One hundred and forty new apartments across two New Haven affordable housing developments are ready to begin construction, according to a state announcement of financing agreements providing millions of dollars for local below-market rentals.
Those two local developments are Beacon’s State & Chapel project and “the Monarch” in West River.
According to a Tuesday press release sent out by the Connecticut Department of Housing (DOH) and the Connecticut Housing Finance Authority (CHFA), the two developments join seven others across Connecticut for a total of nine housing developments that have received state funding and can begin construction. The other developments are in New Britain, Meriden, Hartford, Haddam, Plainville, and Waterbury.
The developer behind State & Chapel is Beacon Communities, which is converting a parking lot on State Street and vacant upper-floor spaces along Chapel Street into 76 apartments. While 16 will be market-rate, 60 apartments will be designated as affordable to households earning at or below 60 percent of the area median income (AMI); 16 of those 60 affordable apartments will be for households currently experiencing homelessness.
DOH is providing $7.1 million in funding. CHFA is investing $13.1 million in financing along with 9% LIHTCs that will generate more than $16.5 million in private funding.
In West River, the plot of land formerly home to a linen supply store and laundry service will become the Monarch, a 64-unit apartment building. DOH is investing $4.7 million while CHFA is providing more than $8.2 million in financing and 4% LIHTCs that will generate more than $10.9 million in private equity.
According to a November 2022 City Plan Commission meeting where the development won approval, each of the building’s 64 apartments will be reserved for families making no more than 80 percent of the AMI.
Across the board for all of the relevant Connecticut properties, DOH is providing over $57 million in loans and grants, and CHFA is providing $51.6 million in financing in addition low-income housing tax credits “that will generate more than $97.7 million in private investment.”
These developments will eventually result in a state-wide total of 722 housing units: 651 will be for low- and moderate-income renters, and 82 of those affordable apartments will be “permanent supportive housing for people experiencing homelessness and people with disabilities.”