Mayor Ras J. Baraka joined New Jersey Housing and Mortgage Finance Agency (NJHMFA) Executive Director Charles A. Richman and Regan Development Corp. representatives to break ground for the Carrino Plaza Apartments today, at 416-426 Broadway in the city’s North Ward.
When completed, four-story building will provide 60 units of affordable housing in one-, two-and three-bedroom apartments, as well as 6,000 square feet of retail space, a community room, laundry facilities, and an on-site manager’s office. 10 of the units will be dedicated for residents with mental health needs.
“This administration has made affordable housing a central pillar of its efforts to make Newark a stronger and more prosperous city for all of our residents,” Mayor Baraka said. “Our groundbreaking Affordable Housing Ordinance requires developers to set aside units as affordable housing, and developers are responding favorably to our legislation, seeing the moral and human value in creating such housing. We are elated that Regan Development Corporation has signed on in full, with the Carrino Plaza Apartments, which will not only provide affordable housing, but 10 units for residents with mental health needs. This is an example to our nation on how to build housing with humanity.”
The development is located on the former site of the Boys & Girls Club at 416-426 Broadway in the city’s North Ward, and is named after former City Councilman Anthony Carrino, who represented the North Ward for 28 years. It is close to Route 21/McCarter Highway, a major thoroughfare, as well as a supermarket, local retail, eateries, houses of worship, a school, and bus transportation. Construction is expected to be completed in December.
The project, which will cost approximately $23.1 million to develop, will include one-, two-, and three-bedroom apartments, with rents ranging from $947 to $1,298, as well as a community room, laundry facilities and an onsite manager’s office. Residents will enter the building via a covered porch area that adjoins the parking lot.
“Carrino Plaza will enhance the ongoing revitalization of Newark, while providing much needed affordable homes for families who are working in and around Newark and contributing to the city’s dynamism,” said Lt. Governor Sheila Y. Oliver, commissioner of the New Jersey Department of Community Affairs (DCA) and chairwoman of the NJHMFA board. “Importantly, this development also continues our collective efforts to provide supportive housing for people with special needs.”
NJHMFA provided $10.5 million in financing for the project from its Conduit Bond program, as well as $1 million from its Sandy Special Needs Housing Fund, which was created in the aftermath of Superstorm Sandy to provide low-interest loans to developers to build permanent, supportive housing for people with mental, physical and developmental disabilities. NJHMFA also awarded the project 4% Low Income Housing Tax Credits, which are expected to generate approximately $7.8 million in private equity.
“Carrino Plaza will contribute to the economic vitality of the neighborhood and the overall city,” said NJHMFA Executive Director Charles A. Richman. “Building rental housing that is affordable to workforce individuals and families enables them to stay and grow in the community, and have ready access to downtown amenities, jobs and public transportation. It is a key part of NJMHFA’s mission.”
Additional funding includes $3.9 million in tax credits from the New Jersey Economic Development Authority’s Economic Redevelopment and Growth program; a $720,000 low-interest loan for property acquisition from the City of Newark; a $7.78 million construction bridge loan from TD Bank; and a U.S. Department of Housing and Urban Development and Love Funding Corporation Section 221(d)(4) funding loan of $7.9 million.
The Mental Health Association of Essex County will provide supportive services to the development’s special needs residents, including case management, supportive counseling, money management/payee services, nursing services, nutritional counseling, living skills assistance and training, and other services. The services will be funded through a variety of sources including the New Jersey Department of Human Services, Division of Mental Health and Addiction (DMHAS), and the Mental Health Association of Essex County.
DMHAS and the Mental Health Association of Essex County will provide five monthly vouchers apiece to support the 10 one-bedroom units set aside for residents with mental health needs.
“Regan Development is very proud to help the city of Newark and the North Ward move forward on its redevelopment efforts with new affordable, workforce housing units for Newark and Essex County families,” said Larry Regan, President, Regan Development Corp. “We are proud to honor the long-term work of Anthony Carrino to make the North Ward and Newark a great place to live.”
Regan Development, based in Ardsley, N.Y., is a family-run business that has developed residential and commercial real estate, and affordable housing developments.
For more information on NJHMFA programs, visit www.njhousing.gov.
For more information on the project, contact Regan Development at (914) 693-3011, or visit www.regandevelopment.com
- NEWARK -