HSI / Home

5 Soundview Mitchell-Lama's Remain Affordable NYS Dept of Housing & Community Renewal 2006-01-30 (photo) Doris White, President of Tenants Association at Lafayette Morrison, had the vision of creating home ownership opportunities in these Mitchell Lamas. The Yankees aren't the only home run hitters in The Bronx. You can add to the pantheon of Bronx sluggers the names of the residents of two housing developments, who through hard work and a dream, continue to live in affordable housing and now even own the buildings they call home. The residents of Lafayette Boynton and Lafayette Morrison, a pair of State Mitchell Lama complexes in the Soundview section of the borough, have spent the last few years trying to find a way to own their apartments and also keep the 1,865 units affordable. Working with the New York State Division of Housing and Community Renewal and private organizations they were able to do just that. The conversion to affordable housing cooperatives is the result of the creation of new Housing Development Fund Companies (Article 11 of the Private Housing Finance Law). It will provide continued real estate tax exemptions while establishing income limits for admission and limitations on resale prices of units. Private investment was used to purchase the properties and will provide the necessary resources to fund needed capital improvements. (photo) Doris White relaxes in her comfortable surroundings, the anxiety of losing her home a thing of the past. "We are very pleased that the residents of Lafayette Boynton and Lafayette Morrison are able to stay under the umbrella of affordable housing and own their own buildings," said Judith Calogero, Commissioner of DHCR. "It is due to the visionary leadership of Governor George Pataki, the hard work of the residents and the private companies that have joined together to make this possible." A key catalyst to this effort was tenant Doris White, who fought for 15 years to make this happen. "Doris kept this going," said Richmond McCurnin, DHCR Assistant Commissioner, who oversees the State's Mitchell Lama portfolio and is also president of the board of both developments. "She deserves so much credit for the great things that happened here." White tirelessly worked with residents of the eight, 19-story buildings, explaining how they could work together to fix up the buildings and then own the structures themselves. It took years to make it happen, but finally everything came together for them. "We've been treating it like a co-op for 15 years," she said. "The hardest part was finding someone willing to put up the money." (photo) Two new potential apartment owners discussing the future. White and her fellow tenants, working with DHCR staff, were able to partner with Apollo Real Estate Advisors LP and Housing and Services Inc., a non-profit housing developer, to gain control and ownership of the property. The deal was worth about $100 million and consists of 1.4 million square feet of residential space. There are one, two and three-bedroom apartments spread throughout the complex, some with terraces and views of the Whitestone Bridge. James Simmons, a partner with Apollo, was pleased with the project, and looking forward to more. "First and foremost, it's a good investment," Simmons said. "But it's also a model that can be used elsewhere." http://www.dhcr.state.ny.us/general/new/lafayette.htm Soundview Mitchell-Lama's Remain Affordable Doris White at home.jpg

3 Bronx Complexes Going Co-op, and the Tenants Are Behind It JANNY SCOTT New York Times 2006-02-23 The tenants of two large working-class apartment complexes in the Bronx announced yesterday that they had arranged for a group of real estate investors to buy the buildings, turn the units into co-ops and sell them to current residents at prices they can afford — a development with few precedents in the overheated New York housing market. The two complexes, built under the state's Mitchell-Lama program as subsidized housing for moderate-income New Yorkers, had been so poorly managed and had fallen into such disrepair that the state took control of the buildings in the late 1980's, and the tenants began a 15-year campaign to stop vandalism of elevators and playgrounds, clean the place up and eventually own it. That campaign culminated in yesterday's announcement by the tenants associations of the Lafayette-Morrison and Lafayette-Boynton complexes, along with Apollo Real Estate Advisors and a nonprofit housing development group, that the 1,865 apartments would soon become moderately priced co-ops and offered for sale to tenants at a discount. "The people who live here, they're low-to-moderate-income people; they can't afford a rent increase every year," said Doris White, 60, the president of the Lafayette-Morrison tenants' association. "Our vision and our dream was to be able to own the apartments ourselves, and to run them ourselves and control them ourselves." The announcement comes at a time when many Mitchell-Lama buildings are becoming eligible to leave the program and enter the open market — an enticing option for owners in neighborhoods where real estate values have shot up. State and city officials have scrambled to find ways to protect the tenants, sometimes inducing owners to remain in the program or finding other ways to fend off steep increases in rent. "Where it's possible, we think this is a great model," said Shaun Donovan, commissioner of the city's Department of Housing Preservation and Development. "What it does is give those renters who have been there for a long period a stake in that community that's very different; they now have a positive stake in the increase in value, rather than being hurt by it." Only one other Mitchell-Lama building in the city, West Village Houses in Manhattan, has been converted to a co-op under a tenant-sponsored plan. The Lafayette conversion is the first that is entirely privately financed. The complex, to be renamed Lafayette Estates, includes eight 19-story buildings on 31 acres beside Soundview Park, near the Bruckner Expressway and the Bronx River Parkway. Some of the units have views of Long Island Sound. Rents for a two-bedroom apartment range from $750 to $900. The tenants include police officers, correction officers and nurses — families with incomes of $30,000 to $60,000 a year. Richard Mack, a managing partner at Apollo, said the units would be offered to current tenants for prices at least 25 percent below market rate. Claire Haaga Altman, the founder and president of Housing and Services Inc., the nonprofit housing group involved, said a buyer's mortgage and maintenance would be "roughly what they are paying for rent or slightly above." As Mrs. White tells it, by the late 1980's the buildings had been severely neglected. In addition to vandalism and graffiti, damage from leaks was common. Even laundry rooms had been ruined. Starting in 1991, she said, the tenants' association worked to impress upon residents that if they took care of the property, their rent money could be spent not on repairs but on improvements. "We were able to get all of that under control," Mrs. White said. "They don't even allow people to walk on the grass. If a tenant sees you walking on the grass, they'll say, 'Please don't walk on the grass.' It's a very pristine place. They like that. They say they feel proud when they come home to it." When the buildings' owners died in 1999 and 2000 and the property was to be put on the market, the tenants decided to try to enter the bidding. Mrs. White contacted Ms. Haaga Altman, whose group had begun exploring ways of preserving formerly subsidized moderate-income apartments as moderate-income rentals or co-ops. She enlisted the support of the government agencies involved in the Lafayette buildings. She also introduced the tenants to Apollo, a group of investors and developers that was a co-developer of the Time Warner Center. With the help of an investment management company and Morgan Stanley, Apollo bought the property last December for a total development cost of $100 million. "You have the tenants working with a nonprofit working with private sector partners," Ms. Haaga Altman said. "I think we were able to pay close to the market price. And everybody did their bit. The tenants agreed to a modest rent increase. They were at the table discussing which repairs were going to get made first. Every Monday for an hour or so there was a conference call of 15 to 20 people." The group has moved to leave the Mitchell-Lama program and is filing papers with the state attorney general's office to convert the property to a co-op. Apollo, along with Housing and Services, has invited banks to assign credit counselors to the Lafayette buildings to help tenants learn how to qualify for loans. They are also working with the state and the city to get first-time homebuyer assistance. Tenants who choose not to buy can continue to rent; their rents will fall under the rent stabilization program. James H. Simmons III, an Apollo partner, said the complex was expected to remain affordable to moderate-income tenants "for at least 25 years." http://www.nytimes.com/2006/02/23/nyregion/23coop.html?_r=1&oref=slogin Bronx Complexes Going Co-op, and the Tenants Are Behind It NYTimesLafayetteMorrison.jpg

