From the Office of Massachusetts Gov. Maura Healey:
Pittsfield — Gov. Maura Healey today announced funding from two programs to jumpstart housing production across the state: approximately $8.4 million from the new Commercial Conversion Tax Credit Initiative (CCTCI) to help communities transform empty or rundown commercial buildings into new homes and $139.5 million in low-income housing tax credits and subsidies through the Affordable Housing Development grant program. The announcement was made in downtown Pittsfield at 24-34 North Park Square Residences, a former bank building that is being converted into new housing with support from CCTCI.
The CCTCI was created in Gov. Healey’s Affordable Homes Act, and in this inaugural funding round, the Executive Office of Housing and Livable Communities (HLC) is awarding nearly $8.4 million in CCTCI tax credits across five projects that will create 339 new homes in Boston, Fitchburg, New Bedford, Pittsfield, and Worcester. The awards support projects in downtowns and neighborhood centers where commercial buildings are underutilized and where new housing can help bring foot traffic, customers, and energy back to local business districts.
“Too many downtown buildings across Massachusetts are sitting dark and empty when they could be part of the solution to our housing shortage,” said Gov. Healey. “The Affordable Homes Act gave us new tools to move faster and smarter, and this first round of Commercial Conversion tax credits will help turn underused commercial properties into homes, bring new energy to our downtowns, and lower housing costs for residents. We’re grateful to the Legislature for their partnership and for the developers who stepped up to build new housing through both of these programs.”
“These projects are about smart reuse and stronger communities—taking buildings that have been empty or underused and making them part of a downtown comeback,” said Lt. Gov. Kim Driscoll. “When we create housing in walkable commercial centers, we support local businesses, strengthen neighborhoods, and help more people live closer to jobs, transit, and everyday amenities.”
Gov. Healey also announced $139.5 million in funding from the Affordable Housing Development Grant Program for 15 rental housing developments statewide. Together, these projects represent 1,008 new homes, including 903 affordable homes and 284 homes for extremely low-income households, including individuals and families transitioning from homelessness.
“The Affordable Housing Development Grant Program is one of the most important ways we finance affordable housing across Massachusetts year after year,” said Executive Office of Housing and Livable Communities Secretary Ed Augustus. “These 15 developments will help move 1,008 homes forward statewide, delivering the homes seniors, families, and workers need to stay in the communities they call home.”
First Commercial Conversion Tax Credit awards
Created by the Affordable Homes Act, CCTCI is designed to help unlock housing by supporting the conversion of underused commercial properties into new homes. These conversions can reduce blight, put prominent buildings back into productive use, and help strengthen downtowns and commercial districts.
HLC is awarding the first-ever CCTCI credits to five projects across the state, including one in Pittsfield:
- 24-34 North Park Square Residences (Pittsfield) — 23 homes — $1,390,014. Conversion of a historic office building in Pittsfield’s Park Square into rental housing, including street-level retail and a commercial kitchen. The project will leverage historic tax credits, Underutilized Property Program funds, and other sources.
Affordable Housing Development awards
As part of HLC’s Affordable Housing Development grant program, the administration is awarding a combination of federal and state Low-Income Housing Tax Credits (LIHTC) and HLC subsidy funds. The developments total 1,008 homes statewide, including 903 affordable homes, of which 284 homes are for extremely low-income households and those transitioning from homelessness. Together with the Commercial Conversion awards, the Affordable Housing Development awards reflect the administration’s push to increase housing supply in every region of Massachusetts—from downtowns to neighborhoods to smaller communities.
“Since the beginning of my administration, the Healey-Driscoll administration has been a valued partner of Pittsfield and this community,” said Pittsfield Mayor Peter Marchetti. “Whether we are looking to capitalize on the funding to support new housing development, make improvements to our roadways and bridges, or help entrepreneurs start or grow their business, I know we have a team in Boston always ready to help us. Today’s announcement supports the city’s long-term vision for housing as we continue to provide options that serve every need.
“This is a great win for Pittsfield and the Berkshires and a perfect example of how state and local government can work together with the private sector to improve our communities,” said State Rep. Tricia Farley-Bouvier (D – 2nd Berkshire District). “When the legislature passed the Affordable Homes Act, we envisioned exactly this kind of investment in our local communities. These two projects, totaling 70 housing units, mean more people at home in and near our downtown, leading to increased economic activity for the area’s businesses.”
Across the 15 developments, HLC awards include:
- $25.7 million in federal four percent and nine percent Low-Income Housing Tax Credits;
- $32.4 million in state Low-Income Housing Tax Credits; and
- $81.4 million in HLC subsidies.
HLC is awarding tax credits and subsidies to 15 projects statewide, including one in Pittsfield:
- Linden Street Apartments (Pittsfield) — 47 homes. New construction and adaptive use of family housing in downtown Pittsfield sponsored by Hearthway in partnership with Causeway Development. The project will provide 47 homes affordable to households at or below 60 percent AMI, including eight homes at or below 30 percent AMI, and will be certified to Enterprise Green Communities standards with the sponsor pursuing Passive House design for the three new construction buildings.
Since taking office, Gov. Healey has focused on increasing housing production and lowering costs. To build more homes, she has taken action to speed up the permitting process, turn state land into thousands of new homes, convert downtown commercial space into apartments, create a first-in-the-nation fund to finance mixed-income development in a time of high interest rates, and legalize Accessory Dwelling Units (ADUs). This year, her administration will be offering low-cost financing and free designs for anyone who wants to add an ADU to their home. To help people afford their mortgages and rents right now, she banned mandatory renter-paid broker fees, gave seniors up to $2,800 a year to help with housing costs, and expanded home inspection protections.
