The New York City Council approved a controversial housing measure Thursday that would give qualifying nonprofits and community land trusts the first opportunity to purchase certain distressed properties before they can be offered to other buyers.

The Community Opportunity for Purchase Act, known as COPA, would require eligible property owners to wait 90 days before listing their buildings on the open market, allowing designated nonprofit groups an exclusive window to pursue a purchase. Owners could still sell to other buyers if the nonprofit groups do not complete a deal within the allotted period.

The measure, sponsored by Brooklyn Councilwoman Sandy Nurse, is narrower than an earlier version that was vetoed by former Mayor Eric Adams. The revised proposal is expected to cover fewer than 2,100 buildings, compared with more than 10,000 under the previous plan, with many of the affected properties already connected to the city’s housing preservation system.

Supporters view the policy as a way to preserve affordable housing and give nonprofit organizations a chance to acquire troubled buildings before they are sold to other investors. Critics argue that restricting the sales process interferes with private property rights and could discourage investment in buildings that need substantial repairs.

The revised legislation has gained some support from the real estate industry. Real Estate Board of New York President James Whelan praised Council Speaker Julie Menin and Nurse for narrowing the proposal and making it more practical. The changes appear to have eased some of the industry’s earlier objections.

Opposition remains, particularly among small property owners. Ann Korchak, president of Small Property Owners of New York, warned that the measure could reduce property values and disadvantage family-owned buildings, including properties held by immigrant and multigenerational owners. Critics also argue that traditional buyers may be better positioned to quickly finance and complete major renovations.

The bill’s approval marks a significant step for a policy that has faced years of resistance, but its practical effects will depend on the final implementation and how frequently eligible nonprofits exercise their purchasing rights.