New York City Department of Housing Preservation and Development

Neighborhood Homes Program: Compliance with Requirements Relating to Building Sales

In the Neighborhood Homes Program, which is administered by the New York City Department of Housing Preservation and Development, not-for-profit housing development companies are to rehabilitate residential buildings that have been repossessed by the City and sell the buildings to owner-occupants. The owner-occupants must meet certain residency and income requirements (e.g., they must be residents of New York City, must live in the purchased building for at least seven years, and their income must not exceed certain levels). We examined the Departmentís controls for ensuring compliance with these requirements. We identified significant weaknesses in the controls and found instances in which the requirements were not met. We recommended that certain actions be taken by the Department to strengthen its controls.

For a complete copy of Report 2006-N-3 click here.
For a copy of the 90-day response click here.
For a copy of the associated follow-up report click here.