New York, NY — Standard Communities, the affordable housing division of Standard Property Company, a national, full-service multi-family real estate investment and management firm, is pleased to announce that it has closed on the $110.25 million acquisition of Polyclinic Apartments, a 151- unit affordable housing property located in Midtown Manhattan.
This transaction preserved the property as affordable housing for the long term, with 150 units reserved for low income families. Without these efforts, the property was “at risk” of conversion to market rate housing.
Standard Communities Co-Founder Scott Alter noted that “we are especially proud of the creative structure used to keep this property as high quality affordable housing in an area where high-end rentals and condos seem to be more and more common. As Mayor de Blasio and so many of our other elected officials have stressed, preserving affordable housing, especially in areas like Midtown Manhattan, is important.”
Standard Communities Partner and Head of East Coast Operations Joe Ouellette added that “federal budget and tax policy uncertainty have made preserving affordable housing increasingly difficult since November, making this preservation deal all the more important.”
Government leaders nationwide have recognized an affordable housing crisis that has worsened in recent years, and Standard Communities continues to combat this crisis. The preservation of Polyclinic Apartments using private capital is a major victory for New York City’s low-income residents. This marks the sixth property, totaling 1,025 apartments, that Standard Communities has acquired and preserved as long-term affordable housing in the U.S. in the last six months, all without the use of public funds.
“Providing the tools that leverage private capital to preserve affordable housing represents the kind of effective public-private partnership that Secretary Carson and this administration have championed,” said Lynne Patton, HUD Regional Administrator for New York and New Jersey. “The $110 million deal for Polyclinic Apartments will guarantee 150 affordable units in one of the nation’s most expensive rental markets for years to come.”
Converted to apartments in 1979, Polyclinic Apartments – a former hospital – features one, two, and three-bedroom units, as well as commercial space. HUD assisted with many aspects of the transaction, and 150 units at Polyclinic will be covered by a Project-Based Section 8 HAP contract that limits tenant rent payments to 30 percent of their adjusted income.
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