Governor Healey Announces Over $140 Million to Create More Than 1,300 New Homes Statewide
Commercial Conversion Tax Credits will turn vacant commercial buildings into 339 new homes; Affordable Housing Development awards will support 1,008 homes
PITTSFIELD — Governor Maura Healey today announced funding from two programs to jumpstart housing production across the state – approximately $8.4 million from the new Commercial Conversion Tax Credit Initiative (CCTCI) to help communities transform empty or rundown commercial buildings into new homes and $139.5 million in low-income housing tax credits and subsidies through the Affordable Housing Development grant program. The announcement was made in downtown Pittsfield at 24-34 North Park Square Residences, a former bank building that is being converted into new housing with support from CCTCI.
The CCTCI was created in Governor Healey’s Affordable Homes Act, and in this inaugural funding round, the Executive Office of Housing and Livable Communities (HLC) is awarding nearly $8.4 million in CCTCI tax credits across five projects that will create 339 new homes in Boston, Fitchburg, New Bedford, Pittsfield and Worcester. The awards support projects in downtowns and neighborhood centers where commercial buildings are underutilized and where new housing can help bring foot traffic, customers and energy back to local business districts.
“Too many downtown buildings across Massachusetts are sitting dark and empty when they could be part of the solution to our housing shortage,” said Governor Maura Healey. “The Affordable Homes Act gave us new tools to move faster and smarter, and this first round of Commercial Conversion tax credits will help turn underused commercial properties into homes, bring new energy to our downtowns and lower housing costs for residents. We’re grateful to the Legislature for their partnership and for the developers who stepped up to build new housing through both of these programs.”
“These projects are about smart reuse and stronger communities — taking buildings that have been empty or underused and making them part of a downtown comeback,” said Lieutenant Governor Kim Driscoll. “When we create housing in walkable commercial centers, we support local businesses, strengthen neighborhoods and help more people live closer to jobs, transit and everyday amenities.”
Governor Healey also announced $139.5 million in funding from the Affordable Housing Development Grant Program for 15 rental housing developments statewide. Together, these projects represent 1,008 new homes, including 903 affordable homes and 284 homes for extremely low-income households, including individuals and families transitioning from homelessness.
“The Affordable Housing Development Grant Program is one of the most important ways we finance affordable housing across Massachusetts year after year,” said Executive Office of Housing and Livable Communities Secretary Ed Augustus. “These 15 developments will help move 1,008 homes forward statewide, delivering the homes seniors, families and workers need to stay in the communities they call home.”
First Commercial Conversion Tax Credit awards
Created by the Affordable Homes Act, CCTCI is designed to help unlock housing by supporting the conversion of underused commercial properties into new homes. These conversions can reduce blight, put prominent buildings back into productive use and help strengthen downtowns and commercial districts.
HLC is awarding the first-ever CCTCI credits to the following projects:
150 Milk Street (Boston) — 18 homes — $970,000. Conversion of a historic office building in Boston’s Financial District into rental housing, with street-level commercial space and second-floor tenant amenity space. The project will also leverage historic tax credits.
Main Street Lofts @ 280 (Fitchburg) — 35 homes — $1,298,757. Conversion of a historic office building in downtown Fitchburg into rental housing, including street-level retail. The project will also leverage historic tax credits.
4586 Acushnet (New Bedford) — 65 homes — $1,130,448. Conversion of a former nursing home into rental housing. The project will also use Housing Development Incentive Program (HDIP) support and other sources to move the conversion forward.
24-34 North Park Square Residences (Pittsfield) — 23 homes — $1,390,014. Conversion of a historic office building in Pittsfield’s Park Square into rental housing, including street-level retail and a commercial kitchen. The project will leverage historic tax credits, Underutilized Property Program funds and other sources.
One Chestnut (Worcester) — 198 homes — $3,600,000. Conversion of a historic office building in downtown Worcester into 198 rental homes, supported with HDIP and other sources.
Affordable Housing Development awards
As part of HLC’s Affordable Housing Development grant program, the administration is awarding a combination of federal and state Low-Income Housing Tax Credits (LIHTC) and HLC subsidy funds. The developments total 1,008 homes statewide, including 903 affordable homes of which 284 homes are for extremely low-income households and those transitioning from homelessness. Together with the Commercial Conversion awards, the Affordable Housing Development awards reflect the administration’s push to increase housing supply in every region of Massachusetts — from downtowns to neighborhoods to smaller communities.
“Since the beginning of my administration, the Healey-Driscoll administration has been a valued partner of Pittsfield and this community,” said Pittsfield Mayor Peter Marchetti. “Whether we are looking to capitalize on the funding to support new housing development, make improvements to our roadways and bridges or help entrepreneurs start or grow their business, I know we have a team in Boston always ready to help us. Today’s announcement supports the city’s long-term vision for housing as we continue to provide options that serve every need.
“This is a great win for Pittsfield and the Berkshires; and a perfect example of how state and local government can work together with the private sector to improve our communities,” said Representative Tricia Farley-Bouvier. “When the legislature passed the Affordable Homes Act, we envisioned exactly this kind of investment in our local communities. These two projects, totaling 70 housing units, mean more people at home in and near our downtown, leading to increased economic activity for the area’s businesses.”
Across the 15 developments, HLC awards include:
$25.7 million in federal 4 percent and 9 percent Low-Income Housing Tax Credits
$32.4 million in state Low-Income Housing Tax Credits
$81.4 million in HLC subsidies
HLC is awarding tax credits and subsidies to the following projects:
Turtle Woods (Beverly) — 67 homes. Preservation and rehabilitation of an occupied senior housing development sponsored by the nonprofit Harborlight Community Partners. When rehabilitation is complete, the project will provide 67 affordable homes for seniors earning less than 60 percent AMI, including 17 homes further restricted for seniors earning less than 30 percent AMI, and the sponsor will provide supportive services for residents.
