Goldman Sachs has committed $270 million to finance a significant affordable housing project in Brooklyn’s East New York neighborhood. This initiative, announced by New York Governor Kathy Hochul, aims to construct 385 affordable apartments, along with commercial spaces, addressing the city’s ongoing housing affordability crisis.
The project is part of the Innovative Urban Village development, a collaborative effort between the Gotham Organization, Monadnock Development, and the Christian Cultural Center. Located at 12020 Flatlands Avenue, the first phase will feature 386 affordable units, with plans for nearly 2,000 units upon full completion. The development will also include community amenities such as a performing arts center, retail spaces, and open park areas.
Asahi Pompey, chairman of Goldman Sachs’ Urban Investment Group, emphasized the project’s potential to revitalize East New York. He stated, “Our investment is a down payment on East New York’s potential, creating thousands of high-quality, affordable homes and essential services that will fuel the economic vitality of the community.”
This development aligns with Governor Hochul’s broader housing agenda, which includes a five-year, $25 billion plan to create or preserve 100,000 affordable homes statewide. The Innovative Urban Village project is a significant component of this initiative, aiming to provide sustainable and affordable housing solutions for New Yorkers.
The financing structure for the project includes a $170 million loan from the New York State Housing Finance Agency and an additional $47.1 million from the New York City Department of Housing Preservation and Development. Goldman Sachs’ Urban Investment Group is contributing $143 million in low-income tax credits, demonstrating a substantial commitment to addressing the housing needs in Brooklyn.
This initiative reflects a growing trend of public-private partnerships aimed at tackling the housing affordability crisis in New York City. By leveraging both public resources and private investment, projects like the Innovative Urban Village seek to create sustainable, mixed-use communities that offer affordable housing options and essential services to residents.
Leave a comment