G. HOMELESS REFERRALS
1. The Agency may require that all or a portion of the Mobility Disability SetAside Units and Hearing/Vision Disability Set-Aside Units, the Community
Preference Units, the Municipal Employee Preference Units and/or units
associated with any other additional preference and set-aside then existing,
be set aside as housing for households then residing in shelter and referred
by the City, provided that such homeless applicants meet the requirements
of the applicable preference or set-aside and any other applicable program
eligibility criteria. This requirement may apply to initial rentals and/or rerentals.
2. The Agency may also amend these policies and procedures for individual
Projects (for initial rentals or re-rentals from a waiting list) to authorize the
owner to give a preference or set-aside for referrals of household or persons
then residing in shelter and referred by the City, provided that such
homeless applicants meet any applicable program eligibility criteria (i.e.,
have incomes at or below the maximum allowable income for eligibility).
H. REFERRALS
The Agency may refer to the Marketing Agent potential applicants who are being
relocated or displaced due to a governmental action. The Marketing Agent, if directed
by the Agency, must first offer units to these referrals. Their applications must be
processed according to program selection criteria for eligibility and the Agency must
complete its review before any referred applicant may be offered a lease.
Pages 36-39
https://www1.nyc.gov/assets/hpd/down...g-handbook.pdf
Having forced, required or whatever developers set aside a number of units for various purposes, city doubles down on that bet to make use of what it has; a source of housing for those they deem in more urgent need than intended community or whatever other preference.
These units aren't coming out of general population, but either way would have gone to households falling under various favored city populations. Only difference being if placed by social services or whatever city agency it is highly likely rent in full or major portion will be covered voucher or other subsidy. LL is already in bed with city, and thus this would make little difference. Instead of tenant paying all rent, some comes from them with balance paid by city, state or federal government scheme.