4 A co-op of their own BILL EGBERT New York Daily News 2006-01-17 The residents of two Bronx housing developments are getting ready to move - from being tenants to being homeowners. Years of collaboration between the state, a local nonprofit, a real estate developer and the residents of the Lafayette-Boynton and Lafayette-Morrison complexes resulted in a buyout deal that will transform both developments into co-ops. The eight buildings flanked by Boynton and Morrison Aves. in Soundview are just a few of the hundreds of apartment buildings leaving the state-funded Mitchell-Lama affordable housing program as their decades-long agreements expire. In many cases, such buildings revert to market-rate rent, squeezing out elderly tenants who pay lower rent, subsidized by real estate tax breaks. But the state Housing and Community Renewal Division, which took over the boards of the two developments after problems with the management in the mid-1990s, found a way to keep rents affordable. Division Assistant Commissioner Richmond McCurnin, board president for the Lafayette developments, credited tenant leader Doris White for uniting Lafayette-Morrison residents to take ownership. "As soon as we took over the board, they were saying, 'What can we do to bring our community back?'" said McCurnin. "She provided leadership," he said. "They made some hard decisions." For White, converting Lafayette-Morrison to a co-op was the obvious solution. "We've been treating it like a co-op for 15 years," she said - but it took her five years to make it one. "The hardest part was finding somebody willing to put up the money," White said. "The banks didn't want to lend it to us, the [New York State] Housing Finance Agency didn't want to give it to us." Housing and Services Inc., a nonprofit affordable housing group that has created some 1,500 units of low-income housing since 1987, worked with the tenant groups and the Housing and Community Renewal Division to find an investor. They partnered with Apollo Real Estate Advisors, a real estate firm with a reputation for seeing value where others fear to tread. Apollo invested more than $80 million in the project and spent a year hammering out a deal acceptable to the original owners. "First and foremost, it's a good investment," said James Simmons, a partner with Apollo. "But it's also a model that can be used elsewhere." http://www.nydailynews.com/boroughs/story/383272p-325375c.html A co-op of their own noImage

6 The Challenge of Managing Supportive Housing ALAN S. OSER The New York Times 1999-05-09 THE once-notorious Kenmore Hotel on 23d Street east of Lexington Avenue had its formal reopening last Tuesday as Kenmore Hall, a sanctuary of permanent housing with supportive services for low-income single adults. Public and community representatives assembled out front under a protective awning in the light rain to hear tributes to a five-year job well done. The Federal Government seized the 641-room hotel in 1994, at a time when roving bands of drug dealers and addicts had taken over entire floors, terrorizing elderly tenants and creating an intolerable neighborhood nuisance. Slow going in eviction proceedings in housing court against tenants identified as drug dealers held progress back in the early years. The management baton passed from the Justice Department to Housing & Services Inc., a nonprofit management and development company, in 1996. With 175 of the tenants staying on, Housing & Services has completed a $26 million rehabilitation of the 641-room hotel into 326 efficiency apartments, plus community space. A rental program is under way, and occupancy is now up to 210. ''Three drug gangs were vying for business in the building in '94,'' said Howard Donna, a 54-year-old tenant who addressed Tuesday's celebrants. He arrived 10 years ago after losing a job as an options trader on Wall Street, he said, and has worked as a security guard, survived bouts of depression and drinking and an attack of emphysema, to become a veritable champion of supportive housing. ''If it weren't for the help I got from Housing & Services I would be dead today,'' he said. The tasks that Housing & Services now faces, long after the drug dealers are gone, call attention to the longterm tenanting and management issues that confront nonprofit operators, and how they are approaching them. With a state-city agreement last month to spend over $100 million on a second phase of the ''New York/New York'' housing program for the mentally ill, the number of new buildings that provide supportive housing will continue to grow. Among the issues are building design, problem tenants and financing mechanisms. ''Part of our approach is to create a community within the building, an alternative family for people who may be disconnected from a family,'' said Claire Haaga, president of Housing & Services, which operates 11 supportive-housing buildings and has acted as development adviser to nonprofits. ''But we are not a treatment facility,'' Ms. Haaga said. ''The bottom line is we have to operate like a business, a business that provides services to its customers, our tenants. To operate successfully we have to work very closely with the community we're in.'' At the Kenmore, the 23d Street Association, Baruch College and the Gramercy Park Block Association have been crucial allies, Ms. Haaga said. To help create a homelike atmosphere, the Kenmore rehabilitation provides an expanded lobby 30 feet square, with couches, end tables, lamps and a piano. In the morning, coffee and doughnuts will usually be served in the lobby to tenants. The second floor of the hotel has been rebuilt with a library, exercise room and community room. The importance of what she called the ''graciousness'' factor was also stressed by Roseann Haggerty, president of Common Ground Community, which runs the 652-unit Times Square Hotel at Eighth Avenue and 43d Street and is rebuilding the Prince George Hotel, at 14 East 28th Street, with 416 units of supportive housing. It is scheduled to reopen for tenants in October. ''We reuse the original hotel spaces to create warmth, a civility,'' Ms. Haggerty said. ''It's important.'' ARCHITECTS have techniques to overcome the bare-bones institutional look of much publicly financed housing: mansard roofs with dormer windows, decorative cast lintels and cornices on the exterior, and exotic plantings and ornate lighting inside. Sometimes money left over in unneeded contingency funds when a project nears completion can be used for further enhancements, said Richard Vitto, of Oaklander Cooper & Vitto Architects. Also important, the nonprofit managers say, is to find ways to deal with that small minority of residents who lapse back into substance abuse, seriously violate their lease terms or prove incorrigibly abusive to other tenants. ''We need a consistent and timely method of dealing with people who refuse assistance,'' Ms. Haggerty said. Various mechanisms have been tried. Mediation services are available through Consumer Information and Dispute Resolution Inc., an independent nonprofit that helps resolve disputes involving the physically or mentally disabled. Some neighborhoods have social services that will try to relocate problem tenants to more suitable facilities. Moreover, the Center for Court Innovation, the research arm of the New York State court system, has been considering trying out a system in which supportive-housing managers dealing with relapsed drug addicts would forgo an eviction proceeding if the tenant would agree to a judicially monitored treatment program. ''We think supportive housing would be a good testing ground for such an experiment,'' said John Feinblatt, director of the center. These efforts notwithstanding, nonprofit operators say they must be prepared to seek evictions in housing court, however time-consuming and expensive that process may be. ''Sometimes as a last resort we land in housing court, like any other housing manager,'' said Cynthia Dial, executive director of Project FIND, which manages three buildings with 600 supportive housing units. ''It takes way too long for outcomes -- whether positive or negative.'' Goddard Riverside Community Center, another nonprofit operator, says that about 40 court actions are initiated against tenants each year in the three Manhattan buildings with 372 units of supportive housing that it runs. Most are for rent nonpayment, and few end in evictions, said Stephan Russo, executive director. ''It's a drain on our resources, but it's important that we follow the housing laws just like any other landlord,'' he said. The fear that they may be unable to evict a seriously objectionable tenant ultimately has the effect of obliging nonprofit managers to set a higher threshold for acceptability in the tenant selection process, Ms. Haggerty said. ''It makes you less able to take risks,'' she said. With about 7,200 people in city shelters, nonprofit managers say that some may not be capable of living in a supportive housing environment. In many projects 60 percent of new tenants come from shelters; the rest are low-income people in the community. ''There are a certain number of people for whom the old-fashioned private flophouse is probably the best you're going to get,'' said Julie Sandorf, president of the Corporation for Supportive Housing. ''But I don't think our industry has so far had the financial resources or regulatory flexibility to test how far we can reach.'' The foundation-supported Corporation for Supportive Housing provides financial, technical and policy assistance to nonprofit operators of supportive housing across the country. Its New York City office, headed by Constance Tempel, serves 60 nonprofit companies. According to Ms. Sandorf, Minneapolis has developed a special type of supportive housing called ''wethousing,'' designed for chronic alcoholics, with services designed to reduce alcohol abuse over time. In Chicago, operators do not have such a great fear about tenant selection because the eviction process is not so onerous, she said. In Los Angeles, Lamp Inc., a housing operator and social-services provider for the chronically mentally ill, runs a continuum of facilities: 50 units of permanent housing, 48 transitional units and 18 units as a ''crisis shelter.'' The tenant who has a relapse while living in permanent housing can be shuttled back to transitional housing or a shelter, said Mollie Lowery, the executive director. The financing for the Kenmore included $14 million in equity supplied by Bell Atlantic under the tax-credit program for low-income housing, and also 300 rent vouchers supplied through the Section 8 program by the Department of Housing and Urban Development to supplement tenants' rent payments to meet operating requirements. These are unusually large contributions for a single project, underlining the seriousness of the neighborhood conditions that public and private interests came together to correct. With tourism strong, older hotels in Manhattan have grown more valuable and nonprofits find it difficult to acquire them. Newer projects, whether new construction or gut rehabilitations, are already centered in less costly locations. ''The Kenmore may have been extreme,'' Ms. Haaga said, ''but there are lots of buildings where there have been disinvestments.'' With timely sponsorship from the public sector, which opens the door to acquisition financing, nonprofit companies can compete for these properties, she said. http://query.nytimes.com/gst/fullpage.html?res=9801E5DE133CF93AA35756C0A96F958260&sec=&pagewanted=3 The Challenge of Managing Supportive Housing noImage

