New Affordable Housing Community to Open in Newburgh, NY
- Jul 01, 2014
Newburgh, N.Y.—Developer Jonah Mandelbaum joined with The Community Preservation Corporation Inc., Independent Home Care Inc., Independent Living Inc., New York State Homes and Community Renewal, for a groundbreaking on Independence Square, a new affordable housing community being built in Newburgh, N.Y.
“This region has benefitted tremendously from successful public-private partnerships, and I thank CPC, Independent Living, HCR, and all involved partners for supporting our efforts to create new homes that will keep hardworking families in their local communities,” Mandelbaum says. “I am excited to break ground and look forward to meeting with all of the project partners again to celebrate the successful completion of Independence Square.”
Located at 11 Washington Square, the three-story, 74-unit community will consist of one-, two- and three-bedroom units and will also include 70 on-site parking spaces, laundry facilities and community space.
The development will provide workforce housing for working families and supportive housing for individuals with disabilities. Support services will be provided by Independent Living and subsidized by OPWDD.
The 60 workforce housing units are affordable to households from 30 percent to 60 percent of the area median income. The one-bedroom apartments will have restricted monthly rents at $395 and $715, the two-bedrooms at $475 and $860, and the three-bedrooms at $545 and $995. The remaining 14 supportive housing units will be eligible for rental subsidies provided through OPWDD.
“This development is a unique opportunity for public and private partners to come together to create high-quality affordable housing for two groups in critical need—hardworking individuals like schoolteachers, nurses and police officers and their families, and people in the supportive housing community who want to live independently with services,” Doug Olcott, CPC’s senior vice president, says. “CPC is thankful to our partners at Independent Living, all of the partnering entities and, of course, our long-time borrower, Jonah Mandelbaum, for helping us to continue our mission to stabilize neighborhoods through the creation of affordable housing.”
Independence Square was financed by a diverse group of public and private partners including CPC, which provided an $8.9 million construction loan and is slated to provide a $2.1 million permanent loan through the New York City Employee Retirement System; HCR, which provided a $1.425 million annual allocation of Low Income Housing Tax Credits which generated $13.892 million in private equity; Raymond James Tax Credit Funds, Inc. syndicated the tax credits; and TD Bank, which provided the tax credit equity. HCR also provided a $725,000 Housing Trust Fund loan. Orange County provided a $170,000 loan through its HOME Program.
“Families who live and work in the community will benefit tremendously from this latest public-private partnership,” Steve Neuhaus, an Orange County Executive, says. “This project will add housing opportunities to Newburgh’s workforce and provide independence and dignity to those with disabilities.”