Email a Friend
NYC Department of Housing Preservation & Development
Press Room

FOR IMMEDIATE RELEASE
Press Release # 28-06
Monday, October 23, 2006

Neill Coleman (212) 863-8076


CITY AWARDS TAX CREDITS FOR CONSTRUCTION OR REHABILITATION OF MORE THAN 1,000 AFFORDABLE RENTAL APARTMENTS

The New York City Department of Housing Preservation and Development (HPD) has awarded a total of $12.47 million in federal Low Income Housing Tax Credits for fifty developments under the competitive funding round for 2006.  These credits will help build or rehabilitate 1,241 apartments -- of which 1,023, or 82%, will be affordable to low-income families -- across the five boroughs.  This builds on the $12.4 million HPD allocated in 2005 for the production of low-income housing to produce over 1,000 affordable rental apartments.  The units produced using these subsidies will contribute to Mayor Bloomberg's $7.5 billion New Housing Marketplace plan to fund the construction and rehabilitation of 165,000 affordable apartments and homes over ten years, the largest municipal affordable housing plan in the nation’s history.

HPD Commissioner Shaun Donovan said, "I would like to thank the State of New York for giving HPD the authority to award Low Income Housing Tax Credits in New York City.  These tax credits generate thousands of units of affordable housing for low-income families, and help us realize the Mayor's New Housing Marketplace plan.  The plan will create or preserve housing for half a million New Yorkers, more than the entire population of Atlanta.”

To be eligible for the Low Income Housing Tax Credits, developments must consist of substantial rehabilitation or new construction, with at least 20% of apartments reserved for low-income households.  During annual funding rounds, developers apply competitively to HPD for allocations of tax credits, which are awarded based on selection criteria specified in the City's Qualified Allocation Plan.

As part of the 2006 funding round, HPD established a special set-aside of $3.2 million, over 25% of its current allocation, for new construction or substantial rehabilitation of permanent supportive housing projects with HPD-approved on-site services for homeless single adults.  Supportive housing is permanent affordable housing with social services for populations with special needs including the formerly homeless.  Seven developments received awards under the set-aside.  All of the units developed under the set-aside will be low-income and a minimum of 60% of the units will be reserved for formerly homeless individuals.  One example is the Dorothy McGowan apartments in Washington Heights, Manhattan, which is being developed by Community League of the Heights.  Formerly homeless, single adults at or below 60% AMI will be referred by various City agencies to reside in 38 of the 39 units, receiving supportive services and job training on an as needed basis thereby creating housing for the lowest income New Yorkers and contributing to Mayor Bloomberg's plan to end chronic homelessness, Uniting for Solutions Beyond Shelter. 

Rehabilitated buildings funded through the tax credits will also provide quality and affordable housing for new and existing tenants.  For example:

  • The Sea View Nurses Residence and Sea View Cottage consist of 106 units of low- and moderate-income senior apartments being rehabilitated on Staten Island; forty percent of which will be available for occupancy by seniors whose income is largely from Social Security benefits.  This project is being built on the Sea View Hospital Rehabilitation Center and Home campus in the Willowbrook section of Staten Island.  The project involves the rehabilitation of a 100,000 square foot historic City-owned building located on the 70-acre campus, which once served as a nurses’ residence.  The sponsors of the project are Park Lane Developers LLC, a group that includes the Metropolitan Council on Jewish Poverty and an affiliate of The Arker Companies.
  • The Arthur Ransome Houses in Harlem consists of seven buildings that are being rehabilitated to create 116 units using Low Income Housing Tax Credits, in addition to HPD capital funds and federal HOME funds.  The completed buildings will house residents with a mix of incomes, including existing tenants able to return to rehabilitated apartments.  The Abyssinian Development Corporation is developing the project.
  • In the Bronx, the Morris Heights Senior Housing project will use Low Income Housing Tax Credits to leverage other federal funds to create 70 units of supportive housing for very low-income seniors.  The Morris Heights Health Center and the Mt. Hope Housing Company are jointly sponsoring the project.
  • In the Jamaica section of Queens, credits will be used to build the Locust Manor Senior Residents.  The project will provide 56 new apartments for low-income seniors to complement a larger planned development that will include market rate apartments and homes.  The project is currently owned by Rochdale Village, Inc. with an option to lease to the developer, LMSR, L.P.
  • In Brooklyn, a cluster of ten buildings on Bleecker Street in Bushwick will be rehabilitated and will result in 83 units of housing, 63 of which will be low-income.  Tax Credits will help keep rents affordable for the families already living in the buildings.  The sponsor of the project is Direct Building Management Inc. 

Since 1988, to fulfill its commitment to affordable housing, HPD has allocated $168 million in competitive credits, generating $1 billion in private equity contributions.  This has created more than 27,000 units of quality affordable housing.  In the past 13 years, HPD has also processed applications for more than $80 million in "as-of-right" credits for 140 tax-exempt bond financed projects, creating another 11,000 affordable housing units.

A full list of the awardees and locations of the housing is avilable at the LIHLT page on the HPD website: http://www.nyc.gov/html/hpd/html/developers/low_income.shtml

The New York City Department of Housing Preservation and Development's (HPD) mission is to promote quality housing and viable neighborhoods for New Yorkers.  The department is the nation’s largest municipal housing development agency and is implementing Mayor Bloomberg’s New Housing Marketplace Plan to build and preserve 165,000 units of affordable housing over ten years. The New Housing Marketplace Plan is the largest municipal affordable housing effort in the nation’s history. HPD also encourages the preservation of affordable housing through education, outreach, loan programs and enforcement of housing quality standards.         

###

 




View Site Map