Governor’s Pro-Housing Communities Initiative Delivers up to $650 Million in Discretionary Funding Each Year; to Date, 273 Municipalities Have Been Certified as Pro-Housing Communities

New Budget Proposal Would Allocate an Additional $110 Million in Infrastructure Funding to Certified Pro-Housing Communities, Building on Existing Incentives

Total of $123 Million Awarded to Projects Through Four Regional Economic Development Council Programs; Full List Available Here

Governor Kathy Hochul on Jan 28th, announced new investments of more than $100 million for projects located in certified Pro-Housing Communities, part of a total $123 million allocated as part of the latest round of the State’s Regional Economic Development Council initiative. Governor Hochul’s Pro-Housing Communities initiative allocates up to $650 million each year in discretionary funds for communities that pledge to modestly increase their housing supply; to date, 273 communities across New York have been certified as Pro-Housing Communities. This year, Governor Hochul is proposing an additional $110 million in funding to cover infrastructure and planning costs for Pro-Housing Communities.

“There’s only one solution to New York’s housing affordability crisis: we’ve got to build more housing,” Governor Hochul said. “The Pro-Housing Communities initiative is delivering the incentives communities are looking for, and this latest round of grant funding will make a real difference in every region of New York. We’re proud of all the certified Pro-Housing Communities in New York and look forward to seeing their continued growth.”

Empire State Development President, CEO and Commissioner Hope Knight said, “The Round XIV awards demonstrate how local priorities align with the state's economic development goals – especially in our Pro-Housing Communities. The overwhelming response to the new Capital Improvement Grants program reflects how municipalities are eager to strengthen their foundations while addressing critical housing needs. Under Governor Hochul's leadership, we continue to create new and dynamic opportunities to create jobs and generate sustainable and equitable growth throughout New York State.”

New York State Homes and Community Renewal Commissioner RuthAnne Visnauskas said, “Governor Hochul has been clear – municipalities who share our vision for smart housing growth will be rewarded. Through these $100 million awards announced on Jan 28th, Pro-Housing Communities will receive a financial boost to their efforts to upgrade infrastructure, strengthen their economies, and embark on projects that improve the quality-of-life for New Yorkers. We thank the Governor for her continued leadership and applaud our partners at the local level who are working diligently in every region of the state to find solutions to the housing shortage.”

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Regional Economic Development Council Round XIV

Round XIV of the Regional Council initiative further advanced Governor Hochul's housing agenda by including a new program featuring funding earmarked for projects located in Pro-Housing Communities, as certified by Homes and Community Renewal (HCR). The Capital Improvement Grants for Pro-Housing Communities Program, administered by Empire State Development (ESD), made up to $40 million available to municipalities, counties and not-for-profits to support capital improvement and placemaking projects within Pro-Housing Communities. Due to an overwhelming response in applications and high demand, more than $55 million is being awarded to support these projects, reflecting the strong pro-housing commitment of the State's municipalities.

Three other programs in Round XIV were included in the Pro-Housing Community designation: ESD's Grants and Market New York programs, and HCR's New York Main Street program. Additionally, more than $9 million in Excelsior Jobs Program tax credits have been awarded to support the job creation and investment goals in projects located throughout the State. In the coming weeks, more than $250 million will be awarded to Pro-Housing Communities from the Downtown Revitalization Initiative, New York Forward and Mid-Hudson Momentum Programs.

Select projects in Pro-Housing Communities from Round XIV include:

