Former Oval Wood Factory: “It’s a go!”
Dan McClelland
by Dan McClelland
“It’s a go!” was the word from Joe Gehm, the lead developer in the former Oval Wood Dish Factory housing project this past week.
The developers were waiting for a package of state tax credits to help them build the estimated $35 million apartment complex on Demars Blvd. which will include a new production brewery by Joe Hockey and Mark Jessie of Raquette River Brewing.
Mayor Paul Maroun, who has been working with Mr. Gehm and his partners on the apartment complex project in recent years, announced the good news at the May board meeting.
He read a letter from Commissioner Ruth Anne Visnauskas of the Homes and Community Renewal Agency of New York that approved the developers’ application submitted last fall.
“HCR has approved awards of up to $1.216 million of Low-Income Tax Credit, $500,000 of NYS Low-Income Housing Tax Credit, $5.2 million of New York State Housing Trust Fund, $1.4 million of Federal Housing Trust Fund, $5 million of Housing Development Fund, $2.133 million of NYS Home funds and $500,000 of Community Investment Fund to assist in the development of 80 affordable residential units.”
The state grant and credits are part of New York “Workforce Housing” initiative, directed by HCR.
The developers had applied for many of those same funds a year ago, but didn’t win the funds. The new award was made by the state in late April.
Mr. Gehm said they are currently working on completing all of their construction documents. “We’re hoping to have a closing date on construction financing by the end of the year.”
“This is our main project with the 80 apartment units and the Raquette River Brewery.”
Mr. Gehm and his partners are also working on a second project on the Fletcher family property behind the former Oval Wood Dish complex.
Mr. Gehm hopes for a ground-breaking on the first phase early in 2024.
A 12-month to 14-month construction period is anticipated for occupancy by its new tenants in 2025.
As part of the funding package to help finance the project, at the May meeting Mayor Maroun announced that the Village of Tupper Lake was awarded $1.6 million for phase 1 of the project, which involves the redevelopment of 126,000 square feet of vacant former industrial space in nine connected buildings- a combination of workforce housing, market-rate housing and various types of commercial space, including the production brewery.
He said it was part of the Restore New York Communities Initiative.
He said the village grant is in addition to $32 million in private funds, low-interest loans and the state tax credit package.
The tax credits approved by Governor Kathy Hochul will come, he said, in the amount of $1.75 million per year for ten years. The balance of the state funding package, he noted, comes in very low-interest loans.
He called it wonderful news for the community, as a partial remedy to Tupper Lake’s tight housing market where it’s very difficult for people to find apartments and houses, so they can move here and fill currently unfilled job positions- many of them in the construction trade and in direct care at Sunmount.