Extensive rehabilitation and preservation of 1380 University is financed under HDC’s LAMP preservation program, leveraging City subsidy with tax-exempt bond proceeds and LIHTC equity
Located in the Highbridge section of the Bronx, residents of this hundred percent affordable housing development will benefit from long-term affordability for at least an additional 30 years
Bronx, New York –- (RealEstateRama) — New York City Department of Housing Preservation and Development (HPD) Commissioner Maria Torres-Springer, New York City Housing Development Corporation (HDC) President Eric Enderlin joined the Workforce Housing Group for a ribbon-cutting ceremony to mark the completion of the extensive rehabilitation at 1380 University Avenue, preserving 139 affordable homes in the Highbridge section of the Bronx. Also in attendance were representatives from New York State Homes and Community Renewal (HCR), JPMorgan Chase, Morgan Stanley and the National Equity Fund.
“Preservation is a critical part of the Administration’s strategy to protect tenants and the long-term affordability of our city’s homes and neighborhoods,” said HPD Commissioner Maria Torres-Springer. “Through projects like 1380 University Avenue in the Bronx, we aren’t just preserving affordability, but also ensuring that residents live in the safe, quality homes that they need and deserve. I want to thank Workforce Housing Group and our City and State partners for the years of dedication and hard work that it took to transform this property and improve the quality of life for 139 families.”
“Through a wide array of important City and State financing tools, 1380 University will continue to serve low-income families, with affordability that is locked in for another thirty years,” said HDC President Eric Enderlin. “Thanks to all our partners at HPD, HCR, Workforce Housing Group, Morgan Stanley, JPMorgan Chase, and the National Equity Fund; as well as the committed elected officials and so many others who helped guide this significant rehabilitation and preservation project towards success.”
These affordable homes were preserved under Mayor Bill de Blasio’s Housing New York: A Five-Borough, Ten-Year Plan, which has financed the creation and preservation of over 63,000 affordable homes since 2014. The plan aims to finance 200,000 affordable homes in an effort to create more housing opportunities for all New Yorkers.
“Preserving and rehabilitating existing housing is absolutely crucial to our vision of an affordable City. By investing in our buildings, we are putting our money where our mouth is, protecting tenants, and assuring the preservation of affordability in our communities. The work done at 1380 University Avenue was much needed, much deserved, and would not have been possible without support from a partnership between private groups and public organizations, all of whom I thank for their considerable investment,” said Council Member Vanessa L. Gibson. “I congratulate everyone involved in the rehabilitation of 1380 University Avenue and am especially thankful to HPD Commissioner Maria Torres-Springer, HDC President Eric Enderlin, and Workforce Housing Group President John Crotty and his team for their leadership on this project and their commitment to New York City. This investment will have a lasting impact on our families for generations to come.”
“All New Yorkers should have the right to quality affordable housing and the extensive renovation of 139 units of affordable housing at 1380 University Ave. in Highbridge ensures that many of my constituents are able to live in the homes they need and deserve,” Assemblywoman Latoya Joyner said. “I want to thank Mayor de Blasio, Commissioner Maria Torres-Springer of the New York City Department of Housing Preservation and Development, President Eric Enderlin of the New York City Housing and Development Corporation for their commitment and support for this important project.”
The 17-story apartment tower, initially constructed in 1968, required extensive interior and exterior rehabilitation. The wide scope of rehabilitation included the installation of a new roof, new boiler, an electrical system upgrade, masonry work, plumbing system upgrades, and the installation of a new gas service system. Public areas were also renovated. Apartment repairs included bathroom and kitchen upgrades, new floors and closet doors and painting throughout each apartment. Building amenities now include the addition of security cameras, on-site laundry and parking, a community room, and an approximately 10,000 square foot outdoor community garden terrace.
“For too long the residents of 1380 University Avenue suffered substandard living conditions in a decaying building. HCR is proud to have partnered with Workforce Housing Group and the City of New York to rebuild and revitalize this building, making it once again a safe, affordable place for families to call home,” said RuthAnne Visnauskas, Commissioner of New York State Homes and Community Renewal. “This is another example of Governor Cuomo’s commitment to creating and preserving affordable housing across the State. Developments like 1380 University Avenue are about so much more than housing—they are about community, hope and opportunity. “
The building serves low-income households and includes 62 one-bedroom and 77 two-bedroom apartments, including one unit designated to a superintendent. All of the units in the building are currently occupied.
The plaza at 1380 University will be dedicated “Pearl’s Plaza” in honor of longtime Bronx resident Pearl Schlein. Schlein and her husband ran a store on Starling Avenue in the Bronx for a number of decades. She is remembered for her strong work ethic and dedication to her community and family.
“The residents have had to endure a building that had been overlooked and unmaintained for more than a decade” said John A Crotty, Workforce Housing Group. “Today, thanks to effort of all of our project partners, marks the end of that arduous chapter. We are especially excited about the naming of Pearl’s Plaza to honor the memory of our lawyer and advisor Stanley Schlein’s Mother. Stanley’s advice and counsel along the way has been invaluable. It’s a fitting tribute to someone who has humbly and tirelessly helped so many.”
The total development cost for the 1380 University Avenue rehabilitation is $43.5 million. The building was financed under HDC’s Low-Income Affordable Marketplace Program (LAMP). HDC provided $23 million in Tax Exempt Bonds toward construction financing. HPD provided 4% Low-Income Housing Tax Credits to this project and Article XI tax exemption. HPD also provided $7.47 million in 421a funds and $9.21 million in City Capital toward construction and permanent financing. HCR provided an allocation of State Low Income Housing Credits (SLIHC). Additional financing was provided by JPMorgan Chase and Morgan Stanley. The National Equity Fund acted as tax credit syndicator.
“Morgan Stanley is proud to have provided the early capital that put 1380 University Avenue on the road to renewal. We congratulate the State and City housing agencies, Workforce Housing Group and our financing partners on this successful rehabilitation,” said Joan Tally, Executive Director in Morgan Stanley Global Sustainable Finance. “The building improvements and long-term affordability covenants will help provide residents a healthy and stable home in the years to come.”
Morgan Stanley also provided funding for resident services that include a garden manager for Pearl’s Plaza, financial education and college coaching to help low-income students through the college application process.
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The New York City Department of Housing Preservation and Development (HPD):
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.
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
About Workforce Housing Group:
Workforce Housing Group (formerly Workforce Housing Advisors) operates at the forefront of the multi-family real estate market in the New York metropolitan area by repositioning distressed assets as affordable housing resources. We work collaboratively with for-profit, not-for-profit and government partners to execute redevelopment plans for properties that had previously been subject to financial and physical distress.
CONTACT: HDC: Stephanie Mavronicolas, smavronicolas (at) nychdc (dot) com
HPD: Juliet Pierre-Antoine (HPD), morrisj (at) hpd.nyc (dot) gov
