GOV. MALLOY: CAPITAL REGION DEVELOPMENT AUTHORITY CLOSES ON ITS FIRST HOUSING PROJECT
26 One-Bedroom Apartments to be Added to Hartford's Housing Inventory
(HARTFORD, CT) - Governor Dannel P. Malloy today announced that the Capital Region Development Authority (CRDA), the quasi-state agency created in 2012 to stimulate economic development in the capital region, has closed on the financing of 201 Ann Uccello Street, which will convert an existing Class B commercial office building into 26 one-bedroom units with street level commercial use.
"We recognize that housing is an important stimulus to economic and community development," Governor Malloy said. "CRDA plays an essential role in helping to address the demand for residential options in the capital city."
The $5.3 million project is supported by a CRDA construction note of $3.8 million, which will be reduced with permanent financing of $3.1 million to a second note of $750,000 upon completion.
"The Connecticut state legislature authorized $60 million in funds to CRDA to assist in housing development in Hartford," says Michael Freimuth, Executive Director of CRDA. "The structure of this deal is a strategic investment in a project where CRDA is stimulating private investment."
The city's new expedited permitting system will allow construction on the project to start immediately.
"Our development team will be working with the developer and contractors to achieve a timely completion on the project," Hartford Mayor Pedro Segarra said. "Downtown is almost at full capacity. The quicker we can move on these projects the quicker we can offer more residential options to those who see the appeal of living in the capital city."
The Tavern Downtown is the current tenant of the property, which is managed by Ann Street Property, LLC and controlled by private developer Yisroel Rabinowitz. Rabinowitz sees potential and value in Hartford's future.
"I would like to thank Mike Freimuth and his team at the CRDA for their confidence in me and the Ann Street project," Rabinowitz said. "I believe this is the beginning of an exciting chapter of revitalization of the downtown Hartford community."
The apartments are expected to be available for rent by the fall of 2014. This project is the first of several collaborative ventures between CRDA, the city and private developers which include 179 Allyn Street with 63 units and the Sonesta conversion into 193 units.
For Immediate Release: October 31, 2013
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