Developer Uses Building Size Strategy to Sidestep Prevailing Wage Requirements
Developer Moshe Braver has filed plans for a 10-building residential project containing 989 units in Coney Island, with most individual buildings capped at exactly 99 units or fewer. This careful unit distribution appears designed to circumvent prevailing wage requirements that apply to larger residential projects. The strategy reflects developer efforts to reduce construction costs by structuring projects to avoid certain regulatory obligations.
Developer Moshe Braver has submitted development applications for a residential complex planned for Coney Island that would span ten separate buildings housing 989 total residential units. The project's structure—with most individual buildings deliberately kept to 99 units or fewer—suggests an intentional approach to project design that may allow the developer to circumvent labor cost regulations.
Prevailing wage laws typically require developers to pay workers established wage rates on projects meeting certain size thresholds. By fragmenting the residential project into smaller individual buildings rather than constructing one larger complex, the developer may reduce the number of buildings that trigger these wage obligations, thereby potentially lowering overall construction labor costs.
This strategy raises questions about regulatory effectiveness and labor market impacts. Construction workers could potentially face lower compensation if prevailing wage requirements are successfully avoided through project structuring. Conversely, developers may argue such approaches reduce project costs and housing prices. Municipal officials and labor advocates may view this as circumventing worker protections, while others may see it as efficient business planning. The approach highlights ongoing tension between regulatory compliance objectives and developer cost management in residential construction.