Renewal of Condemned Dana Ave Properties to Buoy Further Park South Revitalization Confirming Promise of Neighborhood Plan

September 21, 2017

Click Here To View The Announcement Press Release

A 30-unit, 40,000 sq. ft. apartment building will rise between New Scotland Avenue and Knox Street. This new construction project marks a significant Park South Urban Renewal Plan implementation milestone as redevelopment will spread beyond blocks east of where Albany Medical Center and Tri-City Rentals collaborated on 268 new market-rate apartments on Morris Street and Dana Avenue.

A project made possible with support from the City of Albany Industrial Development Agency and Capitalize Albany Corporation, on September 21 the City of Albany IDA board approved an application to provide financial assistance to RECKDE, LLC, in the form of New York State sales and mortgage recording tax exemptions and real property tax abatements. The project also received a loan through Capitalize Albany Corporation’s Real Estate Loan Program. This $5.1 million project is estimated to create 35 construction jobs and completion is planned for mid-2018. Next year local taxing jurisdictions will receive more than double the taxes currently received. Over the next 20 years, the properties are estimated to generate $1,358,542 to the local taxing jurisdictions—an increase of more than $1 million or more than five times the revenue anticipated to have been collected without this new investment. Once its PILOT agreement concludes the project is projected to produce $196,923 in real property taxes annually.

The reuse of four vacant parcels and three condemned buildings, now demolished, located at 85 Dana Avenue will result in the construction of a 40,000 sq. ft. residential building containing 30 market-rate units. There will be 25 parking spots available for residents.

Several years ago as the Park South neighborhood faced a period of disinvestment, dramatically declining quality of life and escalating public safety issues, local leaders took an unprecedented step in declaring the area an Urban Renewal District and worked with the community to create a parcel-by-parcel revitalization plan. Now just beyond a decade’s worth of implementation, more than $600 million of investment has taken shape and the Park South Urban Renewal Plan has supported and guided this neighborhoods transformation. During its 2016 annual conference in Cleveland, OH, the International Economic Development Council recognized the Park South Urban Renewal Plan awarding the Plan for Excellence in Economic Development.

The revitalization plan was managed by the City, Capitalize Albany Corporation and the Albany Community Development Agency. Execution of the Plan has been aggressive and true to vision, with significant public/private partnerships put into place. Projects have included multifamily affordable housing, infill residential rehab and construction, market rate multifamily construction, and commercial office and retail products. Key catalytic investments include the $12 million historic rehabilitation of 18 row-homes along Albany’s Knox Street, 120,000 square feet of new office and retail space along New Scotland Avenue, and a $110 million Albany Medical Center project in partnership with Tri-City Rentals.