Tax exemption will make possible needed improvements and an additional 40 years of affordability
New York, NY –- (RealEstateRama) — New York City Department of Housing Preservation and Development (HPD) Commissioner Maria Torres-Springer and New York City Housing Development Corporation (HDC) President Eric Enderlin announce that the City Council voted to renew the Article XI tax exemption for Dreamyard NEP HDFC, a 301-unit affordable housing project in the University Heights and Morris Heights neighborhoods of the Bronx. This is a major milestone as the City looks to finance the rehabilitation and extended affordability of these two year-15 tax credit properties owned by Bronx Pro Group.
“Through our preservation work, we are safeguarding the affordability of homes and neighborhoods across the city,” said HPD Commissioner Maria Torres-Springer. “This milestone brings us a step closer to securing deeper affordability and needed improvements for more than 300 households in the University Heights and Morris Heights neighborhoods. As we continue to fight the headwinds out of Washington, I want to thank the City Council, and especially Councilmembers Cabrera and Gibson, for supporting important projects like Dreamyard that provide housing stability to New York’s hard-working families.”
“The City is pulling every lever to protect the quality and affordability of our city’s housing stock,” said HDC President Eric Enderlin. “The Year 15 program demonstrates the City’s vigilance in safeguarding our investment in affordable housing through the Low-Income Housing Tax Credit program. Now, more than ever, we need to protect and expand the tools available to preserve affordable housing for communities here in the Bronx and in every corner of the city.”
“Keeping our community affordable is my top priority,” said New York City Council Member Vanessa Gibson. “Thanks to this tax credit extension, we’ve secured the affordability of 301 apartments in the West Bronx for the next 40 years. This extension will provide 301 Bronx families with secure long-term housing and is a critical investment in the future of our borough and city. I am committed to making sure the Bronx remains affordable to the families and individuals who live here and I thank Bronx Pro Group for their commitment to affordable housing. I look forward to a continued partnership with HPD Commissioner Maria Torres-Springer and HDC President Eric Enderlin as we work to create and preserve affordable housing in the Bronx.”
“Affordable housing is the greatest need in my district,” said New York City Council Member Fernando Cabrera. “More than 70% of constituents visiting my office need housing assistance. I’m very pleased that the affordability of the Dreamyard project has been extended and that the Article XI and additional City financing will support important improvements to the roof, windows, and doors, façade and unit kitchens and bathrooms. This 40-year extension is a key component of preserving housing affordability in the Bronx.”
Since the start of Housing New York, the City has financed more than 18,000 affordable homes in the Bronx, including the preservation of nearly 11,000 homes. Preservation is one of the City’s most powerful tools to prevent displacement and protect the affordability of homes and neighborhoods, and forty percent of the apartments preserved serve extremely and very low-income families making less than $42,950 for a family of three (50% AMI).
Dreamyard NEP HDFC includes twelve buildings across two clusters: University Avenue LP and 168th Street Development LP, which were acquired by Bronx Pro from the City in 1999 through the Neighborhood Entrepreneurs Program, which enabled neighborhood-based private property managers to own and manage clusters of occupied and vacant City-owned buildings. The properties, which receive Low-Income Housing Tax Credits, were nearing “year 15” — the end of their initial compliance period, at which point, the agency works with the owner to evaluate the financial and capital needs of the project and develop a strategy to extend affordability and finance any necessary rehabilitation work.
The Article XI and additional City financing will fund roof work, window and door replacements, façade repair, kitchen, and bathroom improvements as needed, common area energy efficient light fixture upgrades, and replacement of existing heating systems.
In addition, a new regulatory agreement will extend affordability for 40 years, with units serving families at a range of incomes from $34,360 for a family of three (40% AMI) to $111,670 for a family of three (130% AMI).
About the New York City Department of Housing Preservation and Development (HPD):
The New York City Department of Housing Preservation and Development (HPD) is the nation’s largest municipal housing preservation and development agency. Its mission is to promote quality housing and diverse, thriving neighborhoods for New Yorkers through loan and development programs for new affordable housing, preservation of the affordability of the existing housing stock, enforcement of housing quality standards, and educational programs for tenants and building owners. HPD is tasked with fulfilling Mayor de Blasio’s Housing New York: A Five-Borough Ten-Year Plan to create and preserve 200,000 affordable units for New Yorkers at the very lowest incomes to those in the middle class. For more information visit www.nyc.gov/hpd and for regular updates on HPD news and services, connect with us on Facebook, Twitter, and Instagram @NYCHousing.
About the New York City Housing Development Corporation (HDC)
HDC is the nation’s largest municipal Housing Finance Agency and is charged with helping to finance the creation or preservation of affordable housing under Mayor Bill de Blasio’s Housing New York plan. Since 2003, HDC has financed more than 120,000 housing units using over $13.7 billion in bonds, and provided in excess of $1.6 billion in subsidy from corporate reserves. HDC ranks among the nation’s top issuers of mortgage revenue bonds for affordable multi-family housing on Thomson Reuter’s annual list of multi-family bond issuers. In each of the last four consecutive years, HDC’s annual bond issuance has surpassed $1 billion. For additional information, visit: http://www.nychdc.com