Work Begins on $136M Manhattan Affordable Housing Project
Related Cos. and The Hudson Cos. are bringing the first newly constructed, permanently affordable housing project to Roosevelt Island, N.Y. The 21-story community is set to encompass 340 units.
Rendering of the 460 Main St. project
Related Co. and The Hudson Cos. have begun work on a 340-unit affordable housing project in the Riverwalk neighborhood of Roosevelt Island, N.Y. The developers and their city and state partners are slated to invest $135.8 million in the 21-story community, which will be the eighth project developed by the two companies in the neighborhood. Handel Architects is the designer of the upcoming residential asset.
Located at 460 Main St., the community is the first newly constructed, permanently affordable housing project on the island. Designed to include 81 studios, 158 one-, 51 two-, and 50 three-bedroom units, the property will be available to households earning between 40 to 165 percent of the area’s median income. Forty percent of the property’s units will be affordable for 40 years and 60 percent will be permanently affordable.
Complex financing
Several entities contributed to financing the project. Providing a $74.6 million construction loan, Citi Community Capital serves as the project’s senior lender. Additionally, Citi also granted a $3 million subsidy loan and committed to purchasing the tax credits from WNC, the project’s tax credit syndicator. The New York City Department of Housing Preservation and Development provided a $20.3 million permanent subsidy, the New York City Housing Development Corp. originated $12.9 million in new volume cap exempt bonds, while another $12.5 million came from the New York State Homes and Community Renewal under its Homes for Working Families program.
The first residents are expected to move in 2021, with the application process launching in 2020 through Housing Connect, New York City’s housing lottery system. Rents will vary from $505 a month for a studio to $3,431 for a three-bedroom apartment. The project is part of Governor Cuomo’s $20 billion housing plan meant to increase access to quality affordable housing throughout the state.
Image courtesy of Related Co. and The Hudson Cos.
