Affordable housing is too central to NYC democratic politics for the city/state to simply let a large share of subsidized housing totally collapse. More likely, they keep patching it with public money: arrears assistance, vouchers, preservation funds, regulatory tweaks, etc. That’s already basically the pattern.
The real likely long-term problem is that the city robs Peter to pay Paul: It props up housing operations by reducing funding for other services, creating recurring subsidy obligations, or risking pressure on its fiscal position and bond ratings.
They’re already doing that all the time: Part of how Mamdani plugged the budget gap, for example, was by delaying a classroom size reduction in public schools.
Obviously, I don’t think that’s a great long-term strategy. It turns a blind eye to an enforcement problem in favor of a recurring taxpayer-funded operating subsidy.