Energy Efficient, Mixed-Use Development

Buffalo, New York

This new construction project is transforming the vacant site of a former gas station into a vibrant, mixed-use development that will bring workforce housing and space for three businesses to one of downtown Buffalo’s transportation corridors.

The property, located in the North Park neighborhood, was a contaminated brownfield site before borrower John Daly took on the project. Environmental remediation of the site included the removal of contaminated soil and old tanks used by the gas station that previously occupied the property.

The completed development will include 34 apartments and 7,500 sf of commercial space for three tenants and is being built to meet rigorous water and energy efficiency standards.

The Hertel Street corridor is an active, stable community that has seen new businesses help drive neighborhood development in recent years. This project will add to the economic opportunity in the community, and provide quality workforce housing.

The property is located less than five miles from the Buffalo Niagara Medical Campus, a central hub of Buffalo’s burgeoning medical workforce, which includes researchers and healthcare workers at the University at Buffalo and the Roswell Park Cancer Institute.

All apartment water fixtures will be low flow, all appliances will be ENERGY STAR® and the building envelope exceeds the energy code by 20 percent in terms of efficiency. There will also be LED lighting throughout and a central, high-efficiency hot water system. The HVAC system will be Variable Refrigerant Flow (VRF), enabling tenants to extract free heat from the environment; it will also have an energy recapture system as part of its design.

John Daly and his wife Ruthanne are Buffalo locals who own several other mixed-use buildings in the neighborhood. They will oversee property management along with their daughter Elizabeth, who is acting as leasing agent. The development saw demand for the apartments and retail spaces even before construction completion, with a waiting list of more than 22 people. The first signed retail tenant is Marianna Bridal.

CPC is providing a $6 million construction loan and a $6 million permanent loan through our partnership with the New York State Common Retirement Fund.

Additional financing includes a $500,000 grant from the Better Buffalo Fund, a New York State Empire State Development program that encourages Buffalo’s economic development along transportation corridors and revitalization of downtown commercial districts.