NEW YORK CITY—Construction has begun on The Grand, three multifamily rental buildings with 138 affordable apartments. Forty-one of the apartments placed within the buildings will be set aside for formerly homeless adults with histories of serious mental illness, and will be permanently supported by rental subsidies and support services. This will be funded by the governor's housing plan, administered by the state's Office of Mental Health. Eight units will receive Section 8 rental assistance administered through the city's Housing Preservation and Development department.

It is the largest ground-up, low cost, tax-exempt bond deal developed by a minority-owned firm since Gov. Cuomo took office. The developer is the Manhattan-based Thorobird Companies. The Association for Rehabilitative Case Management & Housing, Inc., a non-profit supportive housing provider, is also a partner in the project.

The Grand consists of a 52-unit, 43,403 square-foot building at 220 E. 178th St., a 37-unit, 33,601 square-foot building at 225 E. 179th St., and a 49-unit, 51,933 square-foot building at 2195 Morris Ave., all located in the Bronx, according to Thorobird's managing member, Thomas R. Campbell.