A development team is planning to purchase and renovate Hamilton Square, a 68-unit complex at 20 and 21 Mill St. in Paterson, as depicted in this rendering — Courtesy: Economic Development Authority
By Joshua Burd
A joint venture is moving ahead with plans to create new housing for veterans in Paterson, having secured a state subsidy to help it purchase and renovate two buildings.
The Economic Development Authority announced Thursday that it approved the $6.3 million tax credit for two entities, Hamilton Square Urban Renewal LLC and Soldier On Veterans Village VII LLC, under the Economic Redevelopment and Growth program. The award will support their plans for what’s known as Hamilton Square, a 68-unit complex at 20 and 21 Mill St., which comprise a three-story historic building built in 1814 and a four-story building built in 1997.
The two brick structures, located in the city’s Great Falls Historic District, include a mix of one-, two- and three-bedroom homes, along with parking for tenants. According to the EDA, the development team will convert seven of those units to be fully compliant with the Americans with Disabilities Act as part of the planned rehabilitation.
Officials touted the project as the latest beneficiary of the previously dormant Economic Redevelopment and Growth program, also known as ERG, which the state revived as a stopgap while it rolls out new incentive programs under the New Jersey Economic Recovery Act of 2020.
“The decision by Governor Phil Murphy and the Legislature to extend the ERG program is enabling projects that will help communities and residents hit hardest by the pandemic recover while programs created by the ERA take shape,” said Tim Sullivan, the EDA’s chief executive. “This project upholds several of the policy goals established under the ERA, particularly those that uplift our most vulnerable citizens by providing affordable and accessible housing options for veterans, and those with disabilities.”
SOVV is a subsidiary of Soldier On Inc., a Massachusetts-based nonprofit committed to ending veteran homelessness, and will provide veteran referrals and supportive services to the veteran population at Hamilton Square, including securing affordable housing units, when available, according to a news release. Soldier On was organized in 1994 to provide a continuum of programs to ensure that homeless veterans and their families have access to immediate and long-term housing with an array of support services delivered to them where they live.
“Reaching the homeless veteran population is an enormously difficult task, but a crucial one,” said Brig. Gen. Lisa J. Hou, commissioner of the states Departent of Military and Veterans Affairs. “Our dedicated Veterans Service Officers and the two existing state-run Veterans Havens do incredible work every day toward the goal of ensuring all New Jersey veterans can access the benefits they have earned. The tremendous efforts of Governor Murphy, the Legislature, the NJEDA, private and public organizations together, affirm steadfast support for those who have served and sacrificed for our great state and nation.”
The ground floor of 21 Mill St. has eight commercial spaces with a commercial parking lot that are not part of the project, according to a news release. The land and buildings will be broken into two parcels, with the applicants solely purchasing the residential portion and the commercial component remaining with the current owner.
Estimated renovation costs are $5.9 million and will include completely renovated kitchens and bathrooms, updated aluminum windows, new doors and high-grade vinyl floor or hardwood floors, the EDA said. Additionally, the project will include common area and exterior renovations such as conversion of the 1,500-square-foot vacant commercial space at 20 Mill St. into a community room, creation of a small fitness center, repairs to the elevators, installation of a new security system with cameras and execution of other repairs and upgrades to common areas, including the parking lot and fencing.
The applicants are eligible for a base award of 20 percent of eligible project costs, plus an additional 20 percent since the property is located in what’s known as a Garden State Growth Zone. The tax credit award represents 37.57 percent of eligible project costs of $16.8 million.
