New York Construction Report staff writer
New York Gov. Kathy Hochul has signed a major component of the state’s FY27 budget, enacting sweeping reforms to speed up housing and infrastructure construction across the state by overhauling portions of the State Environmental Quality Review Act (SEQRA).
The ‘Let them Build’ legislation, is designed to reduce project delays by cutting red tape and eliminating duplicative environmental reviews for developments deemed unlikely to have significant environmental impacts.
“Red tape and duplicative reviews have stopped New York from doing the very building that made us the envy of the world, making our housing more expensive and our infrastructure outdated. That ends today,” Hochul said, announcing the plan. “By removing these barriers and empowering communities across the state, we are working to drive down costs of critical housing and infrastructure and sending a simple message: now is the time to build.”
Major projects in New York can take up to 56% longer to reach groundbreaking compared with peer states, with environmental review requirements frequently cited as a source of delay for housing, water infrastructure, schools, and park improvements.
Reforms will modernize the 50-year-old SEQRA law and create exemptions from certain environmental review requirements for qualifying housing and infrastructure projects that meet specific criteria, including development on previously disturbed land and connection to existing water and sewer systems.
Under the new rules, expedited housing development thresholds include:
- Up to 250 units citywide in New York City, or up to 500 units in medium- and high-density areas
- Up to 300 units in urbanized areas outside New York City
- Up to 100 units in non-urbanized areas
- Up to 20 units in areas without zoning
However, reforms do not override environmental permitting requirements or local zoning authority.
State analysis cited by the Governor’s office estimates that SEQRA reviews can delay housing projects by as much as two years and increase development costs by approximately $82,000 per unit in New York City — potentially adding $8 million to the cost of a 100-unit project.
Beyond housing, the legislation also expands SEQRA exemptions for several categories of public infrastructure projects, including:
- Clean water infrastructure projects with minimal natural resource impacts
- Green infrastructure and nature-based stormwater systems
- Public parks and bike or pedestrian trails on previously disturbed land
- New public school buildings constructed by the New York City School Construction Authority
Also, a new two-year timeline has been set for completing environmental impact statements, a move intended to create greater predictability for developers, municipalities, and state agencies.
