Housing and Community Development Undersecretary Kornegay and Congressman Keating Celebrate Ground Breaking at Canal Bluffs
Final phase of Canal Bluffs Development will include 44 units of mixed-income rental housing
Bourne, MA – July 21, 2017 – Today, the Department of Housing and Community Development Undersecretary, Chrystal Kornegay, joined Congressman Bill Keating, Preservation of Affordable Housing (POAH), the Housing Assistance Corporation of Cape Cod (HAC) and MassHousing to celebrate the groundbreaking of Canal Bluffs Phase III. When completed, the Canal Bluffs development will feature 117 mixed-income housing units, with both rental and homeownership opportunities.
“Workforce and affordable housing provides Massachusetts residents and families across all incomes and zip codes access to stability and opportunity,” said Governor Charlie Baker. “Through our workforce housing and preservation initiatives, we are pleased to support Canal Bluffs and developments like it throughout the Commonwealth, to provide affordable rental and homeownership opportunities to families in Bourne, the region and across the state.”
“Dedicated partners like POAH, HAC and the Bourne community worked closely with our administration to bring this project closer to housing the families and residents who need it most,” said Lieutenant Governor Karyn Polito. “We are committed to engaging local and non-profit partners across all our communities to support more projects and opportunities for affordable housing production in the Commonwealth.”
The third phase of the development includes 44-units of rental housing, with 35 affordable units and nine workforce housing units. In 2016, the Baker-Polito Administration awarded the project Low Income Housing Tax Credits that will raise over $7.5 million in equity, and supported the project with over $850,000 in direct subsidies from the Department of Housing and Community Development. Barnstable County also allocated $250,000 HOME funds towards the project. The state’s quasi-public financing agency, MassHousing, is supporting the development of Canal Bluffs through a $3.4 million permanent loan, $700,000 from the Opportunity Fund, and $1 million in subordinate debt from the Affordable Housing Trust Fund.
“Like many of our seasonal communities, Bourne faces the acute challenge of providing affordable housing to their year-round population,” said Undersecretary Kornegay. “The completion of Canal Bluffs will add 44 units of mixed-income rental housing, increasing Bourne’s housing options for the diverse needs of their community.”
The Canal Bluffs project advances the Baker-Polito Administration’s goal of creating up to 1,000 new workforce housing units affordable to middle-income families and households, through MassHousing’s $100 million Workforce Housing Initiative. Nine of the 44 units at Canal Bluffs III will be workforce housing units, affordable to households earning 70 percent of area median income.
“MassHousing’s Opportunity Fund helps create more economically diverse communities, by delivering types of affordable housing at that wouldn’t be possible otherwise,” said MassHousing Executive Director Tim Sullivan. “Our Workforce Housing Initiative is the first state-level program in the country to specifically address affordability for moderate-income households who don’t qualify for traditional affordable housing, but who still struggle to meet housing costs. Through projects like Canal Bluffs, we are state and local stakeholders to deliver new homes that are affordable to a broad range of working families, and advancing housing affordability across Massachusetts.”
“Canal Bluffs III serves as a prime example of local, state, and federal governments working together to relieve the high housing costs we are seeing throughout Cape Cod,” said Congressman Keating. “This project will help to ease some of the burden on families struggling to find affordable housing in our area – a responsibility we all share. I commend Preservation of Affordable Housing and HAC for the time and dedication they have dedicated to these projects in order to ensure their success.”
“Quality affordable housing that respects the unique character of Cape Cod is vital to our regional economy,” said State Senator Vinny deMacedo (R-Plymouth). “I am grateful to the Baker-Polito Administration for supporting the Canal Bluffs project as well as for their continued collaboration with HAC to support our economy and our workers by investing in housing on Cape Cod.”
“It’s no secret that Cape Cod is short on affordable housing, and I’m heartened that projects like Canal Bluffs are moving forward to fill that need,” said State Representative Randy Hunt. “Currently, Canal Bluffs offers 73 affordable residences; with the completion of phase three, that number will be bumped up to 117. Every home that’s built or made available for those who live and work here—and want to continue to—counts. Forty-four new units means 44 new home bases for the community members and families who will help build Cape Cod’s future. Thank you to our local and nonprofit partners at HAC and POAH, and the Baker-Polito Administration for their leadership and support; especially Undersecretary Kornegay and her team at DHCD.”
“We could not have made this vision a reality without the strong working relationship with HAC and the support of the Town of Bourne and the Barnstable County partners and agencies that worked with us to make this such a success,” said POAH President and CEO Aaron Gornstein.
“These types of partnerships between HAC and POAH are critical to addressing the region’s housing issues,” said HAC CEO Alisa Galazzi. “By combining our strengths and expertise, our two agencies are able to make projects like Canal Bluffs a reality which is vitally important because there is such a shortage of affordable apartments on Cape Cod for year-round residents.”
In April, Governor Baker filed a housing bond bill seeking $1.287 billion in additional capital authorization to advance the administration’s commitment to affordable housing. Last May, the administration unveiled a five-year capital budget plan that includes a $1.1 billion commitment to increasing housing production, an 18 percent funding increase over previous funding levels. The $1.1 billion capital commitment provides for significant expansions in state support for mixed-income housing production, public housing modernization, and affordable housing preservation. The housing bond bill filed today provides the authorization to fully fund this capital expansion.
Under the MassHousing Workforce Housing Initiative, the agency has committed or closed workforce housing financing totaling $33.5 million, to 14 projects, located in 10 cities and towns. To date, the Workforce Housing Initiative has advanced the development of 1,285 housing units across a range of incomes, including 363 workforce housing units.
Since 2015 the Baker-Polito Administration has provided direct funding to create and preserve over 3,500 units of affordable housing across Massachusetts.