100-Terrace-Hempstead

HVPG Acquires Long Island Affordable Housing Property for $145 Million

by Lynn Peisner

HEMPSTEAD, N.Y. — Hudson Valley Property Group (HVPG) has acquired 100 Terrace Apartments, a 430-unit affordable housing community located at 100 Terrace Ave. in Hempstead, a city in Nassau County. Total acquisition costs were approximately $145 million. HVPG is planning to invest roughly $23 million in renovations to the property, which was originally constructed in 1972.

To ensure long-term affordability for residents, HVPG has secured a renewed HUD Project-Based Section 8 Housing Assistance Payment (HAP) contract covering 99 percent of the property’s units. Under this agreement, income-qualified residents will pay no more than 30 percent of their household income toward rent, with affordability protections locked in for 22 years. The property is further restricted to income-qualified residents earning no more than 50 percent of area median income.

 The property is further supported by a Payment in Lieu of Taxes (PILOT) agreement with the Township of Hempstead Industrial Development Agency (IDA).

Upgrades will include new cabinetry and countertops, energy-efficient appliances, water-saving faucets and sinks and new flooring. High-speed Wi-Fi will be available to residents at no cost, and HVPG will install new cameras, access control systems and intercom technology and will complete several infrastructure improvements, including a new roof and elevators.

The deal was financed through a combination of equity from HVPG’s Hudson Valley Preservation Fund and a Fannie Mae loan arranged by KeyBank. HVPG worked with the U.S. Department of Housing and Urban Development (HUD) and the Township of Hempstead IDA to structure this preservation transaction.

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