A 526-unit affordable housing development is about to receive extensive renovations as part of a major preservation effort in Rochester, New York.
Conifer Realty and Community Preservation Partners (CPP) announced the rehabilitation of Andrews Terrace, an iconic building that is home to seniors and disabled residents and their families on the city’s waterfront.Purchased in 2022, Andrews Terrace is the second joint investment for Conifer and CPP.
Built in 1975, the development consists of 19- and 22-story buildings containing studio, one-, and two-bedroom apartments. The buildings are connected on the first floor, with elevated outdoor walkways throughout. In recent years, the development has faced capital repair and maintenance challenges beyond what the operating budget could cover. In response to this, Andrews Terrace will undergo renovations estimated at $101 million, with a total project investment of approximately $335 million, according to the developers.
Preservation of the project, designed in the “brutalist” architectural style, will complement Rochester’s ROC the Riverway Program, a unified plan that includes dozens of transformational projects along the Genesee River.
KeyBank Community Development Lending and Investment (CDLI), in partnership with the Urban Investment Group within Goldman Sachs Asset Management, invested $135.6 million in 4% federal low-income housing tax credit equity and provided a $200 million construction loan. Additionally, KeyBank Commercial Mortgage Group closed $73.1 million in Fannie MTEB financing, and KeyBanc Capital Markets underwrote $163 million of tax-exempt bonds for this project. Federal and state historic tax credit equity of $37.2 million will be provided by Chase Community Equity.
Public partners include the New York State Division of Housing and Community Renewal, the National Park Service, the County of Monroe Industrial Development Agency, and the New York State Historic Preservation Office.
All apartments will receive considerable kitchen upgrades, including new countertops, appliances, fixtures, cabinets, and paint. Bathrooms will also be refurbished with the installation of new fixtures, vanities, and wainscotting. Once completed, 5% of the community’s apartments will be brought into Americans with Disabilities Act compliance.
Common areas, including the lobby, a community room, a management office, and a parking garage will also be renovated. There will also be several new outdoor additions, including a community garden on the property’s terrace, a grandparents’ playground, a seating and grilling area, and bocce ball courts. Indoor amenities will include a fitness room, a game room, a reading nook, and two community rooms with serve-in kitchens.
Additionally, elevators and electrical and plumbing systems will be upgraded. The building’s signature cantilevered balconies and connecting outdoor breezeways will be restored and upgraded with new finish coating. Windows and select doors will be replaced, and the façade will receive concrete and masonry repairs.
“Like many communities we serve across the nation, there is a significant need for affordable housing in Rochester,” said John Fraser, vice president of CPP East. “So, it’s incredibly satisfying to preserve this iconic affordable housing development for years to come. Andrews Terrace is a landmark and an important part of the community.”
Under an existing Housing Assistance Payment contract, Andrews Terrace has 496 of its apartments reserved for residents earning an area median income (AMI) of 50% or less, with 30 apartments set at 60% or less of the AMI.
The transaction includes a 20-year renewal to the project-based Section 8 contract from the Department of Housing and Urban Development.