• Capital Region – Schenectady Community Action Program – SCAP Campus: In partnership with DePaul Properties, Inc., SCAP will construct a building to house a new child care center, program space and administrative offices for its wide array of family support services, including employment services, supportive housing services and individual and family crisis intervention. The new site is in a New York State-designated child care desert and will provide new classrooms for comprehensive child care slots. The building is expected to be part of a larger mixed-use redevelopment that will create a one-of-a-kind campus in the City of Schenectady where housing, child care and family support services are co-located. ESD Grant – $4.975 million; Total Project Cost – $12.4 million.
• Central New York – SEED Syracuse, Inc. – Chimes Building: The not-for-profit group will redevelop the Chimes Building into a mixed-use, mixed-income building. The project will create several residential units available to a mix of incomes and includes commercial space to house telecommunications tenants that serve as a fiber optic hub, providing internet access for roughly half of the City of Syracuse, including hospitals, fire departments, local businesses and residential users. ESD Grant – $1.25 million; Total Project Cost – $40.7 million.
• Finger Lakes – Rochester Housing Authority – Fernwood Avenue Library & Mixed-Use Development: The project includes building a new branch of the Rochester Public Library System within a four-story, 80,000 square foot mixed-use building that includes affordable housing. The site will include 65 housing units with space for the new library to also provide support services, computer training and workforce development. Community Action Agencies will help coordinate and administer an integrated system of support services, creating new opportunities for success through targeted education and training efforts. The new building will be located on a Brownfield site. Capital Improvement for Pro-Housing Communities – $775,000; Total Project Cost – $4 million.
• Long Island – Town of Riverhead – Downtown Riverfront Amphitheater: The Town will create a riverfront amphitheater and public park. Due to their location below the flood plain and increasing flood risks from climate change, the buildings will be relocated to the northern end of the property and elevated on new foundations. The southern end, with a 13-foot slope, will be converted into tiered seating with a stage and bandshell near the Peconic River. This design leverages the natural slope to protect the buildings while creating a flood barrier. The amphitheater will double as a public park, hosting activities like exercise classes, movie nights and children's events. Capital Improvement Grant for Pro-Housing Communities – $1.4 million; Total Project Cost – $2.8 million.
• Mid-Hudson – Habitat for Humanity of Dutchess County, Inc. – Taylor Ave. Development: Working in partnership with the City of Poughkeepsie, HFHDC will undertake the site preparation and construction of a mixed-use development that includes a child care center and housing units, with a portion of the units dedicated to senior and workforce housing. The project involves comprehensive site planning, modular townhouse designs, and the integration of necessary infrastructure such as roads, utilities and green spaces. ESD Grant – $1.6 million; Total Project Cost – $14.5 million.
• Mohawk Valley – Municipal Housing Authority of the City of Utica (People First) – THRIVE Cornhill: This project will integrate two mixed-use buildings in the Cornhill section of Utica, offering two Community Impact Centers and several mixed-income apartments. The Impact Centers will support community-focused programs including a multipurpose gym, urban grocery, coworking space, test kitchen, entrepreneurial incubator, dance, art space and a courtyard. Capital Improvements for Pro-Housing Communities – $3 million; Total Project Cost – $17.6 million.
• New York City – Brooklyn Navy Yard Development Corporation – Center for Planetary Health: The Center will establish a cutting-edge biotech innovation hub at Newlab in the Brooklyn Navy Yard. C4PH is purpose-built to accelerate the commercialization of non-therapeutic life sciences that can be applied to address climate change. The Center will be able to support over 30 companies, focusing on sectors like agriculture, textiles and building materials. ESD Grant – $1.6 million; Total Project Cost – $8 million.
• North Country – Village of Massena – Raw Water Capital Project: The Village will construct a secondary raw water transmission line from the Massena Intake Dam to the water treatment plant. The new line will provide redundancy in the case of an emergency or routine maintenance, should the older main line fail. It will provide critical water service to residential, commercial, and industrial users in the Village and Town of Massena, plus Norfolk and Louisville. The line will also include new taps for the extension of raw water service to the proposed Air Products Green Hydrogen Facility. Capital Improvement Grant for Pro-Housing Communities – $2.34 million; Total Project Cost – $4.69 million.
• Southern Tier – Village of Dryden – Water and Sewer Infrastructure Improvements: The Village will upgrade its water and sewer infrastructure as the first phase in having several hundred workforce apartments being built as Ezra Village in Tompkins County. The water improvements include extending water mains, and the sewer infrastructure upgrades include replacing several thousand feet of pipeline. Capital Improvements for Pro-Housing Communities – $1.82 million; Total Project Cost – $3.64 million.
• Western New York – Jewish Community Center of Greater Buffalo, Inc. – Workforce Child Care Initiative: The project includes the construction of a two-story child care center on the Buffalo Niagara Medical Campus that will provide much needed service and provide specialized space for children with special needs. Partnerships within the campus like BestSelf Behavior Health and Buffalo Hearing and Speech will enable the new center to offer specialized resources and services to children in need, and a space to host these services for parents and their children. ESD Grant – $3 million; Total Project Cost – $8.2 million.

More information on the projects awarded through the 2024 Regional Economic Development Council initiative, including a full list of awardees, is available here.

