The New York City Economic Development Corporation (NYCEDC) has partnered with MGT Impact Solutions to analyze the participation of minority- and women-owned businesses (M/WBEs) in the city’s commercial real estate development sector. This disparity study aims to identify challenges, evaluate market opportunities, and refine city policies to better support M/WBEs.
The study builds on recent progress, including record-breaking investments in M/WBEs under Mayor Eric Adams’ administration. In Fiscal Year 2024, the city awarded $6.4 billion in contracts to M/WBEs, surpassing a 30 percent utilization rate for the first time under Local Law 1. This marks significant advancement toward the OneNYC goal of awarding $25 billion in contracts to M/WBEs by 2026.
Mayor Adams emphasized the importance of equity in fostering economic growth. “Our record-breaking investments demonstrate our commitment to creating an inclusive economy,” he said. “This study will enable us to develop forward-looking policies to address disparities, especially in the real estate sector, and ensure equity across all parts of our economy.”
The analysis will examine commercial real estate transaction data, market access, capital availability, and procurement opportunities. It will also collect firsthand accounts from developers to understand barriers and identify solutions. Insights from the study will inform new programs and policy reforms aimed at reducing disparities and expanding opportunities for M/WBEs.
NYCEDC President and CEO Andrew Kimball highlighted the broader impact of equitable economic policies. “Supporting diverse economic opportunities builds a more dynamic and resilient New York City,” he said. “The findings of this study will guide initiatives that break down barriers, spark growth, and create opportunities for all New Yorkers.”
Michael J. Garner, the city’s Chief Business Diversity Officer, stressed the historical disparities in the construction and real estate sectors. “This study will provide critical insights to shape reforms that ensure government contracting drives economic benefits for communities of color,” he said.
MGT Vice President Andres Bernal expressed enthusiasm for the project, noting its potential to expand equitable opportunities and create lasting economic impact. MGT, which conducted New York City’s 2018 disparity study, brings extensive experience to this effort.
NYCEDC’s ongoing initiatives to support M/WBEs include programs such as Construct NYC, Emerging Developer Loan Fund, and Women.NYC. These efforts span industries like construction, offshore wind, and technology, and provide mentorship, training, and access to capital for underrepresented business owners.
With the study’s findings, the city aims to advance its commitment to equity in commercial real estate and ensure that M/WBEs have the tools and opportunities needed to thrive in New York City’s evolving economy.