7 DESIGNERS BRING LIGHT TO SPECIAL APTS. Albor Ruis Daily News 2005-08-07 Luckily, it is not Home for the Friendless anymore. The prewar building where the old South Bronx orphanage with the unfortunate name used to be is being converted into 40 residences for families – mostly women and children – with at least one of its members living with HIV/AIDS. Its new name is Woodycrest House, and the people who will move into its spacious apartments – 26 one bedrooms and 14 two-bedrooms – in January 2006 will not be friendless, by any stretch of the imagination. “We want to give people a real sense of home, a sense of feeling special,? said Claire Haaga, the president of Housing and Services, Inc., a nonprofit organization dedicated since 1987 to developing, building and managing housing for the city’s most needy. To accomplish such a goal, the organization is working hand in hand with some very unusual partners who are more readily associated with luxury and the good life than with social involvement and charitable work. They are Domino, a style magazine that is the most recent addition to the Conde Nast roster of publications, and eight high profile – and very expensive – interior designers. These will donate their expertise to make the homes at Woodycrest “unique, stylish, and functional.? An award-winning Manhattan designer, Sara Bengur, came up with the idea while battling breast cancer three years ago. She spoke about it to Haaga, whom she met in India, where both were on a spiritual quest. Once in New York, Haaga contacted the people at the just-born Domino – only the first issue had come out – who were enthusiastic about the idea. They helped Bengur bring together the group of designers. “This project fits squarely with Domino’s mission,? said editor Deborah Needleman. “We are all about accessibility and the idea that style is for everyone regardless of income.? “Design is not a basic necessity like food and shelter, of course, but it is not only frivolous either,? she said. “We really believe in the power of good design on how people feel. This is a project that will actually have a direct impact on people’s lives. And to me, that’s great.? http://www.nydailynews.com DESIGNERS BRING LIGHT TO SPECIAL APTS. noImage

