JERSEY CITY, N.J. – New Jersey Housing and Mortgage Finance Agency (HMFA) Executive Director Anthony Marchetta today joined federal, state, and city officials, as well as representatives of Pennrose Properties, LLC, and Jersey City Housing Authority (JCHA) to mark the groundbreaking of Gloria Robinson Court Homes IV in Jersey City, Hudson County. The housing development involves the new construction of four separate buildings containing 70 one- to four-bedroom units for working families. Five of the units will be set aside for individuals with special needs. The project has been awarded federal Sandy Recovery funds.
The HMFA, an affiliate of the New Jersey Department of Community Affairs (DCA), awarded the project approximately $3.9 million in federal Community Development Block Grant (CDBG) Disaster Recovery funds through the Fund for Restoration of Multifamily Housing (FRM). In the aftermath of Superstorm Sandy, the FRM program was created to provide for-profit and non-profit housing developers an opportunity to secure zero- and low-interest loans to finance the development of affordable housing in the nine counties (Atlantic, Bergen, Cape May, Essex, Hudson, Middlesex, Monmouth, Ocean, Union) that the federal government designated as the most impacted by the storm.
The HMFA also awarded the project the competitive federal 9% Low Income Housing Tax Credits (LIHTC) that will generate approximately $15.8 million in private equity. Other funding sources for the development of Gloria Robinson Court Homes IV include Jersey City HOME Investment Partnerships Program funds, HOPE VI funds, and a deferred developer fee.
"We are excited to see the groundbreaking of Gloria Robinson Court Homes IV in Jersey City that will help transform a former public housing site into a thriving residential community for hard working families and individuals with special needs, including those impacted by Superstorm Sandy," said DCA Commissioner Richard E. Constable, III, who also serves as Chairman of the HMFA. "Projects like this help enhance our urban neighborhoods, foster community development in our cities, and assist in stabilizing Sandy-impacted communities by mobilizing capital investment."
The project, which will cost approximately $21 million to develop, will not only provide affordable housing opportunities, but will also have a positive economic impact on Jersey City. The HMFA estimates that the project will generate approximately $33.1 million in one-time economic output, 198 direct and indirect/induced full-time jobs, and $1.2 million in state and local taxes during construction. Upon completion, the project will continue to add value to the community by providing more than $3.7 million in ongoing economic output, 20 direct and indirect/induced full-time jobs, and $209,000 in state and local taxes annually.
Gloria Robinson Court Homes IV, which is the fourth and final phase of the Jersey City Housing Authority’s redevelopment of the vacant high-rise public housing site A. Harry Moore, will be mixed-income. Among the 70 total housing units, 27 will be public housing units, 31 will be available to households at or below 60% of the Area Median Income (of which five will be set aside for homeless individuals or families), 11 will be market rate, and one will be reserved for the superintendent.
During the first three months of lease-up at Gloria Robinson Court Homes IV, priority for residency will be provided to Sandy-impacted individuals who registered for Federal Emergency Management Agency (FEMA) assistance or who rented an apartment or owned a primary residence that was no longer habitable because of Sandy damage. Pennrose Properties LLC will begin to accept apartment applications for available units starting in September 2015. Interested residents may learn more about how to apply via www.GloriaRobinsonCourt.com. Completion is anticipated in December 2015.
Located across from Lincoln and West Side Parks, the development site is within walking distance from St. Peters College, the Hudson Mall, and the Holland Tunnel. Pennrose Management Company will manage the property and will provide case management services to the residents. Apartment amenities will include dishwasher, washer and dryer, walk-in closets, carpeted living areas, ceramic-tiled baths, and individually-controlled heating and cooling. There will also be an 18,000-square-foot early childhood education center run by the Head Start Program in one of the four buildings.
"This development will enable working families and individuals with special needs to secure high quality affordable housing, and will promote community integration and an active lifestyle with great access to parks, open space, and the central business district," said HMFA Executive Director Marchetta. "We are thrilled to provide the capital financing that will enable the development of Gloria Robinson Court Homes IV, which will contribute a great deal to the local and state economy."
The project is being developed in partnership with the Jersey City Housing Authority by Pennrose Properties, LLC, one of the nation’s leading developers of affordable multifamily housing. Pennrose has developed more than 13,000 housing units in over 200 communities across 11 states.
For more information on HMFA programs, including the Fund for Restoration of Multifamily Housing, visit www.njhousing.gov