Parcel P-12C (Boston) — 111 homes. New construction high-rise in Boston’s Chinatown sponsored by Asian Community Development Corporation in partnership with The Community Builders. All units will be affordable to households earning less than 60 percent AMI, including 32 homes for households earning less than 30 percent AMI, in some cases transitioning from homelessness, and the project will incorporate green and sustainable design.
Dot Block Phase II Hancock Building (Boston) — 84 homes. New construction affordable mid-rise in Dorchester sponsored by Samuels & Associates in partnership with Morningside. All units will be affordable to households earning less than 60 percent AMI, including 17 homes for households earning less than 30 percent AMI, with nine homes reserved for households at risk of homelessness, and the project will include green and sustainable design features.
One Waverly (Boston) — 52 homes. Demolition of an existing building and new construction of family housing with commercial space in Roxbury sponsored by Cruz Development Corporation. All units will be affordable to households earning less than 60 percent AMI, including 17 homes for households earning less than 30 percent AMI, and the project will incorporate green and sustainable design features.
112 Queensberry Street (Boston) — 24 homes. New construction of family housing in the Fenway neighborhood sponsored by Fenway Community Development Corporation. All units will be affordable to households earning less than 60 percent AMI, including six homes for households earning less than 30 percent AMI, with three homes further restricted for individuals or households transitioning from homelessness, and the sponsor will provide resident services and programs.
Sierra Vista Commons Phase 1 (Easthampton) — 36 homes. New construction of family housing sponsored by Sage Engineering and Contracting. All units will be affordable to households earning less than 60 percent AMI, including 10 homes for households earning less than 30 percent AMI, with six homes set aside for special needs populations, and the broader site includes a Greenfield Savings Bank branch and a daycare center currently under construction.
Carlson Crossing East Project (Framingham) — 61 homes. Rehabilitation of the former Beaver Street federal public housing project sponsored by Framingham Housing Development Corporation II in partnership with the Framingham Housing Authority. The project will provide 61 homes restricted for households earning less than 30 percent AMI with rental subsidies provided by the Framingham Housing Authority, and includes an expanded campus center and playground.
176 Main Street (Greenfield) — 32 homes. Adaptive reuse and new construction of family housing in downtown Greenfield sponsored by Rural Development, Inc. The project will provide 32 homes affordable to households earning less than 60 percent AMI, including eight homes for households earning less than 30 percent AMI, in some cases transitioning from homelessness, and it is designed to incorporate green and sustainable features.
Olde Station 9/4 (Lawrence) — 100 homes. New construction mixed-use development in south Lawrence sponsored by Greater Lawrence Community Action Council. All homes will be affordable to households earning less than 60 percent AMI, including 16 homes for households earning less than 30 percent AMI, and the sponsor will provide resident services including childcare and workforce development.
238 Pittsfield Road (Lenox) — 68 homes. New construction of affordable and workforce housing sponsored by Pennrose. The project will include 68 homes with 50 affordable homes, including 10 homes for households at or below 30 percent AMI, in some cases transitioning from homelessness, and will also include workforce and market-rate homes.
Merrimack Corridor Development (Lowell) — 118 homes. New construction of affordable and workforce family housing near the UMass Lowell campus sponsored by the nonprofit Revitalization Effort Toward New Urbanism in partnership with Trinity Financial. The project will provide 118 homes affordable to households at or below 80 percent AMI, including 90 homes at or below 60 percent AMI and 39 homes at or below 30 percent AMI, and is designed to achieve Passive House and meet Enterprise Green Communities standards.
New Bedford Trio (New Bedford) — 61 homes. Preservation and rehabilitation of existing rental housing in three historic properties sponsored by Affordable Housing & Services Collaborative. When rehabilitation is complete, the project will provide 61 homes affordable to households at or below 60 percent AMI, including 17 homes for households at or below 30 percent AMI, building on AHSC’s prior acquisition to stabilize the properties after the previous owner ceased operations.
Newton Gardens (Newton) — 112 homes. Conversion of an existing occupied market-rate development to workforce and affordable housing with rent restrictions sponsored by WinnDevelopment. Following moderate rehabilitation, the project will include 112 homes with affordability tiers including 30 homes below 80 percent AMI, with 16 homes further restricted below 30 percent AMI, and the remaining 82 homes restricted below 110 percent AMI.
Linden Street Apartments (Pittsfield) — 47 homes. New construction and adaptive use of family housing in downtown Pittsfield sponsored by Hearthway in partnership with Causeway Development. The project will provide 47 homes affordable to households at or below 60 percent AMI, including eight homes at or below 30 percent AMI, and will be certified to Enterprise Green Communities standards with the sponsor pursuing Passive House design for the three new construction buildings.
Town Farm Road Residences (Westford) — 35 homes. New construction and adaptive reuse of senior housing sponsored by SCG Development Partners working with CHOICE Housing Opportunities for Intergenerational and Community Endeavors. The project will provide 35 homes affordable to seniors at or below 60 percent AMI, including 10 homes at or below 30 percent AMI, on a site adjacent to a fire station and including a food pantry.
Since taking office, Governor Healey has focused on increasing housing production and lowering costs. To build more homes, she has taken action to speed up the permitting process, turn state land into thousands of new homes, convert downtown commercial space into apartments, create a first-in-the-nation fund to finance mixed-income development in a time of high interest rates, and legalize Accessory Dwelling Units (ADUs). This year, her administration will be offering low-cost financing and free designs for anyone who wants to add an ADU to their home. To help people afford their mortgages and rents right now, she banned mandatory renter-paid broker fees, gave seniors up to $2,800 a year to help with housing costs, and expanded home inspection protections.
