Jones Lang LaSalle
Work Starts on $34M Affordable Housing Complex
By Eric Peterson
Last updated: February 8, 2006 01:53pm
(To read more on the multifamily market, click here.)
NEWARK-Work is set to start on Spruce Gardens, a 105-unit affordable housing complex representing the sixth phase of the redevelopment of this city’s troubled Central Ward, launched by the Newark Housing Authority. The latest project is costing $33.8 million to construct, or $322,000 per unit. The overall cost of the six phases, totaling 498 units, has been put at $144 million.
Spruce Gardens is being done as a joint venture between Roizman Development Inc. of Plymouth Meeting, PA and an affiliate of CharterMac Capital of New York, a CharterMac subsidiary. As part of the deal, another CharterMac subsidiary is providing $11.5 million in equity for tax credits generated by Spruce Gardens. The funding brings to a total of more than $69 million in the firm’s equity contributions to the redevelopment program, according to Justin Ginsberg, managing director of CharterMac Capital.
“These developments are urban revitalization at its best,” Ginsberg says. “Public and private entities worked together to make a plan happen.”
Set to rise on eight acres on the site of the demolished high-rise Stella Wright public housing development, the Spruce Gardens complex will consist of 13 two-story and townhouse buildings. The majority of the units will be designated for public housing residents, with the rest targeting residents earnings 60% or less of the area’s median income. Completion is slated for early 2007.
“We’re offering residents something they’re very much in need of, large apartments to accommodate extended families,” says Israel Roizman, CEO of Roizman Development. “Spruce Gardens apartments will be among the largest in the vicinity, an area where more than 40% of households contain 10 or more persons.”
“Spruce Gardens will continue the transformation of the neighborhood, and will also draw additional capital to the area,” Ginsberg says.
All six phases of the Central Ward redevelopment fall under the HUD’s HOPE VI program, which generally aims to leverage federal funding for private investment. The Spruce Gardens project is also getting $20 million in funding from the Newark Housing Authority via HUD’s HOPE VI program, and the latter will provide a support services package to residents of the new community.
Work Starts on $34M Affordable Housing Complex
By Eric Peterson
Last updated: February 8, 2006 01:53pm
(To read more on the multifamily market, click here.)
NEWARK-Work is set to start on Spruce Gardens, a 105-unit affordable housing complex representing the sixth phase of the redevelopment of this city’s troubled Central Ward, launched by the Newark Housing Authority. The latest project is costing $33.8 million to construct, or $322,000 per unit. The overall cost of the six phases, totaling 498 units, has been put at $144 million.
Spruce Gardens is being done as a joint venture between Roizman Development Inc. of Plymouth Meeting, PA and an affiliate of CharterMac Capital of New York, a CharterMac subsidiary. As part of the deal, another CharterMac subsidiary is providing $11.5 million in equity for tax credits generated by Spruce Gardens. The funding brings to a total of more than $69 million in the firm’s equity contributions to the redevelopment program, according to Justin Ginsberg, managing director of CharterMac Capital.
“These developments are urban revitalization at its best,” Ginsberg says. “Public and private entities worked together to make a plan happen.”
Set to rise on eight acres on the site of the demolished high-rise Stella Wright public housing development, the Spruce Gardens complex will consist of 13 two-story and townhouse buildings. The majority of the units will be designated for public housing residents, with the rest targeting residents earnings 60% or less of the area’s median income. Completion is slated for early 2007.
“We’re offering residents something they’re very much in need of, large apartments to accommodate extended families,” says Israel Roizman, CEO of Roizman Development. “Spruce Gardens apartments will be among the largest in the vicinity, an area where more than 40% of households contain 10 or more persons.”
“Spruce Gardens will continue the transformation of the neighborhood, and will also draw additional capital to the area,” Ginsberg says.
All six phases of the Central Ward redevelopment fall under the HUD’s HOPE VI program, which generally aims to leverage federal funding for private investment. The Spruce Gardens project is also getting $20 million in funding from the Newark Housing Authority via HUD’s HOPE VI program, and the latter will provide a support services package to residents of the new community.
posted by Jones Lang LaSalle NJ News Blog at 11:04 AM
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