding stable housing, remains a top issue statewide, Mitchell-Lama is one of the few options available for middle-income people. As a state, we need to ensure that these apartments remain safe, livable, and affordable.”
"For far too long, families across Queens who live in Mitchell-Lama housing have had to endure long wait times to get necessary repairs made to basic infrastructure,” said State Assemblymember Khaleel M. Anderson. “And yet, there are still years long waiting lines for folks who wish to move into these developments, because that's how serious our city's housing crisis has become. This report by the State Comptroller's office lays common sense recommendations, such as establishing clear and appropriate timelines for repairs, verification that such fixes were made, and to enforce corrective action when apartments sit vacant for months at a time. We can't raise healthy families under leaky ceilings, or on snow-filled streets as they wait for their turn in line. It's now up to us to act on these recommendations, and I am committed to working with my colleagues in Albany to deliver on these changes for our communities."
"I'm happy that the State Comptroller has continued to pursue this report on behalf of residents of Mitchell-Lama developments," said State Assemblymember Phara Souffrant Forrest. “Tivoli Towers, in Crown Heights, is a clear example of the need for accountability and action from government leadership. I look forward to working with the state comptroller's office and NYC HPD to ensure that the residents of Tivoli Towers no longer have to endure the neglect and mismanagement they have lived with for so many years."
“Mitchell-Lama developments have long been a cornerstone of affordable housing for working- and middle-income New Yorkers,” said State Assemblymember Al Taylor. “In my district, residents of Esplanade Gardens have experienced firsthand how weak oversight and management failures can affect safety, building conditions, and quality of life. That is why strong accountability and transparency are so important. I commend State Comptroller DiNapoli for shining a light on these issues and outlining steps to strengthen oversight, ensure necessary repairs are made, and return vacant affordable units back into use.”
"Protecting our Mitchell-Lama Housing Program means ensuring residents live in safe, well-maintained homes with real accountability,” said State Assemblymember Jordan J.G. Wright. “We must enforce inspections, guarantee timely repairs, and demand financial transparency from those entrusted to manage these developments. Our seniors and working families deserve housing that is not only affordable, but properly cared for and protected.”
“Mitchell-Lama has long been a cornerstone of affordable housing and a pathway to homeownership for middle-income New Yorkers, but the conditions outlined in the Comptroller’s report—from broken fire doors and mold to serious gaps in financial oversight—are simply unacceptable,” said State Assemblymember Emérita Torres. “Tenants should never face unsafe living conditions while their housing costs continue to rise. That’s why I have allocated $4 million to assist with critical repairs at Evergreen Gardens, ensuring that residents receive the safe, well-maintained housing they deserve. This audit must lead to swift action to repair hazardous conditions, strengthen oversight, and restore Mitchell-Lama’s promise of safe, affordable housing for generations of New Yorkers.”
“Mitchell-Lama housing has long been a critical lifeline for middle-income New Yorkers, but this report makes clear that too many residents are living with unacceptable conditions and too little oversight,” said New York City Council Speaker Julie Menin. “At a time when our city is facing a historic housing crisis, we must ensure these developments are safe, well-managed, and fulfilling the promise of affordable housing they were built to provide. I thank State Comptroller DiNapoli for shining a light on these issues, and the Council looks forward to working with our partners across government to strengthen oversight and protect this vital housing stock.”
“Mitchell-Lama developments are a critical source of affordable housing for middle-income New Yorkers, but too many residents are living with unacceptable conditions while apartments sit vacant,” said New York City Council Member Gale A. Brewer. “The findings in the State Comptroller’s report make clear that stronger oversight and accountability from both the city and state are urgently needed. We must ensure repairs are made promptly, management practices are transparent, and every available apartment is returned to the housing supply.”
“Mitchell-Lamas remain a vital pathway that middle-income New Yorkers depend on for stable, affordable housing,” said New York City Council Member Amanda Farias. “The conditions outlined in this report reflect concerns that residents have raised for years about building maintenance and oversight. I thank Comptroller DiNapoli for bringing renewed attention to these issues and reinforcing the lived experiences of many of our constituents. It is also why I allocated $23 million in funding for Mitchell-Lama developments, including $1.25 million specifically for Evergreen, so these buildings receive the investments needed to maintain safe, stable homes for the families who rely on them.”
"New Yorkers deserve safe, well-maintained, and truly affordable housing,” said New York City Council Member Kamillah Hanks. “The conditions in some of our Mitchell-Lama buildings are unacceptable and cannot continue. The city and state must take immediate action to address unsafe conditions, hold management accountable, and ensure that every vacant unit is made available to families who are waiting for stable housing.”
“Since I first began running for office, I heard time and again from constituents about the numerous issues facing Tivoli Towers, from unaddressed collapsed ceilings & mold to questions about how funds were being spent and why rents continued increasing,” said New York City Council Member Crystal Hudson. “State Comptroller DiNapoli’s audit lays bare what we all knew for so long: Many Mitchell-Lama developments are in poor physical condition and have limited oversight over their finances, resulting in long-term vacancies for high-demand middle-income housing. I look forward to working with lawmakers in Albany and my colleagues in the Council to fight for greater resources to ensure the sustainability of this vital middle-income housing program for generations to come.”
