East Hampton is committed to preserving existing affordable housing and expanding opportunities for new affordable housing of all types—including rental, ownership, senior, and workforce housing. As we move forward, we will continue to take thoughtful, proactive steps to meet our community’s housing needs while preserving the unique character and quality of life that define East Hampton.
Major Affordable Housing Initiatives
1. Community Housing Fund
Approved by local referendum in November 2022, a ½% real estate transfer tax took effect in April 2023. The generated revenue is dedicated to housing projects for local residents. This fund has grown to over $20 million and underpins both homeownership and rental programs.
2. First Major CHF Allocations (Winter 2024–Early 2025)
In late 2024, after CHF surpassed $10 million in revenue, the Town Board reviewed and approved its first large-scale spending from the fund:
- $1.5 million grant to East Hampton Housing Authority for the Route 114 Middle Income Workforce Housing project (≈ 50 apartments for local working households)
- $1 million post‑construction grant to support funding gap at The Green at Gardiner’s Point completed 50‑unit development (primarily state‑led, but CHF help filled interest‑rate shortfall)
- $500,000 to The Cottages (a nine‑unit former Sag Harbor trust site) for infrastructure improvements (e.g. water hookup and electrical upgrades)
- $345,000 to Whalebone Apartments for renovations, solar upgrades, and commons improvements in a 46-unit rental complex
- $338,000 loan (interest‑free) to Windmill I Senior Housing for expansion planning of its existing 40‑unit complex (adding ~20 units
- $1.5 million to purchase 109 Hampton St, Sag Harbor to preserve 4 affordable housing units in a historic building that were otherwise likely to be lost.
3. Passed Legislation Allowing More Affordable Housing Units
- In 2024, the Town passed legislation increasing allowable density for Senior Affordable Housing Developments from 8 units per acre to 12 units per acre, increasing the number of allowable units by 50% on the same property.
- In 2025, the Town passed legislation increasing allowable density for Non-Senior Affordable Housing Developments from 8 units per acre to 12 units per acre.
4. Proposed Legislation Currently Being Discussed
- Affordable Multiple Residence Legislation–Proposed to create small-scale housing developments on properties under the 3 acres currently required for affordable housing under existing code. The proposal is to allow for up to 4 units of density per acre on lots between 1 and 3 acres within the Affordable Housing Overlay District.
- ADU Regulation Amendments– There is a proposal to remove barriers to the creation of affordable ADUs by reducing the minimum lot area from 20,000 square feet to 15,000 square feet, in addition to other changes designed to encourage ADU construction
Rental Housing Developments Led by Town + State
- The Green at Gardiner’s Point: Completed in December 2024 by New York State in partnership with the East Hampton Housing Authority, this all‑electric complex includes 50 affordable rental units targeting households earning up to 60% of AMI. Funded by a mix of state low‑income tax credits, Suffolk County, and HCR subsidies (total cost: ~$33.5 million).
- Ongoing and upcoming rental projects spearheaded or supported by the Town and Housing Authority include:
- Gansett Meadow (37 units, mixed income).
- Manor House Condominiums (12 units sold to households ≤ 130% AMI, priced between ~$126 K–$268 K).
- Green at Gardiners Point (50 units, 2024).
- Cantwell Court, 395 Pantigo Rd (16 homes, in development).
- Route 114 project (7‑acre rental site on town‑acquired land).
Homeownership Programs
- “Affordable Home Ownership Program”: Since the 1980s, this program has created and administered over 200 homes on town‑owned land. The Town builds homes; owner‑occupants buy the home (not the land), and when they sell, the Town typically buys it back to keep it affordable for future buyers.
- Cantwell Court Subdivision: Announced December 2024, planning for 16 new single‑family homes (2–4 bedrooms, 800–1,600 sq ft) on .25–.38‑acre lots, built to green standards, with public open space included.
Accessory Dwelling Units (ADUs) & Accessory Apartments
- The Town amended its zoning code in July 2023 to allow greater use of Accessory Dwelling Units / Affordable Accessory Apartments. Under state Plus‑One ADU grants, eligible homeowners may receive up to $125,000toward constructing a secondary unit to rent affordably or to family members.
- ADU rules:
- Units limited to 300–1,200 sq ft, max two bedrooms.
- Rents capped at 130% of HUD fair market rent (e.g., 2024–2025 max: studio $2,402; 1‑bed $2,913; 2‑bed $3,362 per month).
- A cap of 200 ADU permits total, divided across school districts (up to 40 per district).
- The Town is in the process of creating an ADU Construction Loan Assistance Program proposed to provide up to $100,000 loans to homeowners to construct ADUs.
- The Town is also in the process of changing ADU regulations to create more opportunities to create affordable ADUs.
Land Acquisition for Housing Sites
- In 20225, Town provided 1.5 million dollars to purchase 109 Hampton Street in Sag Harbor, preserving a historic building and 4 units of affordable housing that otherwise would have likely been lost.
Homebuyer Assistance Program (Separate CHF Use)
- In 2024–2025, East Hampton launched a First-Time Homebuyer Down Payment Assistance pilot funded through CHF.
- Initially $600,000 was allocated.
- Provides interest-free loans up to $30,000, repayable upon resale.
- Open to eligible households buying homes priced up to approx. $1,768,500