Governor Hochul Announces $682 Million in Financing for Affordable Housing
Governor Kathy Hochul today announced $682 million in bonds and subsidies have been awarded to create or preserve more than 1,600 affordable, sustainable, and supportive homes across the state. The developments will leverage an additional $218 million in private funding to create an overall investment of nearly $901 million to further local economic development efforts, reduce homelessness, and advance New York's commitment to expanding safe, secure and healthy housing opportunities for individuals and families.
"We are working tirelessly to expand much-needed affordable housing across New York State, and these new developments will help us build toward a more stable and equitable future for the next generation," Governor Hochul said. "When we invest in modern and healthy housing, we strengthen our communities and provide new opportunities for New Yorkers to thrive and succeed, and today is a significant step in helping secure and preserve safe, livable, and quality affordable housing for all New Yorkers."
The awards are part of Governor Hochul's sweeping plans to make housing more affordable, equitable, and stable. The Governor has introduced and successfully secured, in the 2022-23 State Budget, a new $25 billion, five-year, comprehensive housing plan that will increase housing supply by creating or preserving 100,000 affordable homes across New York including 10,000 with support services for vulnerable populations, plus the electrification of an additional 50,000 homes.
The financing is made possible through New York State Homes and Community Renewal's June 2022 bond issuance which provided $463 million in taxable and tax-exempt housing bonds and $219 million in subsidy, including $5 million in financing though the Clean Energy Initiative pilot program
$21 million for Yates Village Phase II, Parcel 3 in the city of Schenectady's Goose Hill neighborhood. The project will demolish and replace six existing public housing rental buildings along Van Vranken Avenue originally constructed in 1948. Once all phases of the project are complete, the 37 new two-story buildings will offer 211 affordable homes, including 43 apartments reserved for individuals with physical disabilities. These residents will have access to onsite services provided by the Schenectady Community Action Program. Phase I of the Yates Village redevelopment, also financed by HCR, was completed in 2021 and rebranded as Northside Village. The development team for Phase II consists of Pennrose Holdings, Duvernay + Brooks, LLC, and the Schenectady Municipal Housing Authority.
$50.7 million for The Lion Factory in the city of Troy. The historic industrial building will be adapted into 151 affordable apartments and nearly 9,000 square feet of ground floor commercial space. Occupying an entire city block, the six-story building is on the National Register of Historic Places. The building's historically and architecturally significant design elements will remain intact, while also incorporating new energy efficiency measures including all-electric heating and cooling systems. Twenty-five homes will be reserved for homeless families in need of supportive services provided by the Unity House of Troy and funded through the Empire State Supportive Housing Initiative. The developer is Regan Development Corporation.
$70 million for Tailor Square in the city of Rochester. The project will convert the historic four-story manufacturing building home to Hickey Freeman into 134 affordable apartments, including 45 homes for seniors in need of supportive services funded through the Empire State Supportive Housing Initiative. Originally constructed in 1910, the building will undergo a gut renovation that will preserve the historic architecture and retain approximately 77,000 square feet of manufacturing space and an outlet store for continued use by Hickey Freeman. The energy-efficient design will incorporate geothermal and photovoltaic solar technology to manage the heating and cooling systems. The developer is Home Leasing.
$46 million for Canal Street Apartments in the city of Rochester. The project will convert a vacant factory and warehouse known as the Utz and Dunn Shoe Company Building into 123 affordable apartments. Located in the Susan B. Anthony historic neighborhood, the century-old building's original architectural details and industrial character will be carefully preserved. Seventy apartments will be reserved for adults experiencing homelessness who will have access to on-site supportive services funded through the Empire State Supportive Housing Initiative and administered by the New York State Off. The developer and service provider is East House.
$80 million for West View Apartments in the city of New Rochelle. The 24-story building at 26 Garden Street in the city's historic downtown will offer 186 affordable apartments and residential parking. The development is the result of New Rochelle's transit-oriented rezoning designed to make downtown more economically vibrant and pedestrian friendly. The developer is MJ Garden Affordable Developer, a joint venture between Mark Stagg and Joseph Simone.
