THE BRONX, N.Y. — Construction is underway in the renovation of Eastchester Gardens in The Bronx. The redevelopment of the 10-building, 877-unit public-housing community, built in 1950, will be complete by approximately 2028. The total renovation cost is $391 million.
Merchants Capital secured $231 million in financing, which includes a $221.7 million, 30-year Freddie Mac CME permanent loan. Merchants also provided approximately $9.3 million in additional financing, including a $23.8 million Fannie Mae tax-exempt bond credit, $18.7 million in 4 percent Low-Income Housing Tax Credit equity and a $14 million bridge loan. Other funding came from public grants, historic tax credits and grants from the New York City Public Housing Authority (NYCHA) and the Permanent Affordability Commitment Together (PACT) program.
The renovation project will convert the public housing to project-based Section 8 status, which requires all units to be restricted to households earning no more than 60 percent of area median income.
Eastchester Gardens is being developed by the PACT partner team of MDG Design + Construction, Infinite Horizons and Wavecrest Management. The partners will address the capital needs of the development and rehabilitate all apartments, shared spaces, grounds and building infrastructure.
The team also will restore historic elements of the community, which is listed on the National Register of Historic Places, including original finishes and building facades and will preserve the property’s signature central lawn.
The revitalization will also preserve and enhance existing physical and social assets, including community and senior centers, operated by Neighborhood Initiatives Development Corp. and Regional Aid for Interim Needs. New supportive services will be introduced via a partnership with BronxWorks. These new onsite services include individual case management and group programming, counseling, mental health referrals, benefits enrollment assistance, financial education, employment training, job placement assistance and nutrition resources.