Citywide Zoning Changes Would Make It Easier to Start or Grow a Business, Reduce Storefront Vacancies, Eliminate Rules Preventing 17,000 Businesses in Industrial Areas From Expanding, Legalize Dancing
Mayor Adams Continues “Working People’s Tour,” After City Set All-Time Total Jobs Record and Recovered All of Nearly 1 Million Jobs Lost During Pandemic
New York City Mayor Eric Adams and New York City Department of City Planning (DCP) Director Dan Garodnick today kicked off the public review process for the “City of Yes for Economic Opportunity” proposal, a set of citywide zoning changes that will further fuel the city’s ongoing economic success and pave the way for a more inclusive future. Together, the 18 proposed changes will bolster the city’s industrial sectors, revitalize commercial corridors, foster vibrant neighborhoods, and support growing industries, such as life sciences, nightlife, amusements, and urban agriculture.
The proposal was officially referred by DCP today to local community boards, borough boards, and borough presidents, kicking off the public review process as Mayor Adams continues his “Working People’s Tour,” celebrating New York City’s all-time job record, with 4.7 million total jobs, and the recovery of the nearly 1 million private-sector jobs lost during the COVID-19 pandemic. The second of Mayor Adams’ “City of Yes” proposals, the “City of Yes for Economic Opportunity” proposal will now go to all 59 community boards, as well as all five borough presidents and boroughs boards for review, followed by the City Planning Commission and the City Council.
“Just this month, we celebrated a major victory for New York City’s comeback, hitting an all-time total jobs record. But we were clear then that our work was not done, and the ‘City of Yes for Economic Opportunity’ plan will be the next major victory for our city,” said Mayor Adams. “These 18 changes will unlock family-sustaining jobs for our neighbors, sustained and inclusive growth in our communities, and a vibrant future for our city. New York City is back — now, we’re ready for the next step forward.”
“From making it easier for small businesses open and expand, to encouraging cutting-edge industries like the life sciences, the “City of Yes” will deliver economic opportunities throughout the five boroughs,” said Maria Torres-Springer, Deputy Mayor for Housing, Economic Development, and Workforce. “New York City is already the center of the world economy, but by eliminating outdated rules that stifle entrepreneurship, we can grow even stronger.”
“For too long, small business owners have had to navigate a byzantine mix of outdated zoning rules that have stymied their growth and led to vacant storefronts in our neighborhoods. ‘City of Yes for Economic Opportunity’ will cut the red tape and provide the flexibility needed for our mom-and-pops, and our neighborhoods, to succeed,” said DCP Director Garodnick. “To have a modern economy that works, we need our zoning to meet the moment, and that’s what this proposal will do. We look forward to a robust public review process as we move towards a more prosperous city.”
Boosting Industrial Businesses
“City of Yes for Economic Opportunity” will be the largest support for industrial jobs in the history of New York City’s zoning code. By allowing small-scale clean manufacturing to locate in commercial areas for the first time, it will more than double the space available for businesses like pottery studios, microbreweries, and apparel makers — expanding that area by more than 14,000 acres. It would also create new zoning tools for traditional industrial areas, establishing new “core,” “transition,” and “growth” manufacturing zones — addressing longstanding complaints that overly restrictive manufacturing zoning rules have held back the city’s industrial sector.
Revitalizing Commercial Corridors and Building Vibrant Neighborhoods
“City of Yes for Economic Opportunity” will add much-needed flexibility for local shops looking to open and expand and help reduce storefront vacancies in commercial corridors. It will do so by lifting time limits on reactivating existing, vacant storefronts in historic districts and residential areas; simplifying rules about which business types can locate on commercial streets; modernizing loading dock rules so buildings can adapt over time; enabling commercial activity on upper floors, provided there is separation from any residential uses; and updating business classifications in zoning to match the modern economy.
This initiative will also foster vibrant neighborhoods by encouraging safe and sustainable micro-distribution deliveries, reducing conflicts between auto repair shops and pedestrians, and introducing urban design rules to ensure new buildings are contributing to the interactivity of their neighborhoods. In addition, “City of Yes for Economic Opportunity” will create new processes to consider commercial space on large residential campuses, corner stores in residential areas, and waivers for business adaptation and growth.
Support Growing Industries and Nightlife
The proposal will also support key industries that help drive the city’s economic growth but face unique zoning challenges, including urban agriculture, life sciences, nightlife and entertainment, amusements, and home-based businesses. As part of the proposal’s changes to modernize nightlife and entertainment regulations, it would shift restrictions on dancing to be tied to a venue’s capacity, rather than arbitrary zoning districts — removing the last vestige of the often-discriminatory Cabaret Law from New York City’s zoning code.
An annotated version of the full text of the initiative, shared with community boards as a part of DCP’s work to be transparent and collaborative with New York communities earlier this month, is available online. The text amendment will now be referred to all 59 community boards, all five borough presidents, and all five borough boards for review within 60 days. After those 60 days, the City Planning Commission will hold a public hearing and vote. If the commission approves the proposal, it will go to the City Council for a hearing and vote.
“City of Yes for Economic Opportunity” is the second component of Mayor Adams’ three-part “City of Yes” plan, comprised of three bold, citywide zoning text amendments that will modernize the city’s zoning to foster a greener, more affordable, more prosperous city — instead of allowing outdated zoning rules to hinder the city’s goals and growth. The first, “City of Yes for Carbon Neutrality,” was approved by the City Planning Commission in September and will be voted upon by the City Council later this fall. The third, “City of Yes for Housing Opportunity,” is undergoing environmental review and will be referred for public review in spring 2024.
