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Groundbreaking Kicks Off $19 Million Project to Rehabilitate Multifamily Affordable Housing in Bridgeton
Home > Media Room > HMFA in the News > News 2017 > Groundbreaking Kicks Off $19 Million Project to Rehabilitate Multifamily Affordable Housing in Bridgeton
For Immediate Release: Contact:
July 28, 2017 Tammori Petty
Emike Omogbai
(609) 292-6055
 

Groundbreaking Kicks Off $19 Million Project to Rehabilitate Multifamily Affordable Housing in Bridgeton


High Res Photo [jpg 2.4MB]

From left:  Edward Bethea, Gateway Community Action Partnership; David Ginsberg, WinnDevelopment; Bridgeton City Council President Gladys Lugardo-Hemple; Brett Meringoff, WinnDevelopment; New Jersey Senate President Stephen M. Sweeney; Anthony L. Marchetta, New Jersey Housing and Mortgage Financing Agency; Michael Putziger, WinnCompanies; Bridgeton Mayor Albert B. Kelly; Bryan Dickson, Citi Community Capital; and Larry Curtis, WinnDevelopment.

Rental Housing Will Provide Units for Homeless Individuals and Families

BRIDGETON, NJ – New Jersey Housing and Mortgage Finance Agency (HMFA) Executive Director Anthony L. Marchetta  joined local officials and representatives of WinnDevelopment Company on Thursday to break ground on an $18.7 million affordable housing project in Bridgeton. Upon completion, the newly rehabilitated multifamily housing development will provide 100 affordable apartments.

Located on a five-acre site in the Glenview neighborhood, Bridgeton Villas I is an existing two-story, walk-up garden-style apartment complex, built between 1967 and 1972, that will be rehabilitated in two phases.

In phase one, the developer will rehabilitate five buildings that contain 100 existing one-, two- and three-bedroom units. Construction is expected to be completed in February. Ten units will be set aside for homeless individuals and families. Phase II will rehabilitate three buildings, including 56 units with five set aside for homeless individuals and families.

Bridgeton Villas I is receiving a significant infusion of HMFA funding, including $9.55 million in construction and permanent financing from the Conduit Bond program and $1 million from the Special Needs Housing Trust Fund. The developer has also applied for federal 4 percent Low Income Housing Tax Credits, which are expected to generate $6.4 million in private equity.

“This development represents our continued commitment to expand affordable housing opportunities for New Jersey residents,” said New Jersey Department of Community Affairs (DCA) Commissioner Charles A. Richman, who also serves as chairman of the HMFA board. “I am particularly pleased that this development will offer permanent supportive housing for families impacted by homelessness.”

The project will modernize the complex, improve energy efficiency and expand the services available to residents. Social services will be offered by Gateway Community Action Partnership, which will provide or arrange case management services for building residents. All units will be affordable to households earning 60 percent or below the Area Median Income, with anticipated rents ranging from $623 to $1,200. The property is close to a school, grocery stores and open space. Bridgeton Villas I residents can utilize free on-demand public transportation provided to the general public as part of the Cumberland Area Transit System.
 
“Our Multifamily Conduit Bond Program enables well-capitalized developers to issue bonds through the agency at the most competitive interest rates available in the marketplace,” said HMFA Executive Director Marchetta. “The program is very attractive to developers, and the result is expanded opportunities to create housing for New Jersey families and also to help homeless residents. We have issued well over a billion dollars in conduit bonds since the program began in 2012.”

HMFA estimates that Bridgeton Villas I will generate approximately $30.5 million in one-time economic output, defined as the total value of industry production, such as sales and business revenues. During construction, the project will support approximately 182 direct and indirect/induced full-time equivalent jobs, and generate over $1.1 million in state and local taxes. When completed, Bridgeton Villas I is expected to continue to add value to the community by providing approximately $3.4 million in ongoing economic output, 19 direct and indirect/induced full-time equivalent jobs, and approximately $192,000 in state and local taxes annually. 

Economic Impact Analysis figures were estimated using multipliers derived from a 2013 study entitled “Economic and Fiscal Impacts of the New Jersey Housing and Mortgage Finance Agency’s Investment in Affordable Housing,” conducted by HR&A Advisors, Inc., a real estate and economic development consulting firm.

WinnDevelopment is the development arm of WinnCompanies, the nation’s largest manager of affordable housing. Offering 46 years of award-winning experience in the multifamily field, WinnCompanies owns 109 complexes of multifamily housing totaling 15,600 units and manages a total of more than 100,000 units across all income categories and property types in 22 states and the District of Columbia.

For more information on HMFA programs, visit www.njhousing.gov.