8 Once Down and Out, Kenmore Hall’s Comeback Reflects That of Its Residents JUDITH STILES SENIOR ADVOCATE 2005-10-01 Once known as the Kenmore Hotel, the place was so dangerous that in 1994 the federal government seized the building with the help of U.S. Marshals. Now it’s Kenmore Hall and home to 326 low-income residents. Fifteen years ago, the place that today is known as Kenmore Hall was a single-room occupancy hotel, or SRO, that Richard Calabrese recalls as being more like a jungle, where fear ruled and the strong oppressed the weak. “This place was horrible back then,? Calabrese recalled. “The old people lived in constant fear of being robbed, mugged or even murdered inside the hallways of their own building.? For Calabrese, the normalcy of life in those days was all relative. For the former Eatontown, N.J., firefighter, the last home he’d had before moving into the decrepit and threatening SRO was a cardboard box on the streets of Manhattan. Sidestepping the details of how and why he became homeless other than to say he was proud of his resourcefulness in those days and his ability to survive the cold New York winters, he says he landed at the old Kenmore Hotel at 143-145 East 23rd Street in Manhattan with the help of a social worker. With some defiance, he indicates there are no big explanations for his slide from firefighter to homelessness…and no regrets. He recalls entering a place where drugs were openly dealt and used and where prostitutes, criminals and just plain “dangerous? people roamed freely. That began to change in 1994 when the U.S. Marshals intervened. Calabrese said that when the federal government seized the nefarious building it was the beginning of momentous change. He’s lived through it all, and credits a non-profit organization, Housing and Services, Inc., (HSI) for the turnaround. Specifically, he points to Claire Haaga, HSI’s president, as having spearheaded the remarkable transformation that has occurred at what is now known as Kenmore Hall. Haaga explains for that for the past 17 years, HSI has been working to create a network of supportive housing for homeless and low-income individuals, primarily focusing on those who are elderly, the mentally ill, those living with HIV/AIDS and persons with disabilities. “Our mission has always been to develop a range of affordable housing options for those who need it the most,? she said. In 1994, the federal marshals’ and the New York mayor’s offices approached HSI about taking over operation of the Kenmore SRO. “I remember visiting the building and walking the halls littered with garbage and excrement, and it was in such bad shape that we had to throw out our shoes afterwards,? Haaga said. The work to turn the facility around wasn’t easy, with Haaga describing a complex and arduous process of arranging $34 million in financing for the renovation using the Low-Income Housing Tax Credit Program and low-interest public loans. HSI continues to manage and operate Kenmore Hall, as it is known today, and other properties that it has similarly converted. At Kenmore, caseworker Jack Early knows all the residents and their “backstories,? and says he respects each one’s individuality and how they have responded to the plights they have faced in their lives. In an avuncular way, he expresses a day-to-day commitment and love of his job and an appreciation, too, for having had the chance to know all those he’s met at Kenmore. More than a third of Kenmore’s residents today are seniors, with many of them over 65. The people who land at Kenmore Hall are often old, alone in the world, possibly with a history of mental illness or just “lousy hard luck,? and they need a safety net, Haaga says. HSI provides an in-house program of social services and recreational activities. Kenmore Hall has 326 single units, each with a private bath and kitchenette and air conditioning. The Kenmore provides a buffet breakfast and has a gym and library; HSI arranges activities that range from fishing trips to Sheepshead Bay to bowling at Chelsea Piers. Residents also have access to Bellevue Hospital’s mobile crisis unit and twice-a-week visits from the hospital’s psychiatric staff. Social Security and disability benefits, as well as subsidies Through the federal Section 8 voucher program are used to pay rents. For Calabrese, he and Kenmore have come a long way from the dingy room he’d had in the early 1990s. Today he lives in a cozy studio apartment that he keeps neat as a pin, adorned with colorful artwork, knickknacks he’s gathered over the years and various memorabilia. One area is respectfully kept as a shrine to his late and beloved wife, Jackie. A burly man approaching 60, Calabrese makes extra money working as a paid pallbearer for funeral parlors in and around Greenwich Village. At an age when many of his contemporaries complain about carrying heavy grocery bags, he hoists his share of a 500-pound casket almost nonchalantly. Calabrese knows all about death, particularly from his days as a firefighter where once he narrowly escaped from a blazing fire, and from his days so many years ago of living on the edge of society. And he knows about life, and how people, and places, are able to have new life breathed into them. http://www.vcny.org/senior_advocate/senior%20advocate_oct05web.pdf Once Down and Out, Kenmore Hall’s Comeback Reflects That of Its Residents noImage

9 BIG BLUE KNIGHT GETS A THANK YOU Jennifer Lebovich Daily News 2004-06-30 Cop sent drug dealers packing from hotel When Officer Scott Kimmins joined the 13th Precinct in 1984, he walked a seven-block beat. But he soon wound up spending most of his time at the infamous Kenmore Hotel in Gramercy Park. After the E. 23rd St. hotel was bought by a slumlord in 1985, the building rapidly deteriorated into a haven for drug dealers and prostitutes. Elderly tenants lived as hostages, afraid to leave their rooms because of the thugs who terrorized the halls. At the height of the crime wave, the building saw three murders in one month, and logged an average 1,000 911 calls a year. The lanky cop, adoringly referred to as Stretch, was honored yesterday, as he nears retirement, for his efforts to clean up the once-dilapidated building. The former hotel, renamed Kenmore Hall, has been transformed into 325 single-occupancy units for low-income residents and is a model for Mayor Bloomberg’s plan for the homeless. Longtime residents recounted how Kimmins checked on elderly tenants and cared for others in the building. He also recorded drug arrests and drug seizures there, leading to the seizure of the property by the feds in 1994. Yesterday was the 10th anniversary of the seizure, and a cause for celebration at the building, now run by Housing & Services, a nonprofit group. “He single-handedly took on the task of trying to rid the building of drugs,? Claire Haaga, the president of Housing & Services, said of Kimmins. Eddie, a former crack addict, said Kimmins encouraged him to get help for his drug addiction. “Stretch is one of God’s children,? Eddie said, his eyes tearing. “To me, he’s like the father I never had. Thanks to him, I can walk with my head up.? Kimmins, 44, said he’s uncomfortable with all of the attention he has received. “You try to make an effort every day,? he said. “I tried to make someone’s day better and as a result I feel rewarded.? http://www.nydailynews.com BIG BLUE KNIGHT GETS A THANK YOU noImage

10 GRAMERCY KIDS SERVE DINNER TO LOW-INCOME NYERS Maciej Wroblewski Town and Village 2005-12-15 Some of Gramercy Park’s youngest residents helped to spread holiday cheer last week by serving meals at a Christmas dinner for low-income New Yorkers residing at Housing & Services’ Kenmore Hall at 145 East 23rd Street. Eliza, who chairs the Gramercy Park Block Association’s Children’s Community Service Committee, and her brother, Alexander, accompanied by Gramercy Park Block Association President Arlene Harrison, spent hours last Thursday serving dinners to more than 100 residents of Kenmore Hall, including many who are disabled and/or senior citizens. The residents, some of whom have no families of their own and others who were unable to visit their families this holiday season, were thrilled to see two youngsters handing out desserts with smiles on their faces and kind words for everyone. Every year at Christmas, Paddy Maguire’s Ale House at 237 Third Avenue holds a toy drive. They send the toys to the Gramercy Park Block Association Children’s Community Service Committee for the children to donate to those less fortunate. This year Eliza and Alexander met so many wonderful people during their visit to the Kenmore that they decided with Harrison to donate many of the toys from the toy frive to their neighbors at the Kenmore to give as gifts to their own families. “Both Eliza and Alexander were very happy to be able to help their neighbors that day,? said Harrison. “They told me they would like to visit the residents of the Kenmore again to see what else they can do to bring cheer to their new friends who live just a couple of blocks away,? she added. “We couldn’t be happier helping the residents of Kenmore Hall not only on Christmas but all year round. The Gramercy Park Block Association is proud of its Neighbors Helping Neighbors community service effort,? continued Harrison. Neighbors Helping Neighbors was formed immediately after the 9/11 attack on the World Trade Center to facilitate neighborhood residents and families in their plans to help their neighbors in need. One such project was Kids Helping Kids where kids from around the country wrote letters of support to children of police officers who died in the attack. Most recently, Neighbors Helping Neighbors Hurricane Katrina Relief Effort worked with Calvary Church and The Reverend Dr. Thomas F. Pike, Rector of the Parish of Calvary/St. George’s to collect and send over 300 boxes of donated items to the disaster area. The relief effort also donated money to Habitat for Humanity to help furnish 50 homes that are being built for families who lost their homes in the natural disaster. noImage

