Mayor Eric Adams, NYCHA, Essence Development and Related Companies announce adoption of Master Development Agreement, signaling start of next phase of repair work at Fulton and Elliott-Chelsea Houses

Today, Mayor Eric Adams, Essence Development and Related Companies, together with the New York City Housing Authority (NYCHA), announced the adoption of a Master Development Agreement, signaling the next phase of work at Fulton and Elliott-Chelsea Houses, NYCHA developments located in the Chelsea neighborhood of Manhattan. This important step follows years of community engagement whereby residents of Fulton and Elliott-Chelsea Houses selected Essence Development and Related Companies to be their Permanent Affordability Commitment Together (PACT) partners and lead the project as co-developers. With the Master Development Agreement in place, the Bridge Plan will provide repairs, resources, and improvements to residents of Fulton and Elliott-Chelsea as they await the construction of new homes.  

Laying out the terms, conditions, and expectations for the project as a whole, the Master Development Agreement – a common tool utilized by government on multiphase projects with longer-term timelines – serves as a roadmap for the redevelopment at Fulton and Elliott-Chelsea. The agreement additionally memorializes key project principles and priorities intended to protect the interests of residents as they prepare to move into new apartments:  

1. One-for-one replacement: All existing NYCHA apartments will be replaced with new, high-amenity permanently affordable homes;
2. Build first: The vast majority (94 percent) of households will remain in their existing apartments while NYCHA replacement buildings are constructed, thus avoiding the need for temporary relocation;
3. A dignified transition: The Bridge Plan will add capacity to NYCHA property management with additional security, pest control, building system repairs, and in-unit repairs while the replacement buildings are being constructed;
4. Comprehensive, equitable planning: The campuses will be reimagined as mixed-income, mixed-use communities that are better integrated into the surrounding neighborhood and provide crucial new affordable housing and other amenities, including new community facilities and neighborhood retail;
5. Resident-led community planning: As has been the case from the outset of this project, resident voices and expertise will be centered in the planning and design of each campus, culminating in the creation of a Master Plan to guide the overall redevelopment;
6. Right to remain and right to return: All resident rights will be preserved through NYCHA’s PACT program. Federal rules mandate that residents have the right to a new apartment on their home campus or the right to return should temporary relocation be necessary;
7. Collaborative process: NYCHA and the PACT partner are committed to continuing existing and creating new partnerships with public and private stakeholders, businesses, non-profits and voluntary organizations for the benefit of NYCHA residents and project goals. 

“All New Yorkers, especially our residents in public housing, deserve to live in safe, high-quality, and dignified housing — and for the first-time ever in city history, we are completely rebuilding existing NYCHA developments through PACT and ensuring that all existing residents will have brand new apartments on their home campuses,” said New York City Mayor Eric Adams. “Together with NYCHA, and PACT partners like Essence Development and Related Companies, we are rewriting the future of public housing across New York City by investing in the very people who too often are left behind. After years of community engagement, today’s agreement is a critical step forward in fulfilling our duty to deliver for residents of NYCHA’s Fulton and Elliott-Chelsea Houses. I look forward to continued collaboration with all of our partners to deliver on the investments that NYCHA residents want and deserve.”

“The Fulton and Elliott-Chelsea Master Development Agreement and the Bridge Plan are an example of this administration's focus on ensuring that NYCHA communities have safe, quality, affordable housing, both for existing generations and those to come,” said First Deputy Mayor Maria Torres-Springer. “We need action to guarantee the well-being of NYCHA residents, so I thank Fulton and Elliott-Chelsea Houses residents, NYCHA, and the Essence and Related teams for acting urgently and deliberately – all while guaranteeing resident rights and that tenant voices are heard every step of the way - as we embark on the next phase of this work together.”

“This Master Development Agreement and Bridge Plan represent years of hard work and collaboration between Fulton and Elliott-Chelsea residents, NYCHA, and PACT Partners,” said Executive Director for Housing Leila Bozorg. “I’m especially glad to see that NYCHA residents will benefit from the Bridge Plan, which will provide residents with the dignified transition they deserve as future phases of this important project come to fruition.”

“The Board was pleased to approve an important next step in NYCHA’s transformation,” said Chairman of the NYCHA Board of Directors Jamie Rubin. “The Board carefully considered the Master Development Agreement on its merits and also took particular note of the years of close consultation between NYCHA, its residents and other community members. Fulton and Elliott-Chelsea residents can expect in the coming years that they will live in safe and permanently affordable housing thanks to the work their neighbors and NYCHA have put into crafting this plan.”

"We are excited to embark on this next phase of work at Fulton and Elliott-Chelsea Houses, which represents a significant step toward enhancing the quality of life for our residents," said NYCHA Chief Executive Officer Lisa Bova-Hiatt. "The Bridge Plan not only addresses immediate needs through vital repairs and improvements, but is also anchored in the Master Development Agreement, which sets the stage for delivering safe, modern housing and amenities for generations to come. We are deeply committed to collaborating with our residents and partners to realize this vision." 

