Hempstead IDA approves benefits for acquisition of apartment complex

Hempstead, NY Fred Parola, CEO of the town of Hempstead Industrial Development Agency, said that IDA has given preliminary approval to a benefits package that will assist a NYC-based investment group that specializes in affordable housing, to purchase and renovate a troubled housing complex in downtown.

The IDA meeting gave preliminary approval to the benefits package to Hempstead Preservation LLC, an affiliate of Hudson Valley Property Group, which plans to purchase 100 Terrace Ave., a federally subsidized apartment complex that has, over the years since its completion in 1972, been wracked by crime, drugs, and violence.

The benefits package for the $147 million project is subject to further review, a public hearing, and a final authorizing resolution by the IDA.

The project has the full support of the Village of Hempstead, and its representatives on the IDA Board voted in favor of the plan and the change of ownership.

The sprawling, block-wide complex, six-story, brick building with 420 apartments, has been owned since 2007 by 100 Terrace LLC, which is operating the property under an IDA benefits package with two years remaining. Those benefits will be terminated when the new owner takes over

Daniel Deegan, an attorney for the developer, told the IDA that the residents of the complex have been vilified.

Hempstead Preservation said it intends to complete substantial renovations at the property, including but not limited to building modernization, kitchen and bathroom upgrades, and overall quality of life improvements. The renovations will also include elevator upgrades, repairs, parking garage repairs, security overhaul, including high-resolution and night vision security, as well as refurbishing of the Hempstead Police Department substation. In addition, the developer will offer free site-wide Wi-Fi in both the apartments and common areas.

Construction is expected to take 18 months, and residents will not be displaced during the renovations.

“This project will revitalize the property, creating a safe, attractive, and well-maintained affordable housing community for its residents,’’ said Parola. 

The town of Hempstead Industrial Development Agency is a public benefit agency with the power to help qualified businesses relocate, expand, and build in the town of Hempstead, New York’s largest town.  The town of Hempstead Industrial Development Agency is authorized by New York State to promote economic development with financial assistance and tax relief. The town is committed to responsible growth, emphasizing its stable tax base, highly educated workforce, and access to major airports, New York City, and world markets. IDA assistance has resulted in more than $2 billion in project financing and has led to the creation or retention of 11,000 permanent jobs to benefit the town’s economy.