“These proposed changes are long overdue and reflect this administration's commitment to being the City of Yes,” said New York City Department of Small Business Services Commissioner Kevin D. Kim. “Archaic and onerous zoning restrictions have held back the full potential of New York City's entrepreneurs for too long. Through these common-sense reforms, New Yorkers in every neighborhood will have an easier time starting, growing, and operating their small businesses.”
“To reach a more equitable, sustainable, healthy Food Forward NYC by 2031, our food system must do even more to drive economic opportunity and provide good jobs,” said Mayor’s Office of Food Policy Executive Director Kate MacKenzie. “Through groundbreaking ways of addressing zoning challenges that have historically been a barrier to small-scale food and beverage production in commercial districts and residential-district retail operations, ‘City of Yes’ for Economic Opportunity will bring the kind of support to local food businesses and M/WBE vendors that will enable us to make even bigger strides in ensuring equitable access to good food across all New York City neighborhoods. We thank this administration and DCP Director Garodnick for their partnership and this critical investment in the city’s good food infrastructure.”
“This initiative creates exciting new economic opportunities for the food and urban agriculture sector, while also removing barriers to locating and expanding urban agriculture businesses and activities in New York City,” said Mayor’s Office of Urban Agriculture Executive Director Qiana Mickie. “The proposed forward-looking policy changes include allowing light-industrial businesses that process food or manufacture value-added food products in commercial districts, allowing enclosed agriculture within commercial districts, and permitting rooftop greenhouses on non-residential buildings. They also address confusing rules for composting by clarifying that small-scale composting can be considered an ‘accessory use’ and that neighborhood-focused recycling facilities can be in commercial storefronts. City of Yes directly supports our efforts to advance environmental justice and food equity, while creating opportunity in the green economy.”
“The City of Yes for Economic Opportunity is a key example of the Adams Administration's commitment to maximizing urban design to fuel economic growth and generate good-paying jobs for New Yorkers,” said NYCEDC President and CEO Andrew Kimball. “After celebrating the city's historic jobs recovery milestone, we are excited about this rezoning plan and how it will support key industries, grow businesses, and help create a more vibrant, inclusive, and globally competitive economy for all New Yorkers.”
“By tackling burdensome and outdated regulatory constraints, the Adams administration is paving the way for local business to contribute to and take part in a thriving economic recovery,” said B.J. Jones, executive director “New” New York. “The commonsense reforms included in the City of Yes for Economic Opportunity will help entrepreneurs who want to start new businesses, local stores seeking to expand, and building owners who want to activate vacant storefronts, revitalizing commercial corridors in neighborhoods across the city.”
“Now that the historically discriminatory Cabaret Law was repealed, we applaud Mayor Adams for taking the next critical step to eliminate the dancing prohibition at so many of our city’s restaurants, bars, and nightclubs,” said Andrew Rigie, executive director, NYC Hospitality Alliance. “This is not Footloose, and the city should not be telling businesses their customers can’t dance, rather they should encourage self-expression through dance and support our small businesses, while implementing proper safety protocols and policies at our local venues. We look forward to working with Mayor Adams’ Administration, Director Dan Garodnick of the Department of City Planning, and the City Council to get our city’s groove back.”
“In this uncertain economic environment, entrepreneurs and property owners need to be able find creative uses for ground floor retail space," said Jessica Lappin, president, The Alliance for Downtown New York. “These proposed zoning text amendments will go a long way towards encouraging the sort of creativity that is needed to develop the retail corridors of the future.”
“Our city is ready to advance our economic and environmental resilience,” said Derek Pitts, CEO, Farm. One Inc. “This proposal is a crucial step towards creating an environment where businesses can advance innovation where New Yorkers need it most – right in their local neighborhoods. Supporting sustainability-minded industries that have legacy zoning challenges is an incredibly pragmatic approach.”
“For more than half a century, economic growth in many parts of the city has been stunted by obsolete zoning laws and regulations,” said Kathryn Wylde, president and CEO, Partnership for New York City. “The City of Yes proposals are designed to ensure that we are no longer putting unnecessary obstacles in the way of business investments and job creation across the five boroughs.”
“City of Yes represents a shift from pandemic recovery to economic renewal. The proposed changes to zoning that Mayor Adams has put forward reflect this administration’s desire to strengthen our local economic engines while creating the launchpad for the newest and promising industries to take off,” said Gregory J Morris, CEO, New York City Employment and Training Coalition. “With these changes in place our small businesses will do better, our commercial corridors will be more active, and our commitment to economic development and workforce development will be clear and sustainable. By committing now to the mayor’s bold vision - from manufacturing expansion to the modernization of nightlife regulations - and working in partnership to see it through, we can truly be the city we aspire to be in service to generations to come."
“Evergreen believes that thoughtful updates to manufacturing zoning can reduce burdens on industrial businesses that wish to expand, thereby increasing the number of working-class jobs in NYC,” said Leah Archibald, executive director, Evergreen . “We look forward to working with DCP to develop a modern zoning code that protects New York City manufacturers today and nurtures industrial job growth in the future."
“New York City’s zoning regulations have remained unchanged for decades, limiting the potential for growth and innovation for small businesses and entrepreneurs across the city,” said Maulin Mehta, New York director, Regional Plan Association (RPA). “The City of Yes for Economic Opportunity reform proposals are an opportunity to create vibrant commercial corridors, not just in Manhattan but all five boroughs — a crucial component to economic equity discussed in RPA’s Fourth Regional Plan. We applaud Mayor Adams and his administration for their commitment to creating a streamlined, intuitive zoning code.”
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