General information regarding Bordewick Farms senior housing proposal
Bordewick Farms, LLC proposes to build a 32 unit senior housing complex on approximately two acres of vacant land located on Chatham St. The site is just east of the hydro electric plant, and continues to the corn field. The corn field is not part of the lands owned by Bordewick Farms. The complex will be very similar to Valatie Woods, which is located at the end of River Street. The project will be set back from the road, landscaped and screened. All 32 units will be placed in one building. Current zoning allows for the construction of approximately 17 single family homes.
The project is a joint venture between the builder and the State of New York. Due to high land and construction costs, the State provides tax credits to builders who construct affordable housing for seniors. These credits help offset land and construction costs, which reduce annual mortgage costs on the property. The builder agrees to operate the property at cost, which ensures rents remain as low as possible. The builder’s profit is a fixed amount determined by the State of New York, and paid to the builder upon completion of construction.
In 1991 Bruce Levine, who is the builder proposing Bordewick Farms, constructed Valatie Woods. It was the first affordable senior housing ever constructed in Columbia County. The project proved a cornerstone in the rebirth of Valatie, and provided affordable housing for approximately thirty seniors. The complex currently has a waiting list which exceeds thirty people, and a wait time of about two years. At a time in life when people most need help from their community and family, two years is often too long to wait.
Since 1991, Mr. Levine has successfully built senior housing in the Villages of Chatham, Philmont, and the Town of Stockport. He is a known entity, who works well with the governing boards and the community. Much misinformation has been distributed concerning his recent proposal. The Village Board encourages you to read the following concerning the opportunity for additional Senior Housing in Valatie. Please feel free to contact any Valatie Village board member should you have additional questions or concerns.
Who would qualify to live in the senior housing?
Low to moderate income seniors age 55 and above.
There is talk of a tax abatement, what is it and how does it work?
The builder has sought and received a PILOT (Payment In Lieu Of Taxes) from the Town of Kinderhook. This fixes the amount of property taxes each unit pays each year. Because an apartment building is not a single family home, it does not generally qualify for the exemptions granted most homeowners. These include STAR and Enhanced STAR, Veterans, Volunteer Fireman’s, and Senior Citizens exemptions.
The awarding of a PILOT to the project provides no financial benefit to the builder. The builder’s partnership with the State requires them to operate the facility at cost. The rents are based on the overall construction and operating costs of the building. The PILOT provides a property tax reduction which will directly reduce the yearly operating cost of the building. This reduced cost will benefit renters with a lower monthly rent. The PILOT allows even less fortunate seniors, those who don’t own property, to receive similar reduced overall housing costs. The annual PILOT payment to the Village and Town will be substantially more then the current taxes on this vacant parcel.
How much will rents be?
The builder has targeted the rents at $ 450 per month for a one bedroom and $ 570 per month for a two bedroom. The rent will include heat and hot water, trash collection, and water and sewer. The rent amounts are determined by adding the monthly PILOT expense, heat, water, maintenance expenses, and mortgage expense.
Supporting documentation: