NEWARK, N.J. – The New Jersey Housing and Mortgage Finance Agency (HMFA) joined the United States Department of Housing and Urban Development (HUD), the City of Newark, and the Newark Housing Authority (NHA) today to celebrate the grand opening of Chadwick Avenue Village I, an affordable housing complex owned by NHA for working families and individuals with special needs. The HMFA, an affiliate of the New Jersey Department of Community Affairs (DCA), provided $1.2 million in construction and permanent financing for the project from the Special Needs Housing Trust Fund (SNHTF).
“The Christie Administration is committed to helping the most vulnerable New Jerseyans, including those who are financially struggling with their housing needs,” said DCA Commissioner Richard E. Constable, III, who is Chair of the HMFA. “We are so pleased to support housing developments such as Chadwick Avenue Village, which will provide hardworking families in Essex County secure, safe, permanent, and affordable housing that strengthens local communities and economies.”
The project, with a total construction cost of approximately $7.3 million, will not only provide affordable homeownership opportunities, but will also have a positive economic impact on the greater Essex County community. HMFA estimates that the project will generate approximately $11.6 million in one-time economic output, approximately 69 direct and indirect/induced full-time jobs, and $423,000 in state and local taxes during construction. Upon completion, the project will continue to add value to the community by providing approximately $1.3 million in ongoing economic output, 7 direct and indirect/induced full-time jobs annually, and approximately $73,000 in state and local taxes. Other funding sources for the construction of Chadwick Avenue Village include the Community Development Block Grant from the City of Newark, and rental subsidies from HUD through the NHA.
Chadwick Avenue Village involves the substantial rehabilitation of 34 vacant townhomes owned by NHA. When completed, the two-phased development will consist of 42 one-, two-, three-, and four-bedroom townhomes, of which 15 units will be ADA compliant and set aside for individuals with special needs. Phase I consists of 22 units, eight of which are set aside for individuals with special needs. Each townhome has a separate entrance at the ground level in front of the building, and a rear entrance near the kitchen area that leads to a parking lot. As part of the NHA portfolio, NHA will operate Chadwick Village Avenue as part of its on-going responsibilities under the HUD public housing regulations.
The project sites are located on major thoroughfares in the City of Newark, and are within walking distance to eight schools serving pre-k to high school students, houses of worship, public parks, retail services that include a supermarket, pharmacy, laundromat, and restaurants. The scattered site properties are also served by various modes of public transit, and are located within a 1.5-mile radius of the Rutgers University Hospital, Newark Beth Israel Hospital, Essex County College and the Newark Campus of Rutgers University. The University Behavioral Health Care division of Rutgers University Hospital will provide supportive services for the tenants with special needs in coordination with the NHA.
“Chadwick Avenue Village represents HMFA’s mission of making quality, affordable housing available to New Jersey residents, including those with special needs,” said HMFA Executive Director Anthony L. Marchetta. “We are so proud to contribute to the financing of this great project, and look forward to the completion of Phase II.”
The SNHTF is administered by the HMFA and provides capital financing to create affordable, permanent supportive housing and community residences for individuals with special needs. The purpose of the fund is to develop special needs housing and residential opportunities as alternatives to institutionalization or homelessness for those who would benefit from these programs and to ensure the long-term viability of such housing.
“We are pleased today that the Housing Authority can return to the market 22 new and completely remodeled apartments to house the citizens of this great City. Working cooperatively with our partners—the City of Newark, NJHMFA and HUD—this project will create jobs, give a boost to the local economy while at the same time provide 22 newly remodeled, energy efficient homes for Newark families,” said Keith Kinard, Executive Director of the Newark Housing Authority.
NHA is the largest public housing authority in New Jersey and currently operates and maintains 8,000 scattered public housing units in 44 public housing communities and administers approximately 5,000 Housing Choice Vouchers. Its mission is to invest in Newark’s families by building and maintaining affordable housing to encourage economic independence and healthy communities. The NHA has also worked in conjunction with other developers that have received HMFA financing for two projects known as Cottage Place and Baxter Terrace I, located in Newark.
For more information on HMFA programs, please call 1-800-NJHOUSE or (609) 278-7400, or log on to http://www.njhousing.gov.