“With the adoption of the Master Development Agreement, our PACT partners and NYCHA will continue our collaborative planning process with residents at Fulton and Elliott-Chelsea to create a comprehensive redevelopment plan for their community," said NYCHA Executive Vice President for Real Estate Development Jonathan Gouveia. "We are also pleased that NYCHA residents will see improved property management services with the Essence and Related team supporting NYCHA with repairs, pest management, and enhanced security at all of the developments."  

"We are pleased to be able to begin this critical work for residents that will provide immediate quality of life improvements until we can complete the comprehensive development plan – that will bring new and safe housing these NYCHA residents deserve,” said Jamar Adams, Founder of Essence Development. “We'd like to thank the hundreds of residents that took the time to make their voices heard, as well as NYCHA and the Citizens Housing & Planning Council for overseeing a first-of-its-kind process. We look forward to the continued work with the residents, NYCHA, and the broader Chelsea neighborhood to deliver for this community.”

"We’ve had a longstanding commitment to creating more affordable housing in West Chelsea, and we are grateful to be able to execute on the vision the residents of Fulton and Elliott-Chelsea Houses have laid out for a bright, new future," said Bruce A. Beal, Jr., President of Related Companies. "Everyone deserves a safe, clean home, and this work is vitally important to improving not just apartments, but the lives of thousands of NYCHA residents who have already waited too long. We look forward to continuing this collaborative process and ultimately delivering Fulton and Elliott-Chelsea tenants the new homes they deserve."  

The Master Development Agreement outlines the phasing of all project closings and milestones and ensures that all NYCHA replacement buildings are completed and residents moved to their new homes before the completion of any mixed-use buildings on the campus. The first two NYCHA buildings can be constructed within current zoning regulations and are expected to begin construction shortly following the U.S. Department of Housing & Urban Development’s (HUD) approval of Environmental Review in 2025. In addition to phasing timelines, the agreement outlines key milestones for the PACT partner.

The Bridge Plan will deliver general enhancements to residents at Fulton and Elliott-Chelsea Houses, including enhanced security across the developments, thereby bolstering existing resources to address work orders. The Bridge Plan was developed in consultation with resident leadership, community stakeholders, and NYCHA property management and will focus on painting and plastering work orders, pest management solutions, providing security concierge services, and fixing broken doors, locks, and intercom systems. The PACT partner will also provide NYCHA with proactive maintenance support. While NYCHA will continue to own and manage all of the land and existing buildings during the Bridge Plan, the collaboration between the three organizations detailed in the Master Development Agreement will provide more expedient and effective solutions and services for residents than any one party could acting alone.

The agreement provides clear expectations for how resident engagement and planning will continue over the entire life of the project. NYCHA and the PACT partner are committed to providing residents and critical stakeholders with regular, proactive, and transparent project updates.

For more information on the redevelopment plan and Bridge Plan, please visit FultonElliottChelsea.com. 

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About the New York City Housing Authority (NYCHA):  
The New York City Housing Authority (NYCHA), the largest public housing authority in North America, was created in 1935 to provide decent, affordable housing for low- and moderate-income New Yorkers. NYCHA is home to 1 in 17 New Yorkers, providing affordable housing to 528,105 authorized residents through public housing and Permanent Affordability Commitment Together (PACT) programs as well as Section 8 housing. NYCHA has 177,569 apartments in 2,411 buildings across 335 conventional public housing and PACT developments. In addition, NYCHA connects residents to critical programs and services from external and internal partners, with a focus on economic opportunity, youth, seniors, and social services. With a housing stock that spans all five boroughs, NYCHA is a city within a city.

About Essence Development:
Essence Development is a social impact development company that aims to build sustainable, energy-efficient affordable, workforce, and mixed-use developments in urban areas, incorporating health and nutritional solutions, partnerships with not-for-profit organizations, and workforce development opportunities. A 100% minority-owned firm, Essence Development was founded on the idea that providing top-quality housing, while offering social, economic, and healthy living opportunities, is fundamental to creating real change. With over 2,000 units across the United States, our purpose is to cultivate a community based on shared values and needs, offering residents all the resources available for a prosperous living experience.

About Related Companies:
Related Companies is a global real estate and lifestyle company defined by innovation and the most prominent privately-owned real estate firm in the United States. Formed over 50 years ago, Related is one of the largest private owners and preservationists of affordable housing in the U.S. and a fully-integrated, highly diversified industry leader with experience in virtually every aspect of development, acquisition, management, finance, marketing, and sales. Headquartered in New York City, Related has offices and major developments in Boston, Chicago, Los Angeles, San Francisco, Washington, D.C., Abu Dhabi and London, and boasts a team of approximately 4,000 professionals. With over $70 billion in assets owned or under development including the 28-acre Hudson Yards neighborhood on Manhattan’s West Side, The Grand LA and Related Santa Clara in California and The 78 in Chicago. Related was named to Fast Company Magazine’s list of the 50 Most Innovative Companies in the World. For more information about Related, please visit https://www.related.com/.