SHARON Housing project is well under way
The first phase of the project is to be finished by December 2003.
By HAROLD GWIN
VINDICATOR SHARON BUREAU
SHARON, Pa. -- Construction is well under way on the first 53 units in the HOPE VI housing development project in Farrell, and the developer is already looking for funding for phase two.
The Mercer County Housing Authority is tearing down its old barracks-style, 100-unit Steel City Terrace apartment complex on Spearman Avenue in Farrell and replacing it with a redesigned neighborhood that will not only put new apartments on the Steel City site but add more on the surrounding streets.
The goal is to build 145 units in duplexes, four-plexes and single-unit homes at a total cost of about $30 million.
Developer
The housing authority has formed a partnership with Falbo-Penrose of Pittsburgh, with that company serving as the developer.
L. DeWitt Boosel, authority executive director, told his board Wednesday that nine of the 17 old buildings have been torn down and 31 new apartment units are already under construction in the first phase of the project.
Financing for the first phase includes $2.3 million of a federal HOPE VI grant secured by the authority, $1.6 million from the authority's financial reserves and about $5 million in state low-income tax credits sold to National City Community Development Corp.
Falbo-Penrose is preparing to file an application with the state seeking additional tax credits to completely finance the second phase of the project, which will involve building 34 more rental units at an estimated cost of about $4 million.
No HOPE VI grant money or authority money will be involved in phase two, Boosel said.
Tenants relocated
Most of the tenants in Steel City were relocated to other authority complexes but Boosel said 20 families remain on the site and will probably stay there until the first phase is completed and they move into the new units.
The first phase is scheduled for completion by December 2003.
Construction contracts stipulate that builders on this project provide some employment for housing authority residents and the authority set up a job training program to help prepare people to work in the construction industry.
Rien Construction Co. of Brookfield, a contractor on the job, has hired six people from that program, Boosel said.