New PACT Projects Bringing Major Repairs to Another 10,000 NYCHA Residents
On November 18, NYCHA released a Request for Expressions of Interest (RFEI) to attract development partners for new projects under the Authority’s Permanent Affordability Commitment Together (PACT) program to repair and preserve more than 4,400 apartments in Brooklyn, Manhattan, and the Bronx.
This RFEI is the first step in unlocking funds necessary to address critical repairs and provide social services for the more than 10,000 residents living in these apartments. All PACT projects ensure rents remain permanently affordable and residents are guaranteed comparable rights as they possess in traditional public housing. Since the program’s inception in 2016, NYCHA has generated over $1 billion in capital repair work across the city, modernizing nearly 7,800 homes through PACT.
Under PACT, buildings, common spaces, and apartments will be modernized. Apartment kitchens, bathrooms, windows, and living spaces will be renovated, along with common spaces. Chronic heat and gas outages will be addressed and elevators will be repaired. Building security will be improved with additional entry systems and security cameras. Partnerships with social service providers will be enhanced with on-site services and programming developed through resident input.
Pre-qualified Partners designated through the January 2020 PACT Request for Qualifications (RFQ) process will be invited to submit proposals for the following projects:
- Edenwald (2,039 units in the Bronx)
- Samuel City (664 units in Manhattan)
- Reid Apartments and Park Rock Consolidated (1,698 units in Brooklyn)
The extensive work being implemented is part of the Authority’s commitment to modernizing New York City’s aging public housing developments. The work also expands and deepens economic recovery opportunities for NYCHA residents through an emphasis on M/WBE partners/contractors and nonprofit organizations; Section 3 programming; social services for residents; and increasing broadband access.
“The PACT program has proven transformative to the condition of our public housing and, in effect, to the lives of NYCHA residents,” said Deputy Mayor for Housing and Economic Development Vicki Been. “This RFEI will deliver those same improvements and advanced economic opportunities to over 4,400 more households, further cementing PACT’s role in ensuring the long-term viability of New York City’s largest and most affordable housing stock.”
“The PACT program is an essential component of the Authority’s long-term vision for delivering better services to our residents,” said NYCHA Chair and CEO Greg Russ.“We are especially interested in building relationships with a wider roster of small-scale and large-scale developers, property managers, general contractors, and social service providers to partner with on our forthcoming conversions.”
“PACT depends on quality partnerships with private and nonprofit development organizations to comprehensively rehabilitate our buildings and improve the living conditions of NYCHA residents,” said NYCHA’s Executive Vice President for Real Estate Jonathan Gouveia. “This RFEI will allow us to procure a diverse mix of partners interested in helping us create safe, clean, and connected communities for the public housing residents.”
“I have been the resident leader of the Frederick Samuel Houses for the past 12 years, more importantly I have been a resident here for over 20 years,” said Frederick Samuel Resident Association President Diana Blackwell. “I have seen the deteriorations of Frederick Samuel Houses, a place I and 1,300 others call home. As one of the original residents that sat on the RAD Roundtable, I am assured that there will be continuous resident involvement and I believe that the work of RAD/PACT can bring again dignity, pride, and the quality of life that is deserving of each resident while living in our local communities.”
Launched in 2016, PACT is a key tool working in tandem with the Blueprint for Change to inject much-needed funds into public housing infrastructure citywide while safeguarding tenant rights and protections. PACT allows NYCHA to fully renovate developments using HUD Section 8 conversion programs, including the Rental Assistance Demonstration program (RAD), Tenant Protection Voucher (TPV) funding, and Part 200 disposition, all of which ensure long-term affordable housing. The New York City Housing Development Corporation (HDC) will assemble the financing and provide asset management and compliance for the PACT transactions.
Altogether, funding generated by these tools allows NYCHA to address nearly $12.8 billion in capital needs over the next decade, or up to 40 percent of the Authority’s $31.8 billion overall capital need.
Pre-qualified Partners must rank the transactions by order of interest and then submit their rankings to NYCHA by December 16, 2020. By December 21, 2020, the Pre-Qualified Partners who submitted their rankings in accordance with the provided instructions will be notified which projects they have been selected to apply for.
A list of Pre-Qualified Partners is available on NYCHA’s website.
All proposals are due by February 18, 2021. Interested Pre-Qualified Partners can attend a virtual pre-submission conference on November 24 or December 2, 2020. Details on how to RSVP for these virtual conferences can be found within the RFEI.
This past February, NYCHA finalized a deal to bring $370 million in comprehensive renovations to more than 6,300 Brooklyn residents through the closing of the seventh PACT transaction.
In July 2019, NYCHA closed and finalized its fifth PACT deal to secure the necessary funding for repairs and renovations of 1,315 apartments at the Hope Gardens consolidation in Bushwick, Brooklyn, benefiting more than 2,700 residents.
Through PACT, developments will be included in the federal Rental Assistance Demonstration (RAD) and convert to a more stable, federally funded program called Project-Based Section 8. PACT depends on partnerships with private and nonprofit development partners. Once the property is converted to Project-Based Section 8, NYCHA will lease the land and buildings to the development partners, who will conduct the repairs, serve as the new on-site property manager, and provide enhanced social services and community programs.
NYCHA will continue to own the land and buildings, administer the Section 8 subsidy and waitlist, and monitor conditions at the development. NYCHA will ensure that the partners adhere to standards outlined in the RAD Roundtable Guiding Principles created by NYCHA residents and advocacy groups to preserve resident protections and guarantee permanent affordability. More information on NYCHA 2.0 initiatives like this can be found here and here.
For more information about upcoming PACT meetings, residents can call NYCHA at (212) 306-4036 or email NYCHA2.0@nycha.nyc.gov.
Photo caption: Edenwald Houses is one of three sites included in the RFEI.