$72M Affordable Project Launched in Brooklyn
- Jun 24, 2019
The Institute for Community Living has broken ground on a $72 million affordable and supportive housing redevelopment project in downtown Brooklyn, New York City. The community will provide 129 affordable apartments, including 78 supportive homes earmarked for formerly homeless individuals and 3,100 feet of commercial space.
READ ALSO: Brooklyn Project Lands $38M Loan
Located at 50 Nevins St. between Schermerhorn and State Streets, the Nevins Street Apartments project involves the construction of a new 10-story building on a current parking lot, as well as the rehabilitation of an adjacent, century-old building, which will have its single rooms converted to self-contained apartments. The Institute for Community Living has operated the vintage building over the last 30 years as a transitional housing facility under the Office of Mental Health.
Upon completion, the two buildings will be fully integrated with a shared core, on a site with easy access to various transit options and the commercial offerings of Schermerhorn Street. Amenities will include 24/7 front desk security, common laundry facilities, a community room, gym and yoga room and classroom.
All units will be affordable to households earning no more than 60 percent of the area median income. Residents of the 78 apartments reserved for the formerly homeless, including veterans, young adults and people with a serious mental illness or substance abuse problem, will have access to comprehensive onsite support services provided by the Institute for Community Living. The nonprofit human services agency is the developer of the project.
A state-financed project
The project is backed by an array of state financing, including $13.5 million in tax-exempt bonds, federal Low-Income Housing Tax Credits (LIHTC) that will generate $27.3 million in equity and a $9 million subsidy from New York State Homes and Community Renewal.
Another $1.9 million in annual rental assistance and services will be provided by the state’s Office of Mental Health, and the New York City Department of Housing Preservation and Development provided $9.6 million from the Supportive Housing Loan Program. The state’s attorney general is chipping in $1 million in funds from property owner settlements. Richman Housing Resources, HSBC and TD Bank are providing further financial support.
In a prepared statement, Lieutenant Governor Kathy Hochul said that the project complements the state’s Vital Brooklyn initiative to fund housing and health care programs in the borough. The project also advances the state’s $20 billion, five-year Housing Plan, which aims to build or preserve more than 100,000 affordable homes and 6,000 homes with supportive services.
Elsewhere in New York City, Bronx Pro Group recently partnered with a group of nonprofit and government entities in an $82 million deal to build a 154-unit affordable apartment property for seniors in the Bronx.