11 Kenmore Employees, Frank Brown and Jack Early, Honored for 10 Years of Service HSI 2006-04-28 The last two remaining employees from the original Kenmore Hall staff were honored at a ceremony today at the Kenmore. Frank Brown, a member of the Maintenance staff, and Jack Early, a member of the Residence Services staff, who've both worked at the Kenmore since the first day HSI acquired the property 10 years ago, were given four box seat tickets to tonight's NY Yankees game in honor of their hard work and longevity. The tickets came courtesy of HSI's Board Chair, Michael Cohen and were presented to Frank and Jack by HSI Executive Director, Lawrence Oaks. "Frank and Jack have worked tirelessly on behalf of the tenants of the Kenmore for the past ten years. Knowing they are both baseball fans, the Board and I could think of no better way to honor them than this," said Oaks. “Enjoy the game guys!? Honorary Breakfast Upload Export.jpg

14 Winter Coat Drive, Dec 13th HSI 2006-12-13 Inviting all community members to donate your gently worn, clean coats for adults (all sizes) to HSI's Winter Coat Drive, which will take place at HSI's flagship supportive residence, Kenmore Hall, located at 145 East 23rd Street between Lexington and Third Avenue, on December 13, 2006 from 8am to 8pm. Coats will help the 326 formerly homeless residents living at Kenmore Hall to stay warm during the coming cold months. As a 501C3 tax exempt organization, HSI will send donors a tax deduction receipt within two weeks of the Coat Drive. All contributions, pursuant to IRS regulations, are tax deductible to the full extent of the law. The formerly homeless men and women living at Kenmore Hall will benefit greatly from all donations received. Call Jessica Ziegler, Director of Development & Communication, for more information about the Coat Drive and any of HSI’s programs at 212-252-9377 x105. Kenmore client in apt.jpg

15 Opening of Woodycrest House HSI 2006-11-08 Housing & Services, Inc. is pleased to announce that Woodycrest House has officially opened its doors to 39 formerly homeless families affected by HIV/AIDS. The photo to the right, which depicts David Netto's beautifully designed model unit, was taken by Ruth Fremson and recently appeared in the New York Times. To our friends at domino magazine and to all of the designers involved, we say thanks for helping make this special project a reality. Over nine million dollars in financing closed in April 2004 on this 40-unit permanent, supportive housing residence for homeless families with at least one member suffering from HIV/AIDS. Conde Nast and domino magazine, with eight top interior designers, donated their creative talents by designing beautiful and comfortable apartments for the families – utilizing all donated furniture. See Domino's website for more on the design project: http://www.dominomag.com The 39 families will receive on-site services including case management, substance abuse, vocational and individual counseling, acupuncture, food pantry, nutritional services workshops, child care, parent support groups, holiday celebrations and ongoing education and recreation programs for children and their parents. Expert medical and mental health services will be provided just next door at Highbridge-Woodycrest Center (developed by HSI in 1991), which specializes in serving patients with HIV/AIDS. We would like to thank the following designers for generously donating their unique talents and energy to this special place: Sara Bengur, Katie Lydon, Celerie Kemble, David Netto, Timothy Whealon, The Apartment, Ruthie Sommers and Thomas O'Brien. http://dominomag.com Opening of Woodycrest House Netto Wdycrest apt.jpg

16 Officer who cleaned up Kenmore named BID’s operations director Albert Amateau Chelsea Now 2006-12-22 The Flatiron/23rd St. Partnership Business Improvement District has appointed Scott Kimmins, a decorated former New York Police Department officer who spent his 20-year career patrolling the Flatiron District, as the BID’s director of operations. Kimmins, who retired in 2004 as an officer in the 13th Precinct, was a major investigator of drug-related crimes in the Kenmore Hotel on E. 23rd St., leading to the federal 1994 takeover of the hotel. The Kenmore has become a model supportive residence for formerly homeless people run by HSI (Housing & Services, Inc.), a nonprofit housing company. “No one is more responsible for the turnaround of the Kenmore than Scott Kimmins,? said Larry Oaks, HSI executive director. “Scott committed himself to safeguarding vulnerable and elderly tenants at the hotel in the early ’90s when the Kenmore was one of the most violent, drug-ridden buildings in the city. We can’t thank Scott enough for never giving up on the Kenmore and its residents,? Oaks said. Kimmins, known to Flatiron residents and merchants as “Stretch? because of his 6-foot-4 height, said, “I’m the type of guy who likes to do things — I like to know that I’m making things better.? Remarking on the change in the neighborhood since the influx of residential population, he said, “There’s a new dynamic, which is great to see.? The recently organized Flatiron/23rd St. Partnership BID provides augmented sanitation, security and business promotion services for a 38-block district between 21st and 28th Sts. from Third to Sixth Aves. As the BID’s director of operations, Kimmins will oversee the new safety and sanitation services that the BID initiated in November. http://www.chelseanow.com/cn_13/officerwhocleanedup.html Officer who cleaned up Kenmore named BID’s operations director noImage

17 Retired Top Cop Returns to his Beat Town and Village 2007-01-04 Highly decorated former NYPD Officer Scott Kimmins, who devoted his 20-year law enforcement career to patrolling the Flatiron District as a cop with the 13th Precinct, has returned to his former beat with his appointment in October as the director of operations of the recently established Flatiron/23rd Street Partnership Business Improvement District (BID). After working in the private sector since his 2004 retirement, Kimmins sought out his position with the BID because of his love for the area and his desire to return to it. Kimmins is best known as the hero officer whose thorough documentation of drug trafficking and related crimes at the Kenmore Hotel on East 23rd Street led to a federal takeover of the facility in 1994, in what was then the largest asset forfeiture action ever undertaken by the Federal Government. The Kenmore is now a model program run by Housing and Services, Inc. (HSI) providing permanent supportive housing for formerly homeless individuals. “No one is more responsible for the turn around of Kenmore than Scott Kimmins,? said Executive Director Larry Oaks. “Scott committed himself to safe-guarding vulnerable and elderly tenants at the hotel, particularly in the early 90’s when Kenmore was one of the most violent, drug-ridden buildings in the city. We can’t thank Scott enough for never giving up on the Kenmore and its residents.? “I’m the type of guy who likes to do things,? explained Kimmins. “I never wanted to be in the limelight. I just like to know that I am making things better.? Kimmins’ notable modesty is continually challenged by local residents and business owners quick to share anecdotes about how “Stretch,? as the 6’4? Kimmins is affectionately known, has contributed to the well-being of the Flatiron District. Reflecting on his history in the area and optimistic about his new role with the Flatiron/23rd Street Partnership Business Improvement District, Kimmins comments, “This neighborhood used to be a ghost town after 5 p.m. since it centered around commercial business, he says. Because of the residential influx, “it’s different now. There’s a new energetic dynamic, which is great to see.? As part of his long list of responsibilities, Kimmins’ oversees safety and the new sanitation initiatives that the BID launched in November. Kimmins, a fourth generation New Yorker, is excited about the possibilities ahead for the community that helped to define his career. “Everyone needs a reason to get up in the morning,? he says. “Every new day holds the possibility of a new adventure. If one isn’t presented, I can always find one.? The Flatiron/23rd Street Partnership Business Improvement District (BID) is a not-for-profit organization formed in 2006 by property owners, tenants, city officials and others with a stake in the community. The district encompasses approximately a 38 block area with borders extending from 21st Street to 28th Street and from Third Avenue to Sixth Avenue. Its mission is to make a great neighborhood even better by making it cleaner, safer, and more beautiful through supplemental sanitation and security services, the promotion and marketing of the area’s diverse offerings and undertaking additional neighborhood improvements. noImage

