The first fruit of a pandemic-era program aimed at creating affordable housing is the 350-room JFK Hilton in Queens, which is undergoing a $167 million conversion to become permanent residences for low-income and formerly homeless New Yorkers. This initiative is part of the Housing Our Neighbors with Dignity Act (HONDA), a 2021 state law intended to repurpose vacant hotels into housing. The interior demolition of the Hilton has been completed, and the transformation into 318 apartments is set to begin soon.
Despite the progress at JFK Hilton, advocates are expressing concerns over the slow pace of the program since HONDA was passed three years ago. The lack of sufficient funding, with a budget of $200 million, has been cited as a major obstacle by Vijay Dandapani, CEO of the Hotel Association of New York City. Additionally, many potential hotel candidates for conversion faced challenges such as small room sizes and complex zoning regulations, further delaying the process.
The migrant crisis has also impacted the conversion program, as approximately 15,000 rooms are currently being used to accommodate migrants, affecting the inventory available for affordable housing. This has led to a compression in the market, with hotels not serving migrants seeing increased occupancy rates and rates. Despite these challenges, the Hilton’s transformation into Baisley Pond Park Residences is moving forward, with an expected reopening date of October 2025.
The Baisley Pond Park Residences project is seen as a positive example of what can be achieved when city and state governments collaborate to address housing issues. New York City Council Speaker Adrienne Adams expressed hope that the Hilton conversion project under HONDA would be the first of many to come, demonstrating the potential impact of such initiatives on creating more affordable housing options for New Yorkers. The success of the JFK Hilton conversion could serve as a model for future projects under the HONDA program, showcasing the benefits of repurposing vacant hotels for permanent residences.
