Skip to main content
PART 6Air rights series · NYC zoning

Air rights after City of Yes

City of Yes for Housing Opportunity was adopted on December 5, 2024 and rewrote the residential bulk rules. For air rights the biggest change is that most residence districts now have two maximum FARs, and the higher one only exists for affordable or senior housing. That changes how much a donor has to sell and how much a buyer can use.

The short answer

ZR 23-22 now sets one FAR for standard residences and a higher one for qualifying affordable or senior housing. A UAP development may exceed the standard FAR only by the amount of affordable housing it provides (ZR 27-111).

So a donor's unused floor area has two sizes, and the larger one is only worth something to a buyer building affordable housing. On receiving lots, taller qualifying heights let more transferred floor area fit, and landmarks now transfer by certification under ZR 75-42.

TEST A LOTFree · no account

Test an actual NYC lot.

Enter an address or BBL. You get the lot's recorded facts here, then the free check shows its zoning envelope, maximum FAR, buildable square footage and every legal scenario.

Two FARs instead of one

In R6 through R12, ZR 23-22 sets “separate maximum residential floor area ratios” for zoning lots containing standard residences and zoning lots containing qualifying affordable housing or qualifying senior housing. Qualifying affordable housing means an MIH development in a Mandatory Inclusionary Housing area, a UAP development, or a building under an affordable housing regulatory agreement (ZR 12-10).

Maximum residential FAR, ZR 23-22 (selected districts)
DistrictStandardQualifying affordable or senior
R6 (beyond 100 ft of a wide street)2.203.90
R6A, R6-1, R7B, and R6 within 100 ft of a wide street3.003.90
R6B2.002.40
R6D, R6-22.503.00
R7A4.005.01
R7D4.665.60
R7X, R7-35.006.00
R8B4.004.80
R9A, R97.529.02
R10A, R10X, R1010.0012.00
R1112.0015.00
R1215.0018.00

R8 and the R6 and R7-1/R7-2 rows near wide streets have footnoted variants; see the section for every district.

R1 through R5 follow the same pattern in ZR 23-21, with a higher FAR for “qualifying residential sites”: 1.50 rising to 2.00 in R5, R5A and R5B, and 1.00 rising to 1.50 in R4, R4-1, R4A and R4B.

A UAP development is a development or enlargement outside a Mandatory Inclusionary Housing area that provides affordable housing; its residential FAR may exceed the standard FAR “only by the amount of affordable housing provided” (ZR 27-111). For a UAP site the affordable units are restricted to households at a weighted average of 60 percent of the income index, with no more than three income bands.

What it means for a donor lot

Worked example · One R7A donor, two answers
Lot area
5,000 sf
Built today
8,000 sf
Unused at the standard FAR (4.00)
20,000 − 8,000 = 12,000 sf
Unused at the qualifying FAR (5.01)
25,050 − 8,000 = 17,050 sf
Difference
5,050 sf

The 5,050 sf difference only exists on a zoning lot whose building provides the affordable housing. Once the lots merge, it belongs to the buyer's project, and the buyer earns it by restricting that floor area as affordable housing under ZR 27-111. A donor quoting the larger figure is asking to be paid for the buyer's affordability commitment.

For landmark donors the question is narrower. ZR 75-422 caps the transfer at “the maximum floor area allowed by the applicable district regulations” less what is built, and excludes “any other form of bonus whether as of right or by discretionary action.” Whether a landmark can count the qualifying column toward what it sends is a question to put to land use counsel before anyone prices it.

What it means for a receiving lot

City of Yes also set separate heights. ZR 23-432 gives a higher maximum base height and building height for zoning lots containing qualifying affordable or senior housing, which gives transferred floor area more room to fit.

