NYCHA & Partners Close on $757M in Financing for Bay View Houses PACT Renovation
Includes NYCHA’s largest heating electrification project to date
This financial closing is a key milestone in the renovation of over 1,600 apartments for more than 3,100 Brooklyn residents
The development will receive comprehensive renovations to improve the quality of life for residents, including upgrades to apartments, community spaces, and building infrastructure
On December 23, NYCHA closed on the financing for a $757 million Permanent Affordability Commitment Together (PACT) project that will bring comprehensive renovations for over 3,100 residents living in 23 residential buildings at Bay View Houses in Canarsie, Brooklyn. The building has now converted to Project-Based Section 8 through the federal Rental Assistance Demonstration (RAD) program, unlocking funding that will allow the PACT partner team – MDG Design + Construction, Infinite Horizons, and Wavecrest Management – to address the capital needs of the development and begin fully rehabilitating 1,610 apartments, as well as community and outdoor spaces and building infrastructure, to improve residents’ quality of life. The PACT program also maintains residents’ rights and preserves affordable rents for all households. Building on NYCHA’s Clean Heat for All program, Bay View Houses will receive the largest heating electrification conversion at a NYCHA development to date. Not only does this closing bring the total number of PACT apartments to over 31,000, it also makes 2025 a record year for total units converted and capital financing secured.
Following the financial closing, Wavecrest Management will handle the day-to-day property management responsibilities at the development. Social services will be provided through IMPACCT Brooklyn. Additional details on the planned investments and improvements are outlined in the Community Plan documents, which were developed through a collaboration between the partner team, residents, and NYCHA. A copy of the Community Plan will be distributed to every household at the start of construction.
“This investment is a monumental step forward for the thousands of New Yorkers who call Bay View Houses home, ” said NYCHA Chief Executive Officer Lisa Bova-Hiatt. “This project is particularly significant because it features our largest heating electrification project to date, demonstrating the PACT program’s ability to incorporate sustainable solutions into its infrastructure modernization. We look forward to working alongside our PACT partners and resident leaders to bring this community’s vision for a revitalized Bay View to life.”
“Congratulations to our residents and PACT partners for this milestone PACT closing! Today we take a next step in delivering repairs for over 3,000 NYCHA residents at Bay View, but we also reach a significant milestone for the PACT program,” said Chief Real Estate Officer and Executive Vice President Jonathan Gouveia. “Through the PACT program, NYCHA has now converted over 31,000 homes to stable funding and has provided nearly $10 billion in capital repairs across the city. The program continues to show how NYCHA can deliver on our mission through partnership with our residents and development partners.”
“Due to all of the diligent work by the development team and PACT partners, Bay View will be a viable community once again,” said Bay View Houses Tenant Association President Sheryl Boyce.
“The residents of NYCHA’s Bay View Houses will soon benefit from a wide range of capital improvements to their homes and buildings, while simultaneously advancing the City’s climate goals through the electrification of Bay View’s heating system,” said New York City Housing Development Corporation President Eric Enderlin. “Thanks to all of our partners for their work in advancing this important project and the larger efforts underway to preserve New York City’s public housing stock through PACT.”
Selected in coordination with resident leadership, the PACT partner team has worked closely with residents and NYCHA to design every aspect of the development’s renovation since 2024. After nearly two years of development-wide meetings, plans for the large-scale renovations have been finalized, and the team has closed on the necessary financing to begin construction, which is expected to conclude by summer 2029.
Bay View Houses will undergo NYCHA’s largest heating electrification project, utilizing the cold climate packaged window heat pump units developed under the Clean Heat for All Challenge, a partnership between the New York Power Authority (NYPA) and New York State Energy Research and Development Authority (NYSERDA). The renovations will also include upgraded electrical systems; new plumbing, flooring, and windows; painted doors with new hardware; modernized kitchens and bathrooms; security and accessibility upgrades; elevator and waste infrastructure improvements; renovated outdoor spaces and amenities; and upgrades to the existing community center as well as a new resident amenity center.
The PACT program transitions developments from traditional Section 9 assistance to Project-Based Section 8 and unlocks funding for resident-selected PACT partners to complete comprehensive repairs and to oversee daily property management of the campus. Overall, 146 NYCHA developments (representing over 39,000 apartments) are in pre-development, are under construction, or have completed construction through the program. This represents over $13 billion in capital repairs for the Authority. The Authority is working to include 62,000 apartments in the PACT program in order to bring the benefits of comprehensive apartment repairs and building upgrades, as well as enhanced property management and social services, to more than 142,000 residents.