Douglaston Development, New York State Homes and Community Renewal (NYSHCR), and New York City Department of Housing Preservation and Development (NYCHPD) closed a construction financing deal for a 188-unit affordable senior housing development in the Bedford Park neighborhood. The development will include a new supermarket on the ground floor that will offer the community access to healthy, affordable food. Construction is scheduled to begin in the spring of 2021 on the US$93.5 million project located at 2856 Webster Ave. on land that is owned by The New York Botanical Garden (NYBG).
HCR provided US$32.1 million in tax-exempt bond financing, Low-Income Housing Tax Credits that will generate US$33.6 million in equity and a US$6.6 million subsidy. HPD provided a US$12.8 million subsidy. Financing for the project also includes a US$6.8 million deferred developer fee and approximately $1.6 million in interest accrued from subsidy programs. Wells Fargo is the tax credit syndicator and provided a letter of credit for the project. Louise Carroll, the HPD commissioner said, “Safe and secure affordable housing for New York’s seniors remains an essential priority for this Administration. This new development offering affordable housing for seniors, complete with a supermarket on-site, will be an incredible asset to the Bedford Park community for years to come. I want to thank New York State Homes and Community Renewal and Douglaston Development for their partnership on this project.”
The project will also aid Mayor de Blasio in meeting his commitment to create or preserve 300,000 affordable homes in his Housing New York: A Five-Borough, Ten-Year Plan, and updated Housing New York 2.0 plan. The New York Botanical Garden selected Douglaston Development to lead the development process and executed a 99-year ground lease with Douglaston in August of 2020. This is the first phase of a two-phase development that will include a future affordable mixed-use development at the adjacent 410 Bedford Park Boulevard.