Maximum building height in feet, ZR 23-432 (selected districts)
DistrictStandardQualifying affordable or senior
R6B5565
R6A, R6-17595
R7A85115
R7X, R7-3125145
R9A (within 100 ft of a wide street)145185
Worked example · The Part 2 merger, both programs
Developable on lot A after the merger, standard
36,000 sf
What lot A's envelope holds, standard (85 ft)
30,750 sf
Developable, qualifying affordable
46,100 sf
What lot A's envelope holds, qualifying (115 ft)
39,750 sf

The taller qualifying envelope holds 9,000 sf more, but the qualifying FAR adds even more floor area, so the shortfall grows from 5,250 sf to 6,350 sf. Floor-by-floor working is in Part 7.

Other changes that move the numbers

  • ■Landmark transfers. The LPC says City of Yes added ZR 75-42, widened the receiving area from adjacent lots to the block and across the street, replaced ULURP with Chair certification and made individual landmarks in historic districts eligible (LPC fact sheet). See Part 5.
  • ■Floor area exemptions. In buildings with multiple dwellings, ZR 23-23 lets residential amenity space up to 5 percent of the building's residential floor area, and qualifying corridors, be exempted from floor area. The same zoning floor area can now hold more gross building.
  • ■Units. The maximum number of dwelling units is residential floor area divided by a dwelling unit factor of 680, and qualifying senior housing has no factor at all (ZR 23-52). Bought floor area raises the unit cap by the same arithmetic.

A City of Yes checklist for an air rights deal

  1. 01

    Quote the donor's unused floor area at the standard FAR

    Use the standard column of ZR 23-22 (or the standard zoning lot column of ZR 23-21) less everything built on the zoning lot. Treat the qualifying column as the buyer's to earn.
  2. 02

    Decide which program the receiving building will use

    A standard building and a UAP or qualifying senior building have different FARs, heights and unit rules on the same lot. The usable share of a transfer can differ between them, so model both before agreeing a price.
  3. 03

    Check the receiving envelope under that program

    Use the ZR 23-432 heights for the program chosen, then yards and coverage. The Part 2 merger shows the qualifying envelope can still fall short of the qualifying FAR.
  4. 04

    For landmarks, settle the transferable amount first

    Ask counsel how ZR 75-422 treats the qualifying column for the granting lot before either side relies on a figure.

Reading prices across the line

The RunEnvelope Land Index divides each land sale by buildable square feet under today's rules. Of its qualifying sales, 3,885 predate City of Yes and 2,469 follow it. An earlier sale is divided by rights the buyer did not yet have, which understates what it paid per foot at the time. Compare quarters on either side of 2024-12-05 with care, and expect air rights negotiated before that date to have been priced on the old rules.

Sources, checked 2026-10-26

Not legal advice. This guide explains the Zoning Resolution in plain English and can be out of date the day the text is amended. Before you price, buy or sell development rights, have a land use attorney and the filing architect confirm the zoning lot, the documents and the numbers.

FAQFrequently asked

Common questions

Did City of Yes increase air rights in NYC?

It created a second, higher maximum FAR for zoning lots containing qualifying affordable or senior housing in R6 through R12 (ZR 23-22) and for qualifying residential sites in R1 through R5 (ZR 23-21). The higher figure is available only to a project that provides the affordable housing, so for an ordinary sale the standard FAR is the honest measure of a donor's unused floor area.

Can I sell UAP floor area as air rights?

Not on its own. Under ZR 27-111 a UAP development may exceed the standard FAR only by the amount of affordable housing it provides. After a merger the buyer's project can use the higher FAR by providing that housing, so the increment is earned by the buyer's affordability commitment.

Does City of Yes change landmark air rights?

Yes. It added ZR 75-42: transfers by City Planning Commission Chair certification to lots on the landmark's block or across a street or intersection from it, capped at 20 or 30 percent of the receiving lot's maximum floor area. The LPC says individual landmarks in historic districts are now eligible.

Do taller City of Yes heights help a receiving lot?

For qualifying affordable or senior housing, ZR 23-432 allows higher base and building heights, for example 115 feet instead of 85 in R7A. That lets more floor area fit, though the qualifying FAR can still outrun the envelope on smaller lots.