$373M Redevelopment Project Begins in Brooklyn

Rendering of Alfia in Brooklyn’s East New York neighborhood. Courtesy of New York Gov. Kathy Hochul’s office 

The $373 million first phase of a $1.2 billion redevelopment at the former Brooklyn Developmental Center campus in Brooklyn’s East New York neighborhood has begun and will create 576 affordable apartments.

The initial phase will also include a 15,000-square-foot medical center and 7,000 square feet of ground-floor retail space. When completed over a 10-year period, the developed known as Alafia will create more than 2,400 affordable residences in a walkable neighborhood that will have recreational spaces and access to health and wellness sources for the community.

Alafia is part of New York State’s Vital Brooklyn Initiative, which is addressing chronic social, economic and health disparities in Brooklyn’s high-need communities. The initiative dates back to 2018, when the state’s Empire State Development, in collaboration with New York State Homes and Community Renewal, sought proposals for a mixed-use wellness-oriented development on the campus of the Brooklyn Developmental Center in East New York.

The development team chosen for the Alafia redevelopment consists of Apex Building Co., L+M Development Partners, Services for the Underserved and RiseBoroCommunity Partnership. The masterplan for the site was developed by Dattner Architects. Open spaces will be designed by SCAPE Landscape Architecture.

Announcing that construction was underway, New York Gov. Kathy Hochul said, in prepared remarks, that Alafia will make the neighborhood more affordable and inclusive and a healthier place to live.

Alafia fits with Hochul’s plans to make housing more affordable, equitable and stable. In the 2023 state budget, the governor secured a new $25 billion, five-year comprehensive housing plan that will create or preserve 100,000 affordable homes across New York including 10,000 that will provide supportive services for vulnerable populations. Last week, Hochul and New York City Mayor Eric Adams announced the groundbreaking of Logan Fountain, a mixed-use project also in East New York that will have 174 permanently affordable homes, a shelter with homes for 169 New Yorkers experiencing homelessness, and more than 70,000 square feet of retail space.

Phase One Details

Apex Building Group CEO Lee Braithwaite called Alafia a once-in-a-lifetime project in a prepared statement. Braithwaite said the project allows Apex to continue to fulfill its mission of creating quality affordable housing while also creating an environment where residents can live healthy and happy lives.

Lisa Gomez, CEO of L+M Development Partners, stated Alafia will set the standard for how future housing developments in high-need communities should be constructed by prioritizing healthy outcomes and sustainability at every step.

The first phase will include the new construction of a 15-story building with 452 apartments and a six-story building with 124 apartments. The 15-story building will consist of two towers connected by a common lobby with a 15,000-square-foot medical clinic run by One Brooklyn Health in the first tower and 7,800 square feet of retail in the second tower. The retail space is expected to be split into five spaces with the goal of attracting service-oriented small businesses.

Forty-eight apartments will be reserved for residents with mental health challenges and 88 units will be set aside for individuals with intellectual or developmental disabilities. Services for the UnderServed will provide the supportive services.

The buildings will be designed to meet Passive House design standard and use a closed loop geothermal heat pump system for energy efficient heating and cooling. The buildings will have a roof-mounted solar array and a SHARC wastewater heat recovery system that uses energy from wastewater for heating, cooling and hot water. Amenities will include free high-speed broadband connections, 24/7 security devices, laundry rooms, bike rooms and recreational spaces.

Financing Outlined

State financing for the first phase includes $38.1 million in permanent tax-exempt bonds, federal Low-Income Housing Tax Credits that will generate $117.8 million in equity and $174.9 million in subsidies from New York State Homes and Community Renewal. The New York State Energy Research and Development Authority will provide approximately $450,000 and the project is also eligible for NYSERDA funding for the solar installation through the NY-Sun Multifamily Affordable Housing Incentive program. The project is also expected to qualify for Solar and Geothermal Tax Credits that will generate $670,000 in equity. The New York State Office of Mental Health is providing $1.2 million annually to fund operating costs of the 48 supportive units as well as $430,000 in a program development grant for start-up costs. Additional financing is being provided through a mix of private sources.

More Brooklyn Projects

In November, construction started on The Rise, a $50 million fully affordable and supportive housing development in the Brownsville section. The project is being developed by a partnership between Xenolith Partners, the Women’s Prison Association and the Brownsville Partnership. The 72-unit building will meet LEED Gold and Passive House Standards. The Rise is also part of the state’s Vital Brooklyn Initiative and complements Hochul’s goal to achieve 2 million climate-friendly homes by 2030.

In October 2021, The Fountains, a $425 million mixed-use redevelopment also located on the Brooklyn Developmental Center campus in East New York, was completed that had a total of 1,163 affordable units. The project featured 192 supportive units for residents with intellectual or developmental disabilities and 200 units of senior housing.