13 'For Sale' Sign on Complex Complicates Housing Policy Janny Scott New York Times 2006-08-31 With rising housing costs squeezing middle-class New Yorkers and with the Bloomberg administration struggling to slow the loss of homes that people like teachers and nurses can afford, the news that Stuyvesant Town and Peter Cooper Village could be sold and turned eventually into luxury apartments illustrates vividly the uphill battle the administration and the city are facing. Children like Alana Jones, who is 15 months old, have played a big part in the life of Stuyvesant Town since it was built in the 1940’s. But many residents wonder how long middle-class families can afford to live there. Nearly three-quarters of the 11,200 apartments in the two complexes, which Metropolitan Life is offering for sale, currently fall under the state’s rent regulation system and rent for as little as half the open-market rate. But a new owner who pays the $4 billion to $5 billion that MetLife is said to want may have a powerful financial incentive to try to remove many or most of those units from the rent regulation system. While state law would prevent a new owner from charging market-rate rents to existing residents as long as they remain in their current apartments, an owner could in many cases have the unit deregulated when the current tenants die or move. Over the next decade or so, the best-known bastion of middle-class housing in Manhattan could become largely unaffordable to the middle class. “We’re losing more at one end than we’re gaining in affordable housing at the other end through the mayor’s plan,? said Victor Bach, a senior policy analyst for the Community Service Society, an organization that studies and tries to alleviate poverty in the city. “This just tips the balance even worse. It’s more difficult to make the argument that the efforts of the city in affordable housing, which deserve a lot of praise, are going to compensate for the market losses that occur through sales.? Mayor Michael R. Bloomberg has vowed to create and preserve 165,000 units of low- and moderate-income housing by 2013; administration officials say they have produced more than 17,000 units in the last fiscal year alone. But housing experts say thousands of other moderately priced apartments are disappearing from the rent regulation system and from state and city subsidy programs that had kept rents low. The administration has worked to preserve low-priced apartments in older buildings whose owners received government subsidies in return for keeping rents low under programs like the state’s Mitchell-Lama program. The administration has offered owners incentives to remain in those programs, with some success. But it has less leverage in a strictly private sale like that of Stuyvesant Town and Peter Cooper Village. The city and state are not, however, powerless. City officials said they would be willing to work with any buyers who are interested in keeping Stuyvesant Town and Peter Cooper Village affordable to the middle class, and could offer incentives. For example, they might help a buyer with getting financing for a co-op conversion plan under which current tenants at certain income levels could buy their apartments at a reduced price. Emily A. Youssouf, president of the city’s Housing Development Corporation, which encourages private investment in low- and moderately priced housing through things like low-interest mortgages and the issuance of bonds, said her agency could, for example, use its reserves to make a loan to a buyer that would enable them in turn to offer the apartments to current residents at prices they could afford. “From the seller’s perspective, they can get the same price,? Ms. Youssouf said. “As long as they can make as much money, I think that’s probably their primary concern. Remember, MetLife built these properties with help from the city. Do they have any obligation to do something like this? I think the answer is no. But as long as they can still make a good return on it, why would they not want to do it?? Two years ago, the city helped persuade the owner of West Village Houses, a 420-unit apartment complex that had become eligible to leave the Mitchell-Lama program and begin charging market-rate rents, to convert the complex to a co-op and sell the apartments to the tenants at a discount rate. As part of the agreement, the administration agreed to forgive $19 million of interest accrued on a city mortgage loan and to recommend a tax exemption for 12 years. Earlier this year, the tenants of two large working-class apartment complexes, Lafayette-Morrison and Lafayette-Boynton, near Soundview Park in the Bronx, said they had arranged for a group of real estate investors to buy the buildings and sell the units to tenants. In that case, the city extended the existing real estate tax abatement on the buildings to help make the deal possible and keep the price of the units low. In another case, the city helped arrange tax breaks and other incentives that enabled CPC Resources Inc., which develops moderately priced housing, to buy Parkchester, a 12,000-unit apartment complex in the Bronx also built by MetLife. “Clearly, the potential sale of Stuyvesant Town and Peter Cooper Village is of significant concern to the administration and the mayor and we would very much want to work with any potential buyer to preserve affordable housing in these properties,? Shaun Donovan, commissioner of the Department of Housing Preservation and Development, said yesterday. stuyvesant.jpg

