Building work has started on 11 new homes in Bed-Stuy that will be part of a program providing residents with a path to homeownership.
The 11 homes are being built on 13 scattered lots and will include nine three-family homes, two two-family homes – totaling 31 units.
The homes are being built through the New York City Department of Housing Preservation and Development (HPD) Open Door program, which funds the new construction of cooperative and condominium buildings affordable to moderate and middle income households.
The program also funds the construction of new one to three family homes when lot size dictates – as is the case as is the case for the Bed Stuy North and Central Phase I development.
The Community Preservation Corporation (CPC) is providing roughly $8 million in construction financing to support the project and HPD has provided the formerly city-owned parcels of land and roughly $5.9 million in construction and permanent financing. The project is also receiving $910,000 in grant funding from the NYS Affordable Housing Corporation.
Upon the sale of the homes the new homeowners will receive a 20-year UDAAP property tax exemption.
The new homes financed through the program will be affordable to households earning between 80% and 130% of area median income – which is between $85,920 and $139,620 for a three person family in New York City.
On Thursday, HPD joined Councilmember Robert Cornegy Jr., SRBuild, LLC and CPC to announce the groundbreaking of the project.
“Too often providing a pathway for affordable homeownership is overlooked,” Cornegy said.
“Affordable homeownership provides the residents of our shared communities with the opportunity to build intergenerational wealth and is a key decider of many positive economic outcomes.”
The development includes one home which will comply with Landmark District regulations. All 11 homes will meet HPD Design Guidelines as well as Enterprise Green Communities energy efficiency standards, making the homes more energy efficient sustainable and saving homeowners thousands of dollars in annual expenses, HPD said.
“By creating more affordable homeownership opportunities for New Yorkers we are helping families build wealth to pass to future generations and giving communities a greater stake in their neighborhoods,” HPD Commissioner Louise Carroll said, adding the new development would give 11 families the opportunity to buy a home and live the American dream, which otherwise might remain out of reach.