Gut-Rehab of 800-804 Broadway Will Create 15 Units of Housing, Restore Historic Buildings, Continue Revitalization of Arbor Hill Community
Albany, NY, January 31, 2017 – The Community Preservation Corporation (CPC), a leading nonprofit affordable housing and community revitalization finance company, and project developer 800 Broadway LLC announced today $1.53 million in financing for the housing and community revitalization project at 800-804 Broadway in Albany. The project is a complete gut-rehabilitation of the four historic properties into 15 one- and two-bedroom apartments. The rehabilitation of 800-804 Broadway will turn a formerly blighting influence into a long-term resource of stable housing and serve as a catalyst for the ongoing revitalization of the larger Arbor Hill neighborhood.
“Small buildings like these are the backbone of communities throughout our state, often serving as a haven of natural affordability for low- and moderate-income families. At CPC, we understand that it’s not whether a project is large or small, it’s the positive impact it can have in anchoring a community, bringing additional investment to the area, and giving people stable and sustainable housing opportunities,” said Rafael E. Cestero, President & CEO of CPC. “We’ll always be there for developers like 800 Broadway LLC and our partners in local government to support their efforts to breathe new life into underserved neighborhoods.”
“The redevelopment and historic preservation of these buildings is critical to the revitalization of the ‘New Broadway,’ and will play a key role in connecting Downtown Albany and the Warehouse District,” said Patrick Chiou of 800 Broadway LLC. “It’s been great working with a finance company like CPC that understands what we’re trying to accomplish in the community, and has the tools and flexibility to get us there.”
“As trustee of the state pension fund, securing a sound investment return for the more than one million members, retirees and beneficiaries is my priority. The Community Preservation Corporation has established itself as a non-profit organization that specializes in affordable housing and community revitalization. This partnership with CPC will provide a return to our fund and enhance the quality of housing in Albany,” said State Comptroller Thomas P. DiNapoli.
The total development cost of the project is $2 million. The $1.53 million in funding announced today is being provided by CPC as a construction loan and SONYMA-insured permanent loan financed through CPC’s agreement with the New York State Common Retirement Fund. The Fund, which is the third largest public pension plan in the country, is administered by New York State Comptroller Thomas P. DiNapoli. The remainder of the financing will consist of developer equity. Additionally, the City of Albany is providing a 485A tax abatement, which will aid in the project’s affordability. The developer will also seek federal and state historic tax credits, which will be claimed after the construction is completed.
In keeping with the developer’s intent to apply for historic tax credits, the gut-rehabilitation of 800-804 Broadway will restore the property to its historic standards. The scope of the renovation work includes, but is not limited to: installing new structural elements such as floors and exteriors, electrical, plumbing, flooring, sheetrock, heating, windows and roof replacement, paving, and landscaping. The development will also include 800 to 1,000 square feet of off-street parking in two adjacent lots. Rents of the newly renovated apartments will be affordable to New Yorkers earning between 60%-80% of area median income, or $1,200-$1,475, which is in keeping with the average income and renter demographic of the community.
The City of Albany has identified Arbor Hill as a key focus area and has been committed to its redevelopment, having dedicated more than $75 million towards its revitalization. This has included 200 new or rehabilitated housing units, 79,000 square feet of new retail and community service spaces, an established Neighborhood Association, and new and improved parks.
800 Broadway is the first renewal project on its block, and CPC’s latest investment in revitalization projects in the Capital Region. Recent projects include 151 Henry Johnson Boulevard, the gut-renovation of an eight-unit, mixed-use building in Albany, and 733 Broadway, the renovation of a 29-unit apartment building located near the 800 Broadway project. Since 1993, CPC has invested $671 million to support 403 housing projects with a total of 14,706 units in the Capital Region.
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About the Community Preservation Corporation (CPC)
Established in 1974, CPC is a nonprofit affordable housing and community revitalization finance company that believes housing is central to transforming underserved neighborhoods into thriving and vibrant communities. We provide innovative capital solutions, fresh thinking and a collaborative approach to the often complex challenges that owners and developers of multifamily housing face. To date, CPC has leveraged approximately $9.7 billion in private and public investment to finance more than 170,660 units of affordable housing. Our work with our partners has helped revitalize countless neighborhoods throughout New York, and provided quality housing for families, senior citizens, and individuals with disabilities. Follow us at communityp.com, and on Facebook, Twitter and LinkedIn.