NYC Dept. of Housing Preservation and Development and New York City Housing Authority Joined Forces
In hopes of creating more affordable housing in New York City, the NYC Housing Development Corporation (HDC), the NYC Dept. of Housing Preservation and Development (HPD) and the New York City Housing Authority (NYCHA), joined forces for the construction of 168 units for low-to-middle income families in the Chelsea section of Manhattan. The $65 million development is located on land provided by NYCHA and is part of a larger plan to develop more affordable housing on NYCHA properties in Chelsea. The sale of this site will bring in an estimated $4 million in revenue to the Housing Authority, a critical component in preserving needed public and affordable housing.
The 22-story complex, called Elliott Chelsea, contains 40 studios, 39 one-bedrooms, 84 two-bedrooms and 5 three-bedrooms. Thirty four units will be reserved for low and very low-income tenants, with 28 of these units reserved for low-income tenants earning no more than 50 percent of Area Median Income (AMI, $38,400 for a family of four). Six of these units will be reserved for very low-income tenants earning no more than 40 percent of AMI ($30,720 for a family of four). Twenty of the building's units will be reserved for middle income tenants, with rents affordable to households earning 125 percent of AMI ($99,000 for a family of four), but can be rented to households earning up to 160 percent of the 2009 AMI ($126,720). The development's remaining 113 units also will be income restricted with the rents on 58 units affordable to households earning 165 percent of AMI ($126,720 for a family of four) and rents on 55 units affordable to households earning 195 percent of AMI ($149,760 for a family of four).
The development also contains approximately 7,000-square-feet of commercial space, 26 below grade parking spaces, and a laundry room. NYCHA residents will be given rental preference for 34 units, or 20 percent of the 168 units, with first priority for NYCHA residents in Community Board #4. Since the new building will replace a NYCHA parking lot where 21 residents held permits to park, Artimus Construction has agreed to provide a monthly $100 stipend to each of the parking permit holders as subsidy for alternate parking. Twenty six underground parking spaces will be available for rental at prevailing NYCHA rates to Elliott Chelsea residents.
Elliott Chelsea is financed with both new and recycled bonds under HDC's Mixed Income Program. The $41.4 million from HDC's First loan will consist of $22.4 million in recycled bonds and $19 million in new Volume Cap bonds. In addition to the bonds, the project's financing includes a $2.7 million HDC 2nd Loan from HDC Corporate reserves; a $5.5 million HPD City Capital loan; a $1.5 million City Council grant; and a $1.5 million NYCHA purchase money mortgage. Citi Community Capital arranged for Freddie Mac to be the mortgage banker and is also the construction lender. Artimus Construction is the lead developer of the new affordable apartments at two sites within the NYCHA-owned Fulton Houses and Elliott-Chelsea Houses on the West Side of Manhattan.
|Content Archived: May 21, 2014|