18 Kenmore Hall Wins Maxwell Award Fannie Mae Website Round Twelve Casebook 2000-12-01 Once known as the epicenter of crime in the Manhattan neighborhood of Gramercy Park, Kenmore Hall was riddled with drug dealing, loan sharking, robberies, and assaults. Neighborhood residents wouldn't walk past the building to shop in local businesses, and the local police precinct reported at least one emergency call per day from the facility. With a deep commitment to providing decent affordable housing and services for formerly homeless individuals, including those with mental illness and AIDS, Housing & Services, Inc. (HSI) accepted the daunting challenge of Kenmore's rehabilitation. Working closely with the police department and service agencies, HSI built community support, rid the building of criminal activity, brought improved circumstances to hold-over tenants, gave welcome shelter to new tenants, and provided all 326 residents with the services they need for a more stable, productive future. The project was recognized with a HUD 1999 Best Practices Award. Project Profile Type: Special needs, rental with syndication, multiunit building, mixed-use building, interior and exterior rehabilitation Population base served: Urban Number of units: 326 efficiency units (plus one two-bedroom for superintendent) Clientele: Senior citizens, single adults, physically disabled individuals, developmentally-impaired individuals, homeless persons, severely or persistently mentally-ill individuals, persons with HIV/AIDS, New Americans, minorities Special Features AFFORDABILITY: Homelessness is the most visible and serious manifestation of New York City's severe affordable-housing shortage, and many other households are on the verge of becoming homeless. In a city infamous for its high rental costs, roughly 19 percent of the residents have household incomes below the poverty level. Issues such as illness, disability, substance abuse, prior institutionalization, former homelessness, and age often compound housing difficulties. Hospitals, correctional institutions, and psychiatric facilities generally provide no assistance for those who are discharged. The Kenmore Hall project was funded through private and public partnerships to address these issues. Because it was intended for low- and very low-income individuals, it was structured with minimal debt. For construction and permanent financing, the development team applied for deferred public funds targeted for special populations, i.e. homeless persons and those with AIDS. The project received loans of $4 million from the city's Department of Housing Preservation and Development's Single Room Occupancy (SRO) program, $1 million from a NYC Department of Housing Preservation (HPD)-Housing Opportunities for People with AIDS loan, and $4 million from the state's Homeless Housing Assistance Corporation. A HUD capital grant for $400,000 was part of a Supportive Housing Grant of $2.2 million. Bell Atlantic Credit Corporation provided equity of $13.8 million for construction financing. A Chase CDC construction/permanent loan for $1.6 million is the project's only commercial debt. A portion of the developer's fee was deposited in the Sponsor Reserve Account. A contract with the city's Department of Homeless Services mandates that 60 percent of new residents be referrals from homeless shelters. Kenmore Hall has a set-aside of 300 for HUD Section 8 vouchers, and 15 units are reserved for persons with AIDS. Residents have an average household income of $7,282 and pay an average monthly rent of $158. DEVELOPMENT PROCESS: During the three-year rehabilitation effort, HSI assembled financing, selected the development team, and oversaw construction. Kenmore Hall is located strategically in the high-density Manhattan neighborhood of Gramercy Park. The area is relatively affluent, but the building had been a magnet for crime. Ridding the premises of this criminal element required considerable effort. HSI worked closely with the NYC Police Department (NYPD), which committed to daily on-site police presence. Private, round-the-clock, armed security services, however, were also required. After a year, criminal activities had been cleared out, and remaining tenants were surveyed. Delays arose when ten hold-over tenants refused to move to temporary units. Seven filed legal actions that went through Federal Court appeals, and they were evicted—but the dispute cost HSI more than $600,000. Fortunately, the construction contractor did not charge for the 11-month construction delay, and the development budget contained a line item of $3,198,123 that covered the costs of additional security and legal services. The property was considered well worth salvaging because it is ideally situated in close proximity to shopping, employment opportunities, and medical and social services. Public transportation is easily accessible, with a subway station less than a block away and bus stops directly in front of the building. DESIGN/CONSTRUCTION: Construction was planned in three phases to accommodate the internal, temporary relocation of the 250 existing tenants as newly rehabilitated units became available. Kenmore's common areas are accessible and were designed for maximum use by tenants to encourage a sense of community. The spacious lobby has a front desk with 24-hour coverage and seating for visitors and residents. The second floor holds resident-services offices and a large community room with kitchenette, exercise room, and library. Lounges and laundry rooms are located on alternating floors. A state-of-the-art security system is monitored 24 hours a day by trained staff. Modern, energy-efficient lighting was installed; exterior lights are on timers; and some lighting is motion-activated. The roof, windows, walls, boilers, and piping are well insulated. Natural gas heat, low-flow showerheads, low-water flush toilets, an energy-efficient boiler system, and automatic entrance doors save energy and resources. COMMUNITY INVOLVEMENT: In 1994, at the outset of its involvement with the project, HSI assembled a community advisory board comprised of civic leaders, elected officials, and service providers. The board helped build support for the project and has continued to be involved in the Kenmore. The project contractor hired tradespersons that represented the diversity of the city's population and the neighborhood. Local merchants continue to provide building furnishings as well as office and cleaning supplies. Donated goods, such as furniture for residents' rooms, were obtained through the HSI network. SOCIAL SERVICES: Residents have access to an on-site, full-time social service staff consisting of four caseworkers and two substance-abuse counselors. Regular social services, health, and educational activities are offered, such as employment skills workshops and self-help meetings. Regular group meals are served in the community room. Bellevue Hospital provides on-site mental-health services, and Visiting Nurse Services has on-site offices through which residents can obtain free health assessments, information, and referrals. EMPOWERMENT: During development, HSI held tenant meetings to get input on design and to provide updates on construction and available social services. As rent-up neared completion, a residents' council was being formed; a group of tenants had already organized a tenant association. Tenants have volunteered to be library coordinators, financial management teachers, and contributors to the Kenmore Quarterly, a resident newsletter. COMMUNITY DEVELOPMENT IMPACT: Since its rehabilitation, Kenmore Hall has garnered praise from tenants, service agencies, law-enforcement officers, and neighborhood residents and businesses—everyone, in fact, except the criminals who once camped there. In conjunction with the 23rd Street Business Association and the SOHO Partnership, HSI/Kenmore Hall initiated an employment program for homeless and formerly homeless men and women through which they clean streets part time while learning life skills and participating in job-readiness training. After six months of work and education, graduates of the program begin full-time jobs in the community. Project Financing Total development cost: $26,477,828 Actual cost per unit: $107,294 Cost per square foot: $120 Total permanent financing: $1,629,179 Equity Amount Terms US HUD Supportive Housing Program $400,000 30-year capital grant Miscellaneous: Con Ed/Time Warner/US Marshal's/Baruch College $145,000 rebates and refunds Debt Amount Terms Bell Atlantic Credit Corporation $13,800,000 construction loan NYC Department of Housing Preservation & Development $4,000,000 0% 30-year SRO deferred loan NYC Department of Housing Preservation & Development $1,000,000 0% 30-year HOPWA deferred loan NYC Department of Housing Preservation & Development $4,000,000 0% 30-year HHAP deferred loan Chase CDC $1,629,179 7.74% 15-year loan Organization Information Year established as nonprofit organization: 1987 Number of years producing housing: 12 Number of units produced through June 30, 1999: 1,500 1999 operating budget: $2,122,298 HSI develops affordable housing for individuals and famolies, manages housing, and advocates for public policies that will strengthen and preserve affordable, permanent housing. With a staff of 12, HSI is currently seeking to refinance older, supportive housing projects for low-income elders. It is pursuing several partnership initiatives: with the Bronx Lebanon Hospital Center to create 90 units of affordable housing for senior citizens; with the Edwin Gould Foundation to create 50 affordable units for young adults leaving foster care, and program space for youth service providers Bronx to create 40 independant-living units for persons with AIDS and mental illness. The organization's Miami affiliate, Housing & Services of South Florida, works with the Miami-Dade County Homeless Trust toward similar objectives. http://www.knowledgeplex.org/showdoc.html?id=1313 Kenmore Hall Wins Maxwell Award kenmore wins maxwell award.jpg

