NEWARK-Construction has begun on Baxter Park, an affordable housing community at 39-47 Sussex Avenue near the Broad Street Station District here. The $14 million Baxter Park, being developed by Michaels Development Company and Newark Housing Authority, will consist of two four-story apartment buildings with 90 affordable housing units.
The development replaces Baxter Terrace, a blighted housing complex. The project will offer affordable rent to tenants, ranging from 30% to 55% of area median income. A portion of the apartments will be set aside for public housing and Section 8.
"Baxter Park represents not just an expansion of affordable housing options in the Newark area, but it will serve as an asset to the surrounding community," said New Jersey Department of Community Affairs commissioner Lori Grifa, who is also chairman of the New Jersey Housing and Mortgage Finance Agency, at the groundbreaking ceremony, according to a press release. Also attending the groundbreaking was executive director Anthony Marchetta, Newark Mayor Cory Booker and local officials. "The DCA and HMFA are proud to be involved in projects such as these because they create high-quality affordable housing for those New Jersey households who need it."
Also present at the groundbreaking was the great-grandson of James Baxter, Kevin Fields, for whom the original Baxter Terrace was named. James Baxter was the first African-American principal of the Newark school system, a position he held for 45 years.
“James Baxter was a legend, trailblazer and role model for so many,” said Newark Housing Authority executive director Keith Kinard at the groundbreaking. “We at the Newark Housing Authority and all in attendance here agree that there is no better name for this new development than Baxter Park.”
The construction comprises the first phase of a new mixed-income development with affordable housing, new retail opportunities and green space. A number of sustainable features are planned, including solar panels, emerging efficient construction, and the use of recycled materials and water-saving features. Completion is expected in December 2012.
The project is funded with a mix of public and private sources, including stimulus funding won from a competitive green grant competition sponsored by the US Department of Housing and Urban Development, $16.35 million in construction and permanent mortgage financing from the HMFA, the Federal Home Loan Bank of New York’s Affordable Housing Program and private equity from the sale of Low Income Housing Tax Credits. The HMFA expects to award approximately $1.27 million annually in 4% Low Income Housing Tax Credits. The credits will generate close to $10.2 million in equity for the Baxter project.
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