Real Estate Weekly
Image default
Deals & Dealmakers

Enterprise in $82M deal to build Morrisania senior homes

Enterprise Housing Credit Investments announced an $82 million deal to acquire 1080 Washington Avenue in the Morrisania neighborhood of the Bronx and construct a new 12-story apartment building.

The new property will include 154 affordable homes for seniors, including 57 for formerly homeless and incarcerated seniors.

Enterprise is developing the property in partnership with New York State Homes and Community Renewal (HCR), the New York City Department of Housing Preservation and Development (HPD), the Fortune Society, Bronx Pro Group, and the United Methodist City Society (UMCS).

The development will be funded through bond financing and Low-Income Housing Tax Credits (LIHTC), as well as with subsidies from New York State Homes and Community Renewal and NYC HPD’s SARA program.

Funding for the supportive services will be provided by the New York State Office of Temporary and Disability Assistance through the Governor’s Empire State Supportive Housing Initiative (ESSHI).

Demolition of the current structure is underway and construction is set to begin later this year.

“New York needs more affordable housing options for seniors, particularly those who are formerly homeless and justice-involved, and all will benefit from the services and support offered at 1080 Washington Avenue,” said Judi Kende, vice president and New York market leader, Enterprise Community Partners, Enterprise’s parent company. “We are proud to partner with Bronx Pro, UMCS, Fortune Society, HPD, and HCR to create healthy, affordable homes that meet resident needs and are real assets to the community.”

When construction finishes in fall 2021, 1080 Washington Avenue will include 57 studio units for formerly homeless, justice-involved seniors and 96 apartments — 63 studios and 33 one-bedrooms — for seniors to be marketed through NYC Housing Connect, in addition to a superintendent’s unit.

All of the apartments will be reserved for households earning 50 percent of the area median income or less.

The building will also include community space, an exercise room, an indoor greenhouse, a garden, and an outdoor gym. The property will be designed to meet the Enterprise Green Communities Criteria and the guidelines set by the ENERGY STAR Multifamily High Rise Program.

“Too many seniors are living on fixed incomes and struggling to find an affordable place to live, which is why this administration has made senior housing a top priority,” said HPD Commissioner Louise Carroll.

To finance the development, Enterprise syndicated $32 million in equity through the Low-Income Housing Tax Credit. New York State Homes and Community Renewal provided $16 million in permanent tax-exempt bonds and $13.6 million in subsidy. Additional funding was provided through HPD’s Senior Affordable Rental Apartments (SARA) program.

Bronx Pro Group will be responsible for the development, construction, and management of the property.

“We are proud to be developing a meaningful project in a neighborhood we know and love with such creative, resourceful, and compassionate partners,” said Samantha Magistro, managing director of new business, Bronx Pro Group. “1080 Washington sets out to advance the health and comfort of senior residents as well as provide the neighborhood with essential programming and modern, thoughtful design.”

The United Methodist City Society has held the title to the former church property since 1890.

Related posts

Avison Young arranges 99-year ground lease for an estimated $21.5 million


Rosewood Realty Group Brokers $36.5 Million Sale of 15-Story Hells Kitchen Mixed-Use Building


Miller Construction Begins Work on an 80,000-Square-Foot Build-to-Suit Industrial Warehouse in Orlando