City backs 4 affordable housing developments

• Posted by Worcester News Mon at 5:48 AM - Filed in News - #Worcester  #housing  - 636 views

  
  City of Worcester (Facebook)

  The City of Worcester has awarded more than $1.35 million in Community Preservation Act funding to four affordable housing developments expected to create 74 deed-restricted affordable homes across the city.

  The Worcester Affordable Housing Trust Fund Board of Trustees approved $1,358,362 during its Spring 2026 funding round. City officials said the investment will help leverage more than $154 million in total development costs while supporting new construction, adaptive reuse, public housing redevelopment and neighborhood infill housing for households earning between 30% and 80% of the area median income.

  "These awards reflect the Affordable Housing Trust Fund's continued commitment to investing in projects that increase Worcester's supply of affordable housing while leveraging significant public and private investment," City Manager Eric Batista said in a statement. "This funding supports projects at a variety of scales, from transformative neighborhood redevelopment efforts to smaller infill developments, helping ensure Worcester residents have access to safe, high-quality, affordable homes."

  The largest award, $600,000, will support Phase 3 of the redevelopment of the Worcester Housing Authority's Lakeside Apartments. The project, led by Lakeside Developer LLC, a joint venture between Tremont Development Partners and E3 Development, will construct a four-story building with 103 apartments, including 38 net new affordable homes. The broader redevelopment aims to transform the aging public housing community into a mixed-income neighborhood with about 350 rental and homeownership units.

  The second-largest award, $585,632, will help convert the vacant historic Heywood Boot & Shoe Company Building at 70 Winter St. into 77 mixed-income apartments and approximately 3,700 square feet of ground-floor commercial space. The project, sponsored by The Beantown Companies, includes 15 income-restricted apartments, five of which are supported directly by the trust fund.

  Colony on Grove Phase III received $100,000 to replace 24 aging senior apartments with 52 newly constructed affordable senior apartments, resulting in 28 net new affordable homes. The development will include six fully accessible units, Passive House design and permanent affordability restrictions.

  ABG Real Estate LLC received $72,730 for the South Worcester Urban Infill Housing project, which will create three affordable rental homes across two properties through construction of a two-family home and an accessory dwelling unit. The all-electric development is designed to expand housing options within existing neighborhoods.

  City officials said all four developments will remain subject to long-term affordability restrictions and must complete underwriting, legal and closing requirements before funding agreements are finalized.

  Since its creation, the Affordable Housing Trust Fund has served as one of Worcester's primary tools for expanding affordable housing by leveraging additional state, federal, local and private investment.

  The City of Worcester has awarded more than $1.35 million in Community Preservation Act funding to four affordable housing developments expected to create 74 deed-restricted affordable homes across the city.

  The Worcester Affordable Housing Trust Fund Board of Trustees approved $1,358,362 during its Spring 2026 funding round. City officials said the investment will help leverage more than $154 million in total development costs while supporting new construction, adaptive reuse, public housing redevelopment and neighborhood infill housing for households earning between 30% and 80% of the area median income.

  "These awards reflect the Affordable Housing Trust Fund's continued commitment to investing in projects that increase Worcester's supply of affordable housing while leveraging significant public and private investment," City Manager Eric Batista said in a statement. "This funding supports projects at a variety of scales, from transformative neighborhood redevelopment efforts to smaller infill developments, helping ensure Worcester residents have access to safe, high-quality, affordable homes."

  The largest award, $600,000, will support Phase 3 of the redevelopment of the Worcester Housing Authority's Lakeside Apartments. The project, led by Lakeside Developer LLC, a joint venture between Tremont Development Partners and E3 Development, will construct a four-story building with 103 apartments, including 38 net new affordable homes. The broader redevelopment aims to transform the aging public housing community into a mixed-income neighborhood with about 350 rental and homeownership units.

  The second-largest award, $585,632, will help convert the vacant historic Heywood Boot & Shoe Company Building at 70 Winter St. into 77 mixed-income apartments and approximately 3,700 square feet of ground-floor commercial space. The project, sponsored by The Beantown Companies, includes 15 income-restricted apartments, five of which are supported directly by the trust fund.

  Colony on Grove Phase III received $100,000 to replace 24 aging senior apartments with 52 newly constructed affordable senior apartments, resulting in 28 net new affordable homes. The development will include six fully accessible units, Passive House design and permanent affordability restrictions.

  ABG Real Estate LLC received $72,730 for the South Worcester Urban Infill Housing project, which will create three affordable rental homes across two properties through construction of a two-family home and an accessory dwelling unit. The all-electric development is designed to expand housing options within existing neighborhoods.

  City officials said all four developments will remain subject to long-term affordability restrictions and must complete underwriting, legal and closing requirements before funding agreements are finalized.

  Since its creation, the Affordable Housing Trust Fund has served as one of Worcester's primary tools for expanding affordable housing by leveraging additional state, federal, local and private investment.