There has been much discussion, and misinformation, about what can’t or shouldn’t be done with the Hope Street lot in Greenfield. This includes unneeded and expensive off street parking, public housing, high-rise condominiums, or expensive one-bedroom apartments.
I would like to flesh out the immediate opportunity we have to create a mixed-income housing development on Hope Street. One that provides housing for residents with a range of incomes, while supporting downtown revitalization, population growth and increased tax revenue.
In an Oct. 10 My Turn, Brendan Kuntz, a local property manager, announced recently that the firm he works for determined that a 4-story building with 32 one-bedroom apartments renting at $2000 – $2200 would not be feasible in Greenfield. He may be right, though this isn’t a good reason to stop the process. Greenfield needs many more housing options than these one-bedroom market units.
Fortunately, a different housing concept is possible for the Hope Street site; one that helps downsizing seniors, new families, and low-income individuals live affordably in our community. A 40-unit mixed income housing development can be financed and built at 53 Hope St. I am confident of this based on my professional experience in affordable housing and a recent in-depth examination of project feasibility at this site.
Capital for this project could be obtained through Mass Housing’s 4% Low Income Housing Tax Credit (LIHTC) — coupled with a below market loan from the Executive Office of Housing and Livable Communities. This would be a relatively straightforward structure with only a few sources of financing. The good news for Hope Street is that Congress recently authorized a significant increase in LIHTC 4% equity investment beginning in 2026, and the commonwealth has increased its commitment as well. So these resource are not threatened or going away.
For comparison, I will use the same building volume assumptions as in Kuntz’s model. Four stories and 39,000 gross square feet. However, the rest of the model is quite different and leads to a much better outcome for Greenfield. The building would have a wider range of bedroom sizes which would allow 40 apartments to be built on this site.
The development could house people with incomes between 30% and 80% of area median ($27k to $99k). Most apartments would be available to residents at 60% of median income (roughly $50k to $75k); a quarter for extremely and very low-income people using the MRVP vouchers; and a half dozen for people with incomes at 80% of AMI ($72k-$99k).
Rents paid by tenants would range from $675 to $1,500 for most units, with the few upper end ones renting for $1,500 (1BR) to $2,100 (3BR). All units would have similar finishes and affordability deed restrictions.
The 4% LIHTC structure is a perfect fit for Hope Street and Greenfield. It allows us to address the more urgent needs of lower- and middle-income families while offering a smaller number of higher-priced housing options that can be absorbed in our limited market. Since Greenfield’s median income is significantly lower than the whole of Franklin County, an apartment designated as serving an 80% AMI individual is close to if not at market levels here.
Total development costs would be $29 million, including $20 million for construction. Based on current practice, an experienced developer could obtain federal and state tax credits sufficient to raise $23 million in private equity. The $6 million balance could be funded through EOHLC’s soft debt program and a bank loan. Construction financing would be provided by tax-exempt bonds issued by Mass Housing.
There are skilled nonprofit developers operating in western Massachusetts that can develop and manage this housing. To utilize LIHTC tax credits, the ownership entity must be a tax paying LLC that will pay its fair share of property taxes to Greenfield.
I have witnessed firsthand the transformative impact such developments can have in improving lives and communities. In New Orleans, for example, my organization created a high-capacity regional nonprofit — the Gulf Coast Housing Partnership — to rebuild neighborhoods devastated by Katrina. Through $195 million invested in affordable and commercial projects, GCHP revitalized and brought back an historic neighborhood and business district which in turn led others to invest an additional $58 million in private capital. You can access and read GCHP’s impact report here.
Greenfield is at a crossroads. The redevelopment of the Wilson building, combined with this project on Hope Street, can help stimulate a similar market resurgence. If you support more housing and downtown revitalization, Vote “No” on Nov. 4 so that we can move forward to build a better future together here.
Tom Bledsoe, who lives in Greenfield, recently retired after a long career in executive leadership positions in affordable housing, social enterprise, and city and state government in Massachusetts. He is a member of the Planning Board but writes this letter as a resident.