Mid-Hudson Momentum Fund to Provide $67M

HYDE PARK—At a press conference here on Wednesday (May 29) state officials unveiled the first 13 awards totaling $67 million under the Mid-Hudson Momentum Fund, a $150-million initiative geared to increasing the housing supply in New York’s Mid-Hudson region.

The winning projects include mixed-use developments, transit-oriented developments along major commuting hubs, and critical infrastructure improvements that will allow for additional housing in the future. Together, these projects will receive approximately $67 million in state funding to unlock more than $576 million in private investment and more than 2,400 units of housing, including more than 1,300 affordable units, across the Mid-Hudson region.

“Communities all over the Mid-Hudson region are stepping up in extraordinary ways to address the housing crisis, and with these awards, New York is making good on our commitment to supporting them,” Gov. Hochul said. “As the first state program to reward our Pro-Housing Communities, the Mid-Hudson Momentum Fund is not just helping them build more housing – it’s helping them chart a path toward a more affordable New York. My administration remains laser-focused on building the homes we need to bring down housing costs, and I am ready to work with any community that wants to join us.”

The Mid-Hudson Momentum Fund is focused on mixed-use housing and essential infrastructure projects that directly support housing growth in the Mid-Hudson Region. Winning projects were selected based on alignment with the Mid-Hudson Regional Economic Development Council’s strategic plan, public support, the number of affordable housing units being created and, for infrastructure projects, their ability to either create or upgrade systems with a demonstrated connection to increasing housing density.

The projects that secured funding include:

$10 million for the Golden Hill project to transform the former Ulster County jail into a new mixed-income and mixed-use community with 164 units of affordable housing in the City of Kingston.
$10 million for essential infrastructure improvements required to accommodate up to 1,080 new homes in the City of Peekskill.
$10 million for the construction and operation of a new Indian Brook Water Treatment Plant to ensure high-quality drinking water for approximately 300 homes in the Village of Ossining.
$8.7 million for the 115 South Macquesten transit-oriented development project to construct two residential towers on a shared mixed-use base with approximately 315 units of housing in the City of Mount Vernon.
$5 million for the 316 Main Street project to construct a six-story, mixed-income building with 80 units of housing and more than 21,000 square feet of commercial space in the City of Poughkeepsie.
$4.75 million for the Barrel Factory Apartments project to construct a 100-unit mixed-use, mixed-income development in the City of Kingston.
$3.465 million for the Red Hook Gateway project to extend water, roads, utilities and public infrastructure for up to 40 potential new units of housing in the Village of Red Hook.
$3.05 million for the 104 Washington St. project to construct a 14-unit, mixed-use building with an ice cream manufacturing facility, street-level suites for retail and food and beverage, and co-working office space in the City of Newburgh.
$2.6 million for the 191 Washington St. project to repurpose a vacant building into 70 units of housing, commercial, retail, office, and light manufacturing space in the City of Newburgh.
$2.5 million for the Two Cross St. project to construct a fully affordable, 18-unit mixed-use building in the City of Beacon.
$2.5 million for The Green transit-oriented development project to construct an innovative, mixed-use affordable housing development with 118 apartments in the City of Newburgh.
$2.5 million for the 63 Maple Ave. project to construct a five-story residential building with approximately 78 homes in the Village of Haverstraw.
$2 million for the Newberry project to construct a 28-unit, mixed-use development on the site of a long-vacant, blighted building in the City of Poughkeepsie.

The second funding round is now open through June 28 and private companies, not-for-profits, municipalities, and public benefit corporations including IDAs and LDCs are encouraged to apply through Empire State Development’s CFA portal. Funding will be broken up into mixed-use housing projects and essential infrastructure projects with awards ranging from $2 to $10 million. For more information, visit ESD’s website.

These awards also mark the first to prioritize localities committed to housing growth under Gov. Hochul’s Pro-Housing Communities program, launched last year as part of a package of Executive Actions to increase New York’s housing supply. Under the program, localities that have successfully unlocked housing growth or committed to taking important steps to support housing, such as by streamlining permitting and adopting pro-housing policies, and that have applied and submitted critical housing and zoning data to the state, will receive a certification from New York State Homes and Community Renewal that will give them priority consideration among municipal applicants for up to $650 million in state discretionary funding, including the Mid-Hudson Momentum Fund.

Last week, the governor announced that more than 200 communities have launched applications to become Pro-Housing Communities. Nine of the 13 winning projects from this funding round are located within a certified Pro-Housing Community.

As part of the FY 2025 Budget, Gov. Hochul secured an agreement to strengthen the Pro-Housing Communities Program by making certification a requirement for state discretionary funds, including future funding rounds for the Mid-Hudson Momentum Fund.

As part of the FY 2025 Budget, the governor secured a package of programs and initiatives to address the state’s housing crisis, including incentives to create affordable housing statewide; tools for New York City to generate more housing; the creation of a $500 million fund to build up to 15,000 new homes on state land; and authority to strengthen the state’s Pro-Housing Communities Program. The budget also includes protections for tenants and homeowners, including anti-price-gouging measures and eviction protections for renters and new enforcement and preventative measures to combat deed theft, as well as more than $600 million in capital funding to support housing statewide.