Amici House Construction Update, 3/2018

24 03 2018

Ithaca’s housing woes are fairly well-documented at this point. As in any broad situation, some have fared worse than others. If you’re fairly well off, the rapidly increasing housing prices are a nuisance, a vague political “issue” or perhaps even an opportunity if one thinks they know the market. For those will meager or no means, it’s more dire than that.

Take for instance those who are housing insecure or homeless. With a scarcity of options in Ithaca, many of Ithaca’s most vulnerable are at risk of living on the streets, with many ending up in “the Jungle” encampment behind Wal-Mart. Local shelters and supportive housing facilities are at full capacity, with dozens more turned away. This can perpetuate unemployment by reducing life stability, and it contributes to substance abuse and mental health issues. The high cost of housing has contributed to a much higher homeless rate in Tompkins County – up to five times the rate of Onondaga County (Syracuse), according to a 2016 Ithaca Voice study.

Tompkins Community Action, T.C.Action/TCAction for short, is well-aware of the issues faced by the less well-off in the Ithaca community. The non-profit started as the local unit of Lyndon Johnson’s “War on Poverty” programs in the 1960s. It administers early childhood education programs (Head Start), GED assistance, energy service programs (home weatherization), food pantries, family reunification services, housing vouchers, a fiscal literacy program, employment help – basically, social support services for thousands of low-income individuals in Tompkins County and adjacent communities, helping them succeed in their educational, professional and family endeavors.

In the past few years, Tompkins Community Action has made significant efforts to try and create more housing for those vulnerable, so that they’re less likely to end up in the Jungle or a back alley. In safe, secure housing, they are more likely to get clean, they are more likely to earn and keep steady employment, and they are more likely to take advantage of TCAction’s other supportive services, hopefully continuing on to better, more productive lives.

One of these efforts is a partnership with Finger Lakes ReUse – the pair, with consultation from affordable housing provider INHS, are entering the grant-writing phase for 22 studio units for those transitioning out of jail as well as the formerly homeless at FLR’s property at 214 Old Elmira Road. The other major project is Amici House.

Going through my archived notes, the first reference to what would become Amici House shows up all the way back in September 2014 as a 14 or 15-unit townhouse proposal, but it wasn’t until June 2016 that the first plans were presented, after a feasibility study was completed. Site plan review began in October 2016, and the project was approved in January 2017.

The plans, drawn up by Schickel Architecture of Ithaca, call for a narrow five-story, 20,785 SF (later 20,712 SF) building for housing, and an adjacent one-story, 7,010 SF building that will host classrooms and daycare facilities. The facilities would be a part of TCAction’s campus at 661-701 Spencer Road on the south end of the city. Two small houses would be deconstructed to make room for the classroom building, while the residential building, planned to house homeless or vulnerable youth aged 18-25, would be an addition onto the non-profit group’s existing office building.

On the first floor of the new residential building would be a children’s playroom (for homeless youth with children), case conferencing rooms, training rooms and kitchen space. 23 efficiency (studio) apartments would be built on the second through fifth floors.

The childcare building, later called the Harriet Giannelis Childcare Center in honor of a late staff member of TCAction, will provide five classrooms for Head Start and Early Head Start programs, as well as support space and staff training space. The building will host a playground, which is the blue space in the site plan above. The facility would have space for 42 children, and create about 21 living-wage jobs. The numbers were more recently revised to 48 children and 24 jobs. TCAction, which employs 104 people, is a certified living-wage employer.

During the review process, not much changed. On the residential building, the planning board thought a glass-encased stairwell was thought to produce too much light, so the next iteration had it completely bricked in, which the Planning Board also disliked, as was a plan with small windows. Eventually, a “happy” medium was reached for medium-sized windows in the stairwell.

The project required a couple of zoning variances. The first one was for parking spaces (72 required, 65 planned). TCAction suggested that from a practical standpoint, they wouldn’t need a parking space for every housing unit, but the classrooms and office space will meet their parking requirements. Another variance was for operation of a child care facility is a residential zone, and there were three area variances related to building size and the driveway/drop-off area.

The initial estimated construction costs are $8.25 million. Per city building permit docs, The Harriet Giannellis Childcare Center’s hard costs are estimated at $1,267,479, while the 23-unit residential portion’s hard costs are estimated at $3,627,333. However, city IURA statements sat the HGCC will cost $1,774,470 to build, with $153,450 in soft costs, and a total of about $2,103,000. The residential portion comprises $6,115,000 in hard/soft costs and land acquisition (total for both $8,218,000). Welliver of Montour Falls is the general contractor.

As one might tell from above, financially it’s a bit confusing. This isn’t a traditionally-financed project with concerns about a lender’s Return On Investment. To make it become a reality, it uses a fair amount of subsidy layering – different funding grants from the city, county, NYS and the Federal HUD.

One grant, awarded in June 2016, was for $118,000 from the county that would purchase the small house next door to their headquarters – 661 Spencer, built in 1950 by the Amici family – thus allowing them to procure the land needed for developmentA later “grant” forgave the remaining $75,000 loan balance on their headquarters, and $225,000 was awarded to the project by the Tompkins-Ithaca-Cornell Community Housing Development Fund (CHDF).  TCAction first acquired their HQ with the help of the county back in 2001, and the cost of the purchase was being paid back to the county in the form of a 20-year lease. $84,200 was awarded to the Childcare Center by the Ithaca Urban Renewal Agency in 2017.

New York State awarded the project $3.732 million in April 2017, and the state’s HUD equivalent, NYS HCR, supplied another $3.26 million in two other grants, the Community Investment Fund (CIF) for the childcare center, and the Housing Trust Fund (HTF) for the housing. M&T Bank is providing a $501,883 construction loan, and another $300,000 came from a Federal Home Loan Bank.

More recently, the numbers were revised to $603,000 for M&T Bank and the NYS HCR CIF was reduced from $1.499 to $1.325 million – probably a case where the state decided not to award the full request, and TCAction had to make it up elsewhere. Funding for the Head Start operation comes from the Federal Department of Health and Human Services, and other funding comes from state and local allocations. The facilities are tax-exempt. A look at the finances, which practically break even (slight profit actually) can be found here.

Initially, construction was supposed to be from August 2017 to October 2018, but the time frames were shifted back a few months due to financial and bureaucratic snags. TCAction also discovered they couldn’t stay in their headquarters as construction went on, so they needed an emergency $90,690 loan from the IURA to rent temporary offices at 609 West Clinton Street.

Along with Schickel Architecture and Welliver, the project team includes Taitem Engineering for structural engineering work, Foor & Associates of Elmira assisting in the design work, T. G. Miller P.C. for civil engineering and surveying, Saratoga Associates Landscape Architects, Seeler Engineering of suburban Rochester, and INHS as a consultant.

In the photos below, construction has been well underway, and has been since at least the tail end of January. The childcare center’s slab foundation and footers have been excavated, poured and insulated with rigid foam boards (the soil will be backfilled later to cover the base). The wood-frame is well underway, and it appears most if not all of the roof trusses are in place, as are many of the walls – I suppose these guys are going with housewrap instead of ZIP sheets. Although the size seems correct, the design does not look like what I have on file from , much to my chagrin. Foundation work seems to be underway for the residential portion.