"There’s only one solution to New York’s housing affordability crisis: we’ve got to build more housing.” -- Governor Hochul

Governor Hochul’s Housing Agenda

On Jan 28th, Governor Hochul announced that 273 municipalities have been certified as Pro-Housing Communities. The Governor is committed to addressing New York’s housing crisis and making the State more affordable and more livable for all New Yorkers.

As part of her 2025 State of the State, Governor Hochul proposed a bold plan to make owning and renting a home more affordable. The Governor proposed bolstering the Pro-Housing Community Program by investing $100 million to support critical housing infrastructure projects and providing $10.5 million technical assistance grants to help communities adopt pro-housing policies. The Governor also proposed creating the State’s first revolving loan fund to spur mixed-income rental development outside of New York City, as well as legislation to address rent-price fixing collusion by landlords, increase the effectiveness of State tax credits that support affordable housing development, and extending security deposit protections that market rate tenants currently have to rent-regulated tenants.

Additionally, Governor Hochul proposed new steps to make homeownership more accessible and affordable to all New Yorkers, including funding for starter home development and first-time homebuyer downpayment assistance, and disincentivizing private equity firms from buying single-family and two-family homes across the State. The State of the State also proposes increased support for supportive housing that serves some of the most vulnerable New Yorkers.

As part of the FY25 Enacted Budget, the Governor secured a landmark agreement to increase New York’s housing supply through new tax incentives for Upstate communities, new incentives and relief from certain State-imposed restrictions to create more housing in New York City, a $500 million capital fund to build up to 15,000 new homes on State-owned property, an additional $600 million in funding to support a variety of housing developments statewide and new protections for renters and homeowners.

In addition, as part of the FY23 Enacted Budget, the Governor announced a five-year, $25 billion Housing Plan to create or preserve 100,000 affordable homes statewide, including 10,000 with support services for vulnerable populations, plus the electrification of an additional 50,000 homes. More than 55,000 homes have been created or preserved to date.

State Senator Brian Kavanagh said, “Addressing our statewide housing shortage requires that we use all the tools we have. On Jan 28th’s announcement by Governor Kathy Hochul underscores our collective commitment to fostering vibrant, sustainable communities, while incentivizing localities to be open to producing more housing. I am proud to support the State budget that makes these funds available and I commend the Governor, Housing Commissioner RuthAnne Visnauskas, and their colleagues in the administration for effectively implementing and growing the Pro-Housing initiative.”

State Senator Sean Ryan said, “New York's housing affordability crisis is a problem we can solve, but it's going to require creative ideas and consistent support for a wide range of programs to deal with this problem's many causes. I thank Governor Hochul for her commitment to meeting this challenge, and I look forward to continuing to work together to implement solutions that address the unique problems facing Upstate communities.”

Assemblymember Linda B. Rosenthal said, “Communities in every region of the state need to step up to the plate to build a more affordable New York. With the latest round of funding awarded by the Regional Economic Development Council, public housing authorities and non-profit organizations will be able to create much-needed affordable housing for those who are struggling to stay financially afloat in the Empire State. As we look toward the start of another budget season, I am once again committed to fighting for every available cent to build and preserve our state’s affordable housing stock. I applaud the Governor’s tenacity in addressing the housing crisis and her continued partnership on this critical issue.”

Assemblymember Al Stirpe said, “On Jan 28th’s announcement of ESD Round XIV grants truly benefits the Pro-Housing Communities as well as addresses critical needs throughout the state. Here in Central New York, SEED Syracuse, Inc. received funding for their project creating mixed income housing and commercial space in the City of Syracuse by redeveloping an iconic 1929 office building. Funding local projects in Pro-Housing Communities strengthens the fundamental economic base in these municipalities. Whether it is supporting child care, water infrastructure, innovative technologies, or libraries, all contribute to enhancing the daily lives of New Yorkers and the health of their neighborhoods and the region. Governor Hochul has taken the lead to address the state’s housing needs while, at the same time, reinforcing job creation and a spectrum of economic development opportunities.”

Assemblymember Angelo Santabarbara said, “This initiative is about more than housing—it’s about creating opportunity and building a foundation for families to thrive. Growing up in the City of Schenectady, I saw how challenging it was for families like mine to get by without the resources we’re now able to provide. Investments like these in affordable housing, child care, and support services give families the tools they need to build a brighter future. I’m grateful for the collaboration and shared vision that made this possible, and I look forward to seeing how these projects transform our communities for generations to come.”