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NYC City of Yes: Qualifying Residential Site (QRS) — Adopted 12/5/2024

The City of Yes for Housing Opportunity, adopted on December 5, 2024, introduced the Qualifying Residential Site (QRS) designation to expand housing production—especially near transit—while tying larger projects to affordability requirements.

A Qualifying Residential Site is a zoning lot in R1-R5 (or portion of a lot) that meets specific zoning, location, and use criteria, allowing additional residential/mixed-use density under the NYC Zoning Resolution.

 

Key QRS Eligibility Highlights

A site may qualify as a QRS if it meets one of the following:

 

1- Residential Districts (R1–R5)

• Minimum 5,000 sq ft lot area

• Located within the Greater Transit Zone (GTZ)

• Frontage on a wide street (<75ft) or the short dimension of a block (>230ft)

• Not located in R1 or R2

• OR is in the GTZ and contains an existing community facility building

• OR is outside of the GTZ and contains an existing community facility building with a lot area of at least 5,000 sf ft.

• OR will contain a new development with qualifying senior housing (R3-2, R4, R5, R5B)​

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2- Commercial Overlays (C1, C2, C4 in R1–R5 Equivalents)

• Located on a continuous block frontage in the commercial corridor

• Along the dimension of the commercial corridor, not more than 50% has existing single or two-family residences

• Or if the above conditions cannot be met, meets one of the criteria mentioned in section " 1- Residential Districts"

 

3- Mixed Districts

• Located in an M1 district paired with an R1–R5 district

 

Affordability Requirement (Large Projects)

For QRS sites using Zoning Section 23-21 FAR provisions:

• If permitted residential floor area exceeds 50,000 sq ft, the portion exceeding
  will be divided by 1.2 and subject to permanent affordability. 

• Affordability must average 80% of Average Median Income (AMI)

• No more than three income bands

• No income band may exceed 100% of the Income Index

• Subject to HPD guidelines​​​​​​​​​

 

Example: QRS Property in the Greater Transit Zone (GTZ)

Before City of Yes (Pre-12/5/24):

• Property located in an R5 district within the GTZ

• Maximum residential FAR: 1.25

After City of Yes (QRS Eligible):

• Same property if it qualifies as a Qualifying Residential Site

• If the project includes commercial space or a community facility, the allowable mixed-use FAR may increase to 2.5 (residential:2.0, commercial or community facility: 0.5)

• The increased density supports mixed-use or community-serving development.

 

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Why QRS Matters

The Qualifying Residential Site framework:

• Unlocks new development potential in low-density neighborhoods

• Encourages transit-oriented housing

• Incentivizes community facility reuse

• Creates clear, citywide rules for added residential density

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