Preservation Development Partners, a joint venture of developers Donald Capoccia, Joseph Ferrara, Brandon Baron, Francine Kellman and Brian Raddock, announced the acquisition of Sinclair Houses, an 81-unit rental complex in the Hamilton Heights section of Manhattan.
The two-building property, located at 502 and 528 West 151st Street, was purchased for $15,075,000. The new owners have planned for an additional $2.3 million in improvements.
All 81 units at the project will be set aside for tenants earning no more than 60% of Area Median Income (AMI).
Sinclair Houses benefits from a Project Based Section 8 Contract which will be renewed for 20 years.
Raddock, PDP principal, said, “The purchase and rehabilitation of Sinclair Houses through the use of tax-exempt bonds, and the benefit of new 20 year HAP Contract will eliminate the risk of 81 affordable housing units in Manhattan from being converted to market rate units.
“With a limited supply of affordable housing in the New York area and high demand for housing in general, this project will preserve affordable housing in Hamilton Heights and provide a long-term benefit to the community.”
Sinclair Houses financing was completed with tax-exempt bonds, credit enhanced by Freddie Mac through its Low Income Housing Tax Credit (LIHTC) Mod Rehab program. The project was also capitalized with equity from an investor in the project’s 4% low income housing tax credits.