On March 27, 2025, Empire State Development, New York State's chief economic development agency, announced the launch of the Long Island Forward Housing Program (LIFHP), a $10 million initiative designed to promote and accelerate the development of affordable multifamily housing across Nassau and Suffolk Counties. Instead of providing direct grants, Empire State Development will fund professional services through selected technical assistance vendors. These services may include, among others, appraisal services, economic impact analysis for development scenarios, market studies and environmental site assessments.
The LIFHP supports villages, towns and cities in Nassau and Suffolk Counties in creating "shovel-ready" sites to attract private and institutional investment for new housing development. The program targets downtown districts and areas near train stations – typically vacant or underutilized spaces that the LIFHP aims to revitalize. This is accomplished by providing free technical assistance to jumpstart the development of high-quality, affordable multifamily housing.
Decades of underbuilding on Long Island have contributed to population decline, worker shortages and rising living costs – challenges all too familiar to Long Islanders – and continue to threaten the region's long-term economic vitality. The ever-increasing cost of living in Nassau and Suffolk Counties has already driven many residents off Long Island or out of state and now risks pushing away the next generation of potential homeowners and community members.
Recognizing this threat, Empire State Development introduced the LIFHP to tackle these persistent challenges and reverse the decades-long trend. The program aims to build a brighter, more vibrant future for Nassau and Suffolk Counties by attracting younger local residents entering the housing market and encouraging newcomers to relocate to Long Island through enhanced housing affordability.
By breaking down barriers to development and providing municipalities with critical technical expertise, we're not just building homes – we're building pathways to economic opportunity, strengthening communities, and ensuring Long Island remains competitive in attracting and retaining talent.
– Governor Kathy Hochul
Municipalities in Nassau and Suffolk Counties with local zoning authority, including towns, villages and cities, are eligible to apply. Municipalities may partner with non-municipal entities, including regional planning agencies, private housing developers, and large landowners or landowning institutions on proposals. However, the municipality must be the lead applicant. Priority will be given based on factors such as alignment with LIFHP priorities, proximity to Long Island Railroad stations or downtown areas, commitment to affordable housing, adaptive reuse proposals and redevelopment of blighted sites and Pro-Housing Community designation.
Interested municipalities must submit a letter of intent to Empire State Development, after which they may be invited to submit a full application through the Consolidated Funding Application (CFA) portal. For more information or questions, municipalities can contact the Empire State Development Long Island Regional Office at 631-435-0717 or email nys-longisland@esd.ny.gov.
LIFHP represents a crucial step toward addressing Long Island's housing affordability crisis. By supporting and providing local municipalities with technical expertise and guidance, the program aims to revitalize underutilized spaces and foster the development of affordable housing options. This initiative has the potential to reverse decades of underbuilding, stabilize the local economy, and ensure that Long Island remains a competitive and desirable place for future generations to live and work.
Additional Resources:
- Long Island Forward Housing Program FAQ | Empire State Development
- Long Island Foward Housing Program Guidelines
- LIFHP Webinar PowerPoint
- NYS Consolidated Funding Application
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