Three years ago, the city approved the waterfront inclusionary zoning plan, a step in preserving affordable housing in Williamsburg and Greenpoint.
This week, the first building to benefit from the rezoning was officially rededicated as part of a $20 million plan to preserve affordable housing in North Brooklyn for more than 600 low-income New Yorkers.
Union Court, a 21-unit building at 306 Union Avenue, is one of 15 buildings that will receive crucial renovations and upgrades through the preservation strategy created by the St. Nicholas Neighborhood Preservation Corp. (St. Nicks), a Brooklyn nonprofit that owns and manages affordable housing, and supported by Enterprise, a leading nonprofit provider of affordable housing.
“As a non-profit developer, it’s St. Nicks’ mission to sustain affordable housing as a permanent community resource. Union Court is one of the first projects to be refinanced as permanently affordable housing for low and moderate income residents under the Greenpoint Williamsburg Inclusionary Housing Program,” said Frank Lang, St. Nicks director of housing.
Purchased by St. Nicks in 1988, Union Court was also the first renovation project in Brooklyn using Low Income Housing Tax Credits. Enterprise, Pfizer Inc., Fannie Mae, National Grid, American Express and NYC Department of Housing Preservation and Development (HPD) all contributed to the 1988 project.
“As neighborhoods like Williamsburg and Greenpoint continue their rapid transformation, preserving affordable housing for long-time residents is more important than ever,” said Abby Jo Sigal, vice president and director of Enterprise New York. “Enterprise’s involvement in Union Court is part of our Billion Dollar promise to create and preserve more than 15,000 affordable homes for 45,000 New Yorkers, and we are proud to work with partners like St. Nicks to ensure the continued affordability of buildings like Union Court, preserving the integrity of existing neighborhoods and providing residents with a foundation to achieve their goals.”
According to HPD Commissioner Shaun Donovan, Union Court is one example of how the city is addressing the challenge of affordability through new tools, such as Low Income Housing Tax Credits and Inclusionary Housing.
“The repositioning of this development affirms the mayor’s commitment to reducing the shelter and street populations by two-thirds over five years, as well as ensuring that it is longtime residents who will be able to enjoy the renaissance occurring throughout their New York City neighborhoods,” said Donovan.
The $20 million preservation strategy developed by St. Nicks was made possible by taking advantage of the Brooklyn Waterfront Inclusionary Zoning Plan. In May 2005, New York City officials approved a major rezoning of a two-mile stretch of waterfront and some upland on the East River in Greenpoint and Williamsburg. The 2005 rezoning plan allowed for nonprofits like St. Nicks to sell air rights to for-profit developers, who could add square footage to new market-rate apartment construction in exchange for an investment in affordable housing. St. Nicks is using the proceeds from these air rights sales to ensure that buildings such as 306 Union Avenue are kept permanently affordable for residents.
“The refinancing is one part of St. Nicks’ overall plan to preserve over a 1,000 units of housing and build new affordable houses for working families and people of modest means,” said Nancy Zapata, president, St. Nicks Board of Directors.
