Agency targets downtown for affordable housing
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NORTHAMPTON - One of the region's providers of affordable housing is using hard times to restore lost capacity.
A downtown building that might have been snatched up for commercial use will instead provide one-room apartments for homeless or low-income people, in a $2.1 million project conceived by the Valley Community Development Corp.
"It's hard for us to compete with a private developer," said Joanne Campbell, Valley CDC's executive director. "We don't get our hands on downtown property very often."
The nonprofit agency bought a wooden structure at 96-98 King St. on Dec. 22 from Bennett and Lilly Gaev for $300,000. It is on the west side of the street between Trumbull Road and Bright Street.
The property had been gutted in advance of renovations the Gaevs planned in order to convert the building into space for therapists.
Instead of going forward with their project, the Gaevs put the property on the market and the Valley CDC was able, after nine months of negotiations, to buy it at its appraised value. Lilly Gaev was interested in seeing the property used for a good purpose, Campbell said. "She's worked with us over this time."
Neither Lilly nor Bennett Gaev could be reached for comment Wednesday.
The Valley CDC had recently lost out on a bid to buy property on Market Street, even though it offered full price.
Next step: More funding
Now, Campbell said she hopes to secure funding from the state Department of Housing and Community Development to create eight small apartments, along with commercial space on the first floor. "The purpose is to have housing that's close to downtown," she said.
The units would be "enhanced SROs" - that is, single-room occupancy spaces that include kitchenettes and small bathrooms.
The eight units would add to the 104 the Valley CDC owns in the area, including the Go West property and 16 North Maple St. in Florence center, and would help it continue to counter loses of such housing in Northampton over the last decade.
The city itself has set a goal of creating "new, safe and affordable SRO units" - to offset the loss of such housing.
The loss of just two buildings to commercial development or fire - the former Baystate Hotel on Strong Avenue and Augie's on Bridge Street - cost the city SRO units.
Late last year, the Valley CDC opened two new projects - an eight-unit building on School Street in Northampton and an 11-unit property on Main Street in Amherst that is managed by the Amherst Housing Authority.
It will likely be two years before the King Street property is ready to receive tenants. That much time is needed for the Valley CDC to apply for construction funding, Campbell said. The money is already allocated by the federal government and is expected to be available even in a year when both state and U.S. governments face financial pressures.
The Valley CDC also plans to seek $325,000 in support from Smith College, which is working with the city on affordable-housing issues.
The King Street property is zoned for general business, which requires a commercial use on the first floor. The Valley CDC will eventually recruit business tenants, just as it did for its property in Florence.
Campbell said that her agency has not yet reached out to the neighborhood to outline its plans for the building. "I'm hopeful there will not be neighborhood opposition," she said.
Ward 4 City Councilor David Narkewicz is supporting the project.
Work to take the building back to its walls suits the Valley CDC, by reducing its demolition costs. "It's a benefit for us because we strip them down anyway," Campbell said.
She said the agency will move quickly to secure the building with plywood for the months it will take to land construction financing.
The Northampton City Council is expected Thursday to take a required second vote approving use of $225,000 in Community Preservation Act money as a 10 percent local match for state financing for construction, Campbell said. Meantime, the agency is seeking $250,000 from the CPA to renovate and refinance its 16 N. Maple St. property in Florence.
For now, the King Street project will be front-burner for Campbell's outfit. "There's a limit to how many projects we can do at any one time," she said. "We're always looking."
Larry Parnass, the Gazette's managing editor for news, can be reached at lparnass@gazettenet.com.
