Gov. Malloy Announces $78 Million in New Housing Investments Across Connecticut

Significant New State Infusion to Build on Considerable Expansion Over the Past Several Years

HARTFORD, CT – January 28, 2015 – (RealEstateRama) — Governor Dannel P. Malloy today announced that the State of Connecticut is making dramatic new investments in affordable housing across the state, with several projects anticipated to receive nearly $78 million in state bond funding in an effort to help towns and cities foster economic growth, create livable communities, and attract businesses.

The investments build on the already considerable expansion of quality, affordable housing the Governor has initiated over the past several years in communities statewide.  Since the beginning of the Malloy administration in 2011, the state has provided funding to build 17,897 housing units across Connecticut.  In just 2015 alone, the state made investments to help create, rehabilitate, and preserve 11,881 housing units statewide.

“This is all part of a massive, long-term revitalization strategy, which is why we’re doing more on housing than ever before.  It’s key to economic growth.  As we expand access to quality, affordable housing, we’re creating more livable communities and making ourselves more attractive to companies,” Governor Malloy said.  “The availability of affordable housing is an economic driver that attracts business and jobs, and makes communities more vibrant places to live, work, and raise a family.  If we want to have a quality workforce, and if we want to be economically competitive, it’s important to have quality housing.”

“In visiting these developments and many others in cities and towns throughout Connecticut, it is clear that these investments have a great benefit to our communities and the state as a whole,” Lt. Governor Wyman said.  “Ensuring that our labor force can live in the towns where they work and that we have an eye on the whole picture – transit, commerce, green space, and housing – makes Connecticut a stronger and more competitive state.”

“We’re making real progress across the state and building affordable housing at an unprecedented rate,” Department of Housing Commissioner Evonne M. Klein said.  “Governor Malloy has made housing creation a priority and these strategic investments are good for the residents of our state, good for the economy, and good for local business.  What we know is that when people have access to quality, safe, and affordable housing it’s a cost saver.  It provides stability to our states most needy who tend to cycle in and out of expensive public systems like emergency rooms and jails.”

The package of nearly $78 million in investments are scheduled to be approved at Friday’s meeting of the State Bond Commission, which is chaired by Governor Malloy.  The projects include:

Statewide

• $17,150,000 to advance Connecticut’s goals to end homelessness, expand the stock of affordable housing statewide, and assist with accessibility home modifications for the elderly and people with disabilities.

Bethany

• $2,600,000 loan to Green Haven, Inc. to assist with construction of the Rocky Corner Cohousing development in Bethany.  The project will contain 30 cohousing ownership units, including 13 affordable units.  The loan will be provided at zero percent for thirty years and will be released as each affordable unit is occupied: $2,600,000

Bridgeport

• $675,000 grant-in-aid to Habitat for Humanity of Coastal Fairfield County to assist with construction of nine single family homes to be sold to homebuyers at or below 80 percent of area median income in Bridgeport.
• $5,000,000 loan to Block 912 JV, LLC to assist with redevelopment of the Jayson and Newfield buildings in Bridgeport.  The project will contain 104 mixed-income units with 27 affordable units. The loan will be provided at 0.5 percent for forty years with principal deferred.
• $2,156,300 loan to Mutual Housing Association of Southwestern Connecticut, Inc., or another eligible applicant as such term is defined in Section 8-366m of the Connecticut General Statutes, to assist with rehabilitation of 32 units of rental housing at Maplewood Court Apartments in Bridgeport. The loan will be provided at one percent for forty years with payment due at maturity.

Brookfield

• $4,500,000 loan to Brookfield Village, LLC to assist with development of 48 units of affordable housing in the mixed-use Brookfield Village development in Brookfield.  The loan will be provided at one percent for forty-two years with payments deferred for thirty years.

Hamden

• $2,805,000 grant-in-aid to the Hamden Housing Authority, or another eligible applicant as such term is defined in Section 8-37pp of the Connecticut General Statutes, to finance rehabilitation of state-supported housing portfolio projects, Hamden Village and Hamden Village Extension.

