BRP Companies, The NYC Housing Development Corporation (HDC), and NYC Department of Housing Preservation and Development (HPD) yesterday announced the commencement of construction of The Bradford, a $45 million housing and retail development in Bedford-Stuyvesant, Brooklyn.
The Bradford, located at 1560-1576 Fulton Street, will offer 105 apartments for rent to low- and middle-income families and is slated for completion in the summer of 2012.
It is part of Mayor Michael R. Bloomberg's New Housing Marketplace Plan (NHMP), an $8.4 billion initiative to finance 165,000 units of affordable housing for half a million New Yorkers by 2014. To date, the plan has funded the creation or preservation of nearly 108,600 units of affordable housing across the five boroughs. Under the NHMP, more than 2,940 affordable homes have been financed in Brooklyn Community District 3 where The Bradford is being built.
The groundbreaking was attended by Edolphus Towns, U.S. Congressman; Marty Markowitz, Brooklyn Borough President; Albert Vann, New York City Council Member; Lloyd C. Blankfein, Chairman and CEO of Goldman Sachs; Colvin Grannum, President and CEO of Bedford Stuyvesant Restoration Corp.; Rafael E. Cestero, Commissioner of NYC Housing Preservation and Development; Marc Jahr, President of NYC Housing Development Corporation; Deborah Wright, CEO of Carver Bancorp; and Geoff Flournoy and Meredith Marshall, Managing Directors of BRP.
Goldman Sachs, the sole private investor in The Bradford, worked closely with HDC, HPD, and BRP Companies to develop an innovative financing structure. This project represents the first time HDC financing has been used in conjunction with New Markets Tax Credits (NMTC). Goldman Sachs' investment in the project, coupled with the HDC and HPD financing, enabled the project to move forward despite the difficult real estate financing environment and diminishing government resources.
"The Bradford is the type of development that can help transform underserved communities into sustainable and vibrant neighborhoods by providing more affordable housing and community-serving retail space," said Lloyd C. Blankfein, Chairman and CEO of Goldman Sachs. "The Bradford is the latest investment in a series of mixed-income community development projects Goldman Sachs has made in Bedford-Stuyvesant and across New York City."
In addition to The Bradford, Goldman Sachs has financed two other mixed-use mixed-income real estate projects in Bedford Stuyvesant, including Vendors Market and Garvey, which total an additional $50 million in development costs.
For The Bradford, HDC issued $20.7 million in recycled tax exempt bonds for the construction financing and provided $6.8 million in subsidy from its corporate reserves.
Additionally, HPD provided $4.38 million in City Capital funds, $1.9 in HOME funds and $1 million in HTF funds. Goldman Sachs, in addition to fulfilling the role as equity backer for the bond issuance, has also provided $6.5 million in NMTC equity.
The not-for-profit and development partners are the Bedford-Stuyvesant Restoration Corporation (BSRC), the nation's oldest community development corporation, and BRP Companies, a development firm of multi-family housing throughout New York City and Philadelphia.
"The Bradford represents a significant milestone in BSRC's initiative to re-envision and revitalize Fulton Street, the major commercial corridor in Bedford-Stuyvesant," said Colvin W. Grannum, President of BSRC. "The project will transform one of the most blighted sections of Fulton Street by creating a significant amount of mixed income, affordable housing and attractive, flexible commercial space."
The Bradford, located at 1560-1576 Fulton Street, will offer 105 apartments for rent to low- and middle-income families and is slated for completion in the summer of 2012.
It is part of Mayor Michael R. Bloomberg's New Housing Marketplace Plan (NHMP), an $8.4 billion initiative to finance 165,000 units of affordable housing for half a million New Yorkers by 2014. To date, the plan has funded the creation or preservation of nearly 108,600 units of affordable housing across the five boroughs. Under the NHMP, more than 2,940 affordable homes have been financed in Brooklyn Community District 3 where The Bradford is being built.
The groundbreaking was attended by Edolphus Towns, U.S. Congressman; Marty Markowitz, Brooklyn Borough President; Albert Vann, New York City Council Member; Lloyd C. Blankfein, Chairman and CEO of Goldman Sachs; Colvin Grannum, President and CEO of Bedford Stuyvesant Restoration Corp.; Rafael E. Cestero, Commissioner of NYC Housing Preservation and Development; Marc Jahr, President of NYC Housing Development Corporation; Deborah Wright, CEO of Carver Bancorp; and Geoff Flournoy and Meredith Marshall, Managing Directors of BRP.
Goldman Sachs, the sole private investor in The Bradford, worked closely with HDC, HPD, and BRP Companies to develop an innovative financing structure. This project represents the first time HDC financing has been used in conjunction with New Markets Tax Credits (NMTC). Goldman Sachs' investment in the project, coupled with the HDC and HPD financing, enabled the project to move forward despite the difficult real estate financing environment and diminishing government resources.
"The Bradford is the type of development that can help transform underserved communities into sustainable and vibrant neighborhoods by providing more affordable housing and community-serving retail space," said Lloyd C. Blankfein, Chairman and CEO of Goldman Sachs. "The Bradford is the latest investment in a series of mixed-income community development projects Goldman Sachs has made in Bedford-Stuyvesant and across New York City."
In addition to The Bradford, Goldman Sachs has financed two other mixed-use mixed-income real estate projects in Bedford Stuyvesant, including Vendors Market and Garvey, which total an additional $50 million in development costs.
For The Bradford, HDC issued $20.7 million in recycled tax exempt bonds for the construction financing and provided $6.8 million in subsidy from its corporate reserves.
Additionally, HPD provided $4.38 million in City Capital funds, $1.9 in HOME funds and $1 million in HTF funds. Goldman Sachs, in addition to fulfilling the role as equity backer for the bond issuance, has also provided $6.5 million in NMTC equity.
The not-for-profit and development partners are the Bedford-Stuyvesant Restoration Corporation (BSRC), the nation's oldest community development corporation, and BRP Companies, a development firm of multi-family housing throughout New York City and Philadelphia.
"The Bradford represents a significant milestone in BSRC's initiative to re-envision and revitalize Fulton Street, the major commercial corridor in Bedford-Stuyvesant," said Colvin W. Grannum, President of BSRC. "The project will transform one of the most blighted sections of Fulton Street by creating a significant amount of mixed income, affordable housing and attractive, flexible commercial space."
Architecture Critic
Carter Horsley
Since 1997, Carter B. Horsley has been the editorial director of CityRealty. He began his journalistic career at The New York Times in 1961 where he spent 26 years as a reporter specializing in real estate & architectural news. In 1987, he became the architecture critic and real estate editor of The New York Post.
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