"The report exposes the dangerous reality many Mitchell-Lama residents face: families living with collapsed ceilings, pervasive mold, and pest infestations, while thousands of apartments sit empty in a city where so many are struggling to find affordable housing,” said Rob Solano, Executive Director of Churches United For Fair Housing (CUFFH). “These conditions put tenants’ health, safety and stability at risk every single day and are absolutely unacceptable. City and state agencies must act immediately to repair unsafe conditions, enforce financial accountability, and return vacant units to use. Protecting tenants and ensuring access to safe housing requires systemic change and real oversight, and we thank the State Comptroller’s Office for uncovering these critical issues. CUFFH stands ready to support addressed these issues without delay."
“The Mitchell-Lama community is grateful for the many audits of Mitchell-Lama rentals and co-ops that have been completed by State Comptroller DiNapoli,” said Jackie Peters, Co-Chair Mitchell-Lama Residents Coalition. “Also, the audits included developments under NYC supervising agency, HPD and the State supervising agency HCR. These audits enumerate the many problems, and most importantly include suggested remedies. This gives me hope. A blueprint has been provided, proof of dysfunction is clear. Let’s make the needed changes.”
"Special thanks for the work of Comptroller Thomas DiNapoli, and his hard working staff, auditing and revealing serious problems in Mitchell-Lama developments," said Adele Niederman, President of Cooperators United for Mitchell-Lama (CU4ML). "With the information revealed by the audits we can begin to repair our buildings and restructure regulations to recover from these deficiencies and protect the future growth of Mitchell-Lama across our city and state. We are proud of our Mitchell-Lama communities as the best example of social housing."
Recurring issues found in the audits:
Poor Physical Conditions. Audits identified hazardous or unsafe conditions, as well as issues affecting building structures, at 12 of the 15 developments examined statewide, including all 10 sampled New York City developments. Unaddressed structural deficiencies, including collapsed ceilings and walls, can lead to persistent moisture and rapid property deterioration, and create environments ripe for secondary damage. For example, of the 10 New York City developments examined, auditors found pervasive mold at eight and pest infestations at six.
Many of the physical conditions identified from the auditors’ inspections had been included in DHCR and HPD reports, some of which had gone uncorrected for years, including class C health maintenance code violations, which are violations that pose a high risk and require immediate corrective action.
Insufficient Fiscal Oversight. DiNapoli’s audits found that weak financial controls enabled spending without required documentation, required approvals or competitive bidding, even as developments operated at a loss. These practices diverted limited resources from building maintenance and repairs, worsening physical conditions and increasing financial instability.
An audit issued in January 2026 covering multiple years found that Evergreen Gardens (Bronx) paid nearly $4 million to vendors without evidence of required competitive bidding or HPD approval. Auditors also identified unsupported expenses and a settlement payment lacking basic documentation such as invoices or receipts occurring while the development was operating at a financial loss and faced significant maintenance needs.
Long-Term Vacancies. Audits determined that weak oversight allowed apartments to sit vacant for months or years, even as waiting lists grew and New Yorkers struggled to find housing. Prolonged vacancies reduced rental income needed for maintenance and repairs, undermined developments’ financial health, and removed affordable units from use during a statewide housing crisis.
A July 2021 audit that examined 2019 vacancy activity found that New York City HPD-supervised Mitchell-Lama developments took an average of 222 days, nearly twice the allowed timeframe, to fill vacant apartments. Of the 1,286 apartments reported as turned over that year, more than 200 remained vacant for a year or longer, costing millions of dollars in lost rental income and limiting access to affordable housing.
New York has made sizable investments for the preservation and rehabilitation of housing stock, including $440 million in capital appropriations since State Fiscal Year 2023, as well as enhanced tax abatements to support financial viability. DiNapoli’s report said the state and city must also improve transparency, enhance reporting, and better monitor and enforce maintenance, financial and other standards so these investments can meaningfully contribute to the improvement of Mitchell-Lama housing.
Report:
Audit Findings: Improvements Needed to Mitchell-Lama Program
Photos:
drive.google.com/drive/folders/13ikq6SQz-gXTpfeJi5pytWEP-Msk0iLG?usp=drive_link
Related Work:
New York City Department of Housing Preservation and Development Physical and Financial Conditions at Selected Mitchell-Lama Developments
Physical and Financial Conditions at Selected Mitchell-Lama Developments
Mitchell-Lama Vacancies (Follow-Up)
New York City Department of Housing Preservation and Development Mitchell-Lama Vacancies
Physical and Financial Conditions at Selected Mitchell-Lama Developments in New York City (Follow-Up)
Division of Housing and Community Renewal: Physical and Financial Conditions at Selected Mitchell-Lama Developments in New York City