$32 million for the La Mora Senior Apartments in the city of Yonkers' Hollow neighborhood located southwest of the Central Business District. When complete, the newly constructed building will feature 60 apartments for seniors aged 62 and older who will each receive Section 8 Project-Based Voucher Housing Assistance administered by the Municipal Housing Authority of the city of Yonkers. The development incorporates sustainable design elements and is expected to achieve Passive House certification. The developer is The Mulford Corporation.
New York City
$65 million for Logan Fountain in the Cyprus Hills neighborhood of Brooklyn. The 13-story U-shaped building will offer 174 affordable apartments, including 105 with supportive services. The building's east wing will contain a separately owned and financed transitional housing facility for families being served by the NYC Department of Homeless Services. The building will also include a nearly 10,000-square-foot residential courtyard and 7,600 square feet of ground floor retail space along Atlantic Avenue. The development team is a joint venture between The Hudson Companies and DCV Holdings, Inc.
$104 million for Phase 1B of the redevelopment of the Brooklyn Developmental Center. The redevelopment of this 35-acre property in East New York is part of the Vital Brooklyn Initiative, a comprehensive community development initiative that is addressing chronic social, economic, and health disparities in Central Brooklyn. The six-phase redevelopment is expected to ultimately create 2,400 affordable homes with other mixed-uses on a campus with walkways, streets, and open space. Phase 1B consists of a six-story building with 124 apartments designed to be all-electric and achieve Passive House standards. The development team is Apex Building Company, Inc., and L+M Development Partners, LLC.
$123 million for Starhill Phase I in the Morris Heights section of the Bronx. The newly constructed development will offer 326 apartments, including 200 with supportive services funded through the Empire State Supportive Housing Initiative and administered by the New York State Office of Addiction Services and Supports. Residents will benefit from free internet access in each unit, and several building-wide amenities. The developers are Bronx Pro and Services for the Underserved.
$58 million for the rehabilitation of three public housing developments operated by the Ithaca Housing Authority to create 118 modern and affordable homes in the city of Ithaca. Overlook Terrace and Southview Gardens will undergo extensive upgrades while Northside Apartments will be demolished and replaced with 82 townhouse-style apartments and two new playgrounds. The new construction of Northside Apartments is designed to meet HCR's Stretch Sustainability Standards for energy efficiency and was awarded additional subsidy through the Clean Energy Initiative. The development team consists of the Ithaca Housing Authority and 3D Development Group LLC.
Western New York
$31 million for Whitney Apartments in Buffalo's West Village Historic District. Ten historic multifamily buildings with 135 apartments will undergo substantial repairs and improvements designed to enhance quality of life, improve safety, and reduce energy consumption. Twenty-one homes will be reserved for veterans experiencing homelessness who will have access to supportive services from Soldier On. All 135 apartments will be covered under a Project-Based Section 8 Housing Assistance Payment contract administered by the federal Department of Housing and Urban Development. The developer is Winn Companies.
Homes and Community Renewal Commissioner RuthAnne Visnauskas said, "We are thrilled to announce this $682 million in financing that will expand New York's housing supply and support local economic development priorities in communities across the state. The projects announced today will ultimately provide over 1,600 affordable and energy-efficient homes, preserve and protect historic buildings, upgrade public housing facilities, and create more than 300 supportive homes for New York's most vulnerable residents. We look forward to working with our many partners to make these developments a reality and fulfill the Governor's important housing goals."
State Senator Brian Kavanagh said, "Governor Kathy Hochul and the legislature have worked hard to ensure that the State is able to fund the major investments we need to make in affordable, sustainable, and supportive housing, as well as community-centered economic development. It's a great day when the Governor, Commissioner RuthAnne Visnauskas, and the great people at NYS Homes and Community Renewal are able to get this critical funding out into our communities to create and preserve more than 1,600 homes throughout New York. This investment will go a long way toward providing housing stability, revitalizing neighborhoods, and bolstering local economies."
Assemblymember Steven Cymbrowitz said, "These HCR bond-financed projects will provide safe, affordable and supportive housing to thousands of individuals and families across the state who face the threat of homelessness, as well as seniors and people with disabilities who will benefit from on-site support services and resources. Our work to create and preserve affordable housing continues, but every unit we build means stability and hope for another vital member of our community. I commend Governor Hochul for her commitment to expanding safe and affordable housing opportunities for our residents."