FOR IMMEDIATE RELEASE: May 16, 2019
NYCHA ANNOUNCES COMPREHENSIVE RENOVATIONS FOR MORE THAN 6,300 RESIDENTS ACROSS 9 BROOKLYN DEVELOPMENTS
Enhancements to include renovated apartments, rehabilitated elevators, new security upgrades, and improved building systems.
Joint venture between The Arker Companies, Omni New York LLC, Dabar Development Partners, and Bedford Stuyvesant Restoration Corporation will also incorporate capital improvements identified by resident leadership.
NEW YORK – Today, the New York City Housing Authority (NYCHA) announced the selection of a development team to work with the Authority to complete more than $350 million in major repairs and renovations at nine Brooklyn developments.
Through NYCHA’s Permanent Affordability Commitment Together (PACT) program, more than 6,300 residents will benefit from comprehensive upgrades to 2,625 apartments and common areas, including vital improvements to elevators, security, and heating systems as well as other needs identified by resident association leaders in each development.
“We pledged to our residents that we would address critical repairs in their homes, and working with our PACT partners will help us deliver those results,” said NYCHA Interim Chair and CEO Kathryn Garcia. “The Authority will continue to collaborate with residents to identify their needs so that we can improve their quality of life while also preserving safe, affordable housing for New Yorkers citywide.”
“Every NYCHA resident deserves to live in a well-maintained home,” said Deputy Mayor for Housing and Economic Development Vicki Been. “NYCHA 2.0 is a vital plan that will help bring necessary renovations to the homes of 175,000 New Yorkers, and today's announcement reaffirms our commitment to the 6,300 Brooklynites living in these nine developments.”
Following a public Request for Proposals released in late December 2018, the project will be led by Brooklyn Housing Preservation Experience LLC, a joint venture between The Arker Companies, Omni New York LLC, Dabar Development Partners, and Bedford Stuyvesant Restoration Corporation. Together, they will oversee the development, management, and social services plans for nine developments:
This will be the seventh PACT transaction to close, and will be the second transaction to directly involve the New York City Housing Development Corporation (HDC). Under PACT, these apartments will shift to project-based Section 8 funding, and the buildings will be managed by the partners. However, NYCHA retains ownership of the buildings and land, and will ensure that the partners adhere to standards outlined by a set of Guiding Principles to guarantee customer service and tenant protections for all residents.
“HDC is proud to be NYCHA’s financing partner on the ambitious PACT plan to deliver comprehensive improvements while securing affordability and tenant protections in some of the most distressed developments,” said HDC President Eric Enderlin. “Through this partnership, we will rehabilitate 2,625 apartments across nine Brooklyn developments, with NYCHA retaining ownership and control. I want to thank NYCHA, the development teams, and the many service providers for partnering with us to provide the safe, affordable homes NYCHA residents need and deserve.”
“We are thrilled to partner with NYCHA to bring critical repairs and modern amenities to the more than 6,300 New Yorkers who live in the Brooklyn PACT bundle,” said Daniel Moritz, Principal, The Arker Companies. “The PACT program is a clear path forward for preserving affordable housing in New York City while also offering residents the quality of life they truly deserve. In partnership with Omni, Dabar and Bedford Stuyvesant Restoration Corporation, we will not only be able to improve the homes of these residents but provide the communities broader opportunities for their families.”
“We are deeply committed to ensuring local communities continue to thrive. Being part of the NYCHA Brooklyn PACT bundle is a perfect chance to support local Brooklyn neighborhoods and ensure they receive the investments they deserve,” said Eugene Schneur, Managing Director, Omni New York LLC. “In partnership with The Arker Companies, Dabar and Bedford Stuyvesant Restoration Corporation, we bring the local experience and valued insight to keep the residents’ best interests at heart while we refurbish these apartments, allowing their families to enjoy improved homes for generations.”
“We are honored and thrilled to embark upon this partnership with the City of New York,” said Dawanna Williams, Founder and Managing Principal, Dabar Development Partners. “Our joint venture team’s highest priority is to preserve quality housing and provide much-needed capital improvements throughout these communities. We look forward to delivering modernized developments that will result in more integrated and sustainable communities today and for years to come.”
“For more than 80 years, NYCHA has been providing low-income Brooklynites an affordable place to live, and we are so proud to help restore these homes for thousands of hard-working New Yorkers,” said Colvin Grannum, President & CEO, Bedford Stuyvesant Restoration Corporation. “Our team of The Arker Companies, Omni, and Dabar will not only reinvigorate over 2,600 apartments, but we will continuously invest in the people of Brooklyn who call the buildings home. This is an extraordinary opportunity to help disrupt and close the racial wealth gap based on our tenets of excellence, collaboration, and innovation, with community remaining at its core.”