Hartford

• $2,525,674 grant-in-aid to Pope Park Zion LLC, or another eligible applicant as such term is defined in Section 8-37pp of the Connecticut General Statutes, for the Cityscape Homes VI project in the Frog Hollow, Barry Square, and Behind the Rocks neighborhoods in Hartford.  The project will create 11 homeownership opportunities, each with a two-bedroom rental unit to provide income to make the home affordable.

Newington

• $2,495,000 grant-in-aid to the Newington Housing Authority, or another eligible applicant as such term is defined in Section 8-37pp of the Connecticut General Statutes, to finance rehabilitation of state-supported housing portfolio projects, New Meadow Village, Cedar Village, and Keleher Park.

New Haven

• $525,000 grant-in-aid to Habitat for Humanity of Greater New Haven to assist with construction of six single family homes and rehabilitation of one home to be sold to homebuyers at or below 100 percent of area median income in New Haven.
• $3,128,000 loan to the Community Builders, Inc., or another eligible applicant as such term is defined in Section 8-366m of the Connecticut General Statutes, to assist with rehabilitation of 120 units of family rental housing at Kensington Square Apartments in New Haven.  The loan will be provided at one percent for forty years with payment due at maturity.

New Milford

• $1,998,597 loan to New Milford Affordable Housing, Inc. to assist with construction of 12 affordable housing units with supportive services at Brookside Commons.  The loan will be provided at zero percent for thirty years with payment due at maturity.

New London

• $2,587,000 grant-in-aid to the Eastern Connecticut Housing Opportunities, or another eligible applicant as such term is defined in Section 8-37pp of the Connecticut General Statutes, to assist rehabilitation of 22 single family homes to be sold to homebuyers in New London.

Norfolk

• $2,990,000 grant-in-aid to Foundation for Norfolk Living, Inc., or another eligible applicant as such term is defined in Section 8-366m of the Connecticut General Statutes, to assist with creation of ten affordable and two market rate rental units in Norfolk.

Norwich

• $4,979,027 loan to Ponemah Riverbank LLC, or another eligible applicant as such term is defined in Section 8-37pp of the Connecticut General Statutes, to assist with redevelopment of a portion of the historic Ponemah Mills in the Taftville section of Norwich.  The project will contain 116 units of mixed-income housing.  The loan will be provided at zero percent for forty years with payment due at maturity.

Old Saybrook

• $2,000,000 grant-in-aid to Saye Brooke Village South, LLC to assist with development of fifteen new units of affordable elderly rental housing in Old Saybrook.

Stamford 

• $7,300,000 loan to Park 215 Limited Partnership, or another eligible applicant as such term is defined in Section 8-37pp of the Connecticut General Statutes, to assist with development of 47 affordable units and 31 market rate units as part of the fourth phase of the revitalization of Vidal Court.  This project will create 47 units of affordable units and 31 market rate units.  The second position loan will be provided at 0.25 percent for forty years amortizing over the final 32 years with no interest until the ninth year and payments will be capped at 55 percent of net cash flow with any unpaid interest and principal added to the loan balance.  The outstanding principal and accrued interest will be due on sale or refinancing of the project.

Stonington

• $3,523,526 loan to Spruce Ridge Limited Partnership, or another eligible applicant as such term is defined in Section 8-37pp of the Connecticut General Statutes, to assist with construction of 43 new units of affordable housing in the Pawcatuck section of Stonington.  The loan will be provided at zero percent for forty years with payment deferred.

Waterbury

• $5,000,000 loan to Dakota Partners, Inc. to assist with redevelopment of the Brown Building in downtown Waterbury.  This project will contain 38 units of mixed-income housing above existing retail space.  The loan will be provided at one percent for forty years with payments deferred for thirty years.
• $3,850,000 loan to Winn Development d/b/a Schoolhouse Redevelopment LP to assist with rehabilitation of 213 units of affordable housing at the Schoolhouse Apartments in Waterbury.  The loan will be provided at one percent for forty years with payment deferred.

Friday’s State Bond Commission meeting will begin at 10:30 a.m. in Room 1E of the Legislative Office Building in Hartford.

Contact
David Bednarz
Office: 860-524-7315
Cell: 860-770-9792
Email: David.Bednarz (at) ct (dot) gov
Twitter: @GovMalloyOffice
Facebook: Office of Governor Dannel P. Malloy