Listen to this articleElected officials and business leaders joined members of the Long Island Builders Institute (LIBI) on Wednesday to announce findings of a report that touts the economic impacts of the area’s home building industry.
The report, commissioned by LIBI and completed in conjunction with Camion Associates and the Real Estate Institute at Stony Brook University, found that Long Island’s home building and remodeling sector is responsible for $41.7 billion in revenue, accounting for over 9 percent of the Island’s total sales.
Among the other key findings in the report: The home building and remodeling sector employs 194,022 people on Long Island, representing 14 percent of the Island’s jobs; the sector brings in $15.4 billion in total employee earnings, accounting for 12 percent of employee earnings across Long Island; $30.6 million is generated in property taxes from new home and apartment construction; $53.2 million is collected by Long Island’s municipalities in total for building permits and zoning fees; and the housing industry contributes $122.6 million in sales taxes and $153.3 million in total fiscal impact (sales taxes + income taxes + property taxes) on Long Island.
“The homebuilding industry is an essential part of Long Island’s economy,” Mike Florio, LIBI CEO, said at the press conference held at The Enclave, a new housing development in Farmingdale from Blue and Gold Homes. “We are ready and willing to work with other stakeholders, government officials, and community organizations to address our housing crisis and build a diversity of housing stock for people of all needs and incomes.”
Peter Elkowitz, president and CEO of Long Island Housing Partnership, said LIBI and its members have been valuable partners to the nonprofit in its mission to provide affordable housing.
“LIBI members have constructed our homes and have supported our developments for over 30 years,” Elkowitz said. “Not only does LIBI contribute to the provision of affordable housing, but it is also a significant driver of the Long Island economy.”
Patchogue Mayor Paul Pontieri said people only need to look at the Village of Patchogue to measure the effect of how the construction of housing changes a community.
“In the last 18 years the village has built over 700 homes with a mix of for-sale townhouses and rentals,” Pontieri said. “Twenty-five percent of which are affordable and all of them are within walking distance to the LIRR. The other major benefit is that new, modern, well-built homes attract young families, the average age in Suffolk County is 42 years old, while the average age in the Village of Patchogue is 37.”