As with every previous PACT conversion, NYCHA has organized a series of meetings with residents to provide an overview of the program and directly answer their questions. The selected partners are also currently hosting a series of meetings with residents to incorporate their priorities and requests so that improvements are tailored to each respective community. Other improvements, which will fully address physical needs for each development, include:
All proposals were also required to include social services partners to enhance the community. Bedford Stuyvesant Restoration Corporation, El Puente, ParCare, NAN Tech World, and United Jewish Organizations of Williamsburg and North Brooklyn will supplement the developers’ efforts with on-the-ground community services.
Launched in 2015, PACT is one of three main tools under NYCHA 2.0 to help drive much-needed money into public housing infrastructure citywide while safeguarding long-standing tenant rights and protections. PACT allows NYCHA to completely renovate developments using HUD Section 8 conversion programs, including the Rental Assistance Demonstration (RAD).
Altogether, funding generated by these tools allows NYCHA to address nearly $24 billion in capital needs over the next decade, or up to 75 percent of the Authority’s $31.8 billion overall capital need. More information on NYCHA 2.0 initiatives can be found here and here.
For more information regarding upcoming PACT meetings, residents can call NYCHA at (212) 306-4036 or email PACT@nycha.nyc.gov.
About the New York City Housing Authority (NYCHA)
NYCHA’s mission is to increase opportunities for low- and moderate-income New Yorkers by providing safe, affordable housing and facilitating access to social and community services. Over 390,000 New Yorkers reside in NYCHA’s 316 public housing developments and PACT/RAD developments formerly managed by NYCHA around the five boroughs. Over 190,000 receive subsidized rental assistance in private homes through the NYCHA-administered Section 8 Leased Housing Program. For more information, visit www.nyc.gov/nycha, and for regular updates on NYCHA news and services, connect with us via www.facebook.com/NYCHA and www.twitter.com/NYCHA.
About the New York City Housing Development Corporation (HDC)
The New York City Housing Development Corporation (HDC) is the nation’s largest municipal Housing Finance Agency and is charged with helping to finance the creation or preservation of affordable housing under Mayor Bill de Blasio’s Housing New York plan. Since 2003, HDC has financed more than 150,000 housing units using over $21.2 billion in bonds and other debt obligations and provided in excess of $1.9 billion in subsidy from corporate reserves. HDC ranks among the nation’s top issuers of mortgage revenue bonds for affordable multi-family housing on Thomson Reuter’s annual list of multi-family bond issuers. In each of the last five consecutive years, HDC’s annual bond issuance has surpassed $1 billion. For additional information, visit: http://www.nychdc.com.
About The Arker Companies
Founded in 1949, The Arker Companies has created or preserved over 8,400 units of affordable housing and nearly one million square feet of commercial and community facility space. Located in Roslyn, New York, the company is a fully integrated development, property management, and general contracting firm. Other projects include market-rate and single-family housing developments, medical office buildings, mixed-use commercial developments and landscaped gardens. To learn more, visit www.arkercompanies.com.
About Omni New York LLC
Omni New York LLC is a privately held, vertically integrated company comprised of six operating businesses providing development, property management, maintenance, construction, syndication, and security. Founded in 2004, Omni has developed a reputation as one of New York City’s most trusted affordable housing developers. Omni and its affiliates have acquired or developed 71 properties with over 14,000 units and an aggregate transaction value of over $2 billion. To learn more, visit www.onyllc.com.
About Dabar Development Partners
Dabar Development Partners is an experienced minority- and woman- owned real estate development firm focused on the conversion, renovation, and new construction of real estate properties primarily in New York City. Founded in 2003, Dabar has completed a diverse portfolio of affordable, market-rate, and mixed-use developments. With over 1,000 units in the development pipeline, Dabar continues to demonstrate an ability to create dynamic yet affordable housing opportunities in emerging urban neighborhoods and communities. To learn more, visit www.dabardevelopment.com.
About Bedford Stuyvesant Restoration Corporation
Established in 1967 by community residents with the bi-partisan New York Senators Robert F. Kennedy and Jacob K. Javits, Bedford Stuyvesant Restoration Corporation, the nation’s first community development corporation, relentlessly pursues strategies to close gaps in family and community wealth to ensure that all Brooklyn families are prosperous and healthy. Visit www.restorationplaza.org for more information.