Take your pension fund, invest it in low income housing for almost zero investment return.  Seems reasonable…


Bill de Blasio, the newly inaugurated mayor of New York City, is moving forward with his plan to allocate $1 billion of pension assets to affordable housing—a massive increase to the funds’ prior investments to this space.

His plan calls for creating 11,000 units over eight years with the additional $1 billion input from the city’s $144 billion pension funds. It also includes contraction of 50,000 new units through “inclusionary zoning”—a requirement that developers build affordable homes for low- and middle-income families.

De Blasio campaigned heavily on closing the gap between the wealthy and the poor—ending the so-called “Tale of Two Cities”—and won the November election by a landslide. He is New York City’s first Democratic mayor in 20 years.

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