19 Holiday Party at Kenmore Hall Town and Village 2006-12-28 Kenmore Hall Recreation Director Kevin Richardson, Housing and Services Director of Development and Communications Jessica Ziegler, Housing and Services Executive Director Larry Oaks, Gramercy Park Block Association President and a Trustee of Gramercy Park Arlene Harrison and Kenmore Hall Floor Assistants Elyse Sinclair joined residents at a holiday party at Kenmore Hall on East 23rd Street. The GPBA had just completed a successful neighborhood coat drive for the residents and had joined with Paddy Maguire of Paddy Maguire’s Ale House on Third Avenue at 20th Street in Maguire’s annual toy drive providing gifts for the families of the Kenmore Hall residents. Dec28_KenmoreModified.jpg

20 HSI Welcomes New Staff to Kenmore Hall HSI 2007-02-02 HSI is pleased to announce the addition of two new specialized social service staff at Kenmore Hall, HSI’s flagship supportive residence housing 326 formerly homeless men and women. Kristi Kimmerle (MSW), Program Manager, and Nadeen Samuels, our first-ever Educational/Vocational Case Manager, are both professionals who bring a great deal of expertise to the Kenmore team. Prior to joining HSI Ms. Kimmerle was the Director of the Coalition for the Homeless’ Scattered Site Program in NYC. Ms. Kimmerle received her Masters in Social Work from Fordham University and has been working in the Human Service field in various capacities for the past nine years. “I am very excited to be here and look forward to having the opportunity to interact directly with tenants regularly where I hope to make a real difference.? says Kristi. Ms. Samuals joined HSI in January after working for the Queens Parent Resource Center as a Resident Manager. For the past seven years Ms Samuals has provided employment counseling at various NYC based human service agencies and is excited to have the opportunity to serve as Kenmore’s first ever vocational counselor. “I really enjoy having the opportunity to work with the tenants at Kenmore Hall to make positive choices that help empower them to create better futures.? says Nadeen. Working together Kristi and Nadeen are planning the launch of HSI’s new Educational/Vocational Initiative which will have its beginnings at Kenmore Hall and will expand to our other residential programs in the near future. In her roll as Program Manager Kristi will ensure that Kenmore Hall clients continue to receive a diverse range of support services including case management, on-site medical and psychiatric services, entitlement support, and job training (resume building, interview skills, support groups and retention parties for those employed). Under Kristi’s leadership Nadeen will also be working on an exciting new initiative that will provide clients access to computers and training at a state of the art educational center to be established in the future – stay tuned! noImage

21 Kenmore Hall Celebrates 80th Birthday HSI 2007-04-13 HSI’s largest supportive housing project, Kenmore Hall, celebrates its 80th birthday this year. The 23-floor building, located on East 23rd Street in Manhattan, was originally constructed in 1927 as the first hotel in NYC with an indoor pool. The Kenmore provided low to moderately priced accommodations to those seeking a room in the Gramercy Park neighborhood. Many are now familiar with the hotel’s precipitous decline in the 1980’s and 90’s, a decline marked by drug dealing and violence that led to the US Marshals Services’ takeover of the building in 1994 and HSI’s successful renovation and conversion in 1999. Less well known is the Hotel’s early history. For several years in the late 1920’s noted author Nathanael West worked as the Kenmore’s night manager. Portions of West’s novels The Day of the Locust and Miss Lonelyhearts are based on the relationships he formed at Kenmore and his experiences there. West was known to allow his literary friends, including Dashiell Hammett, to stay at the hotel for extended periods of time free of charge. It was during these extended stays at Kenmore that Dash, as his friends affectionately called him, wrote The Maltese Falcon. The building site itself, 145 East 23rd Street, has its own famous literary history apart from the Kenmore – in 1895 Stephen Crane lived in a building at the same address which eventually was torn down to make way for the Kenmore. It was here that Crane penned what is widely considered his greatest work, the Civil War tome The Red Badge of Courage. In recognition of the Kenmore’s rich literary history HSI plans to apply to the US Department of the Interior later this year to have the building placed on the National Register of Historic Places. Check back soon for updates. Kenmore Hall.jpg

23 Housing and Services, Inc...The Road Home - DevelopmentNYC Magazine Jan Wilson DevelopmentNYC 2007-05-01 Imagine having spent your young life going from home to home in the foster care system, only to wind up homeless once you become an adult. That story is far too familiar for children who have been wards of the state. However, thanks to Housing and Services Inc., some young people who have “aged-out? of the foster care system will have a place to call home and help to get on their feet. “A large number of foster kids end up in prison, mental hospitals or on the street after they age out,? says Lawrence Oaks, Executive Director of Housing and Services, Inc. (HSI). “There is too large a cost---both in terms of how much is spent on foster care and the waste of human potential—to have them leave the system only to fail and end up dependent on it again.? HSI’s mission is to end homelessness by creating permanent, cost-effective solutions to housing crises for New Yorkers in need, and they work with many populations, including the homeless and others who require supportive housing. As part of what Oaks defines as the non-profit’s “core business?, HSI has recently completed a project that will house young adults who have left foster care. HSI is also working on the preservation and development of affordable housing, helping working and middle class tenants remain in apartments that are no longer under Mitchell-Lama guidelines. HSI is also addressing, in a very positive way, the concern for those displaced as a result of the hot real estate market. For the City to thrive and benefit all of its citizens, organizations like HSI are essential. The ability to come home to safe housing is a luxury that cannot be overstated for some New Yorkers, says Oaks. “Coming to Housing and Services has changed my world,? notes Deborah Robinson, a resident. “For the first time in my life, I am relaxed and at peace with myself.? Pullout box [not a quote]: For the City to thrive and benefit all of its citizens, organizations like HSI are essential. The ability to come home to safe housing is a luxury that cannot be overstated. Everyone Needs a Home Housing and Services, Inc. was founded 20 years ago, as a spin off of the Vera Institute of Justice. “This is a much larger organization,? explains Oaks, “whose goal initially was to help other nonprofits to develop supportive housing. As the agency grew, we began to take on management of some of the projects we developed.? HSI’s first project was The Cecil Hotel, which was, notes Oaks, “one of the first supportive housing projects in the country to take people from the shelter system and put them into permanent housing.? Now, the organization provides housing for 535 individuals and families in multi-unit buildings including The Cecil Hotel, The Narragansett and Kenmore Hall, as well as scattered site housing for families with members who have HIV/AIDS. The nonprofit also has developed or preserved over 3,000 units of affordable and special needs housing since 1987. “We have provided expert housing development services to more than 20 New York City nonprofits and tenant associations,? Oaks says. HSI has a budget of $7.9 million and a staff of 90. The Edwin Gould Residence, a building with 52 studio apartments for young people formerly in foster care, was designed by TEK Architects and its first floor is reserved for service providers. “We have partnered with other organizations that can service the tenants – there are non-profit legal defenders, medical screening, and an array of services that layer on top of the three case managers working there full time,? Oaks says. The project, located on 110th Street between Park Avenue and Madison Avenue, was completed in 2006. HSI is well known for its work on Kenmore Hall, a formerly drug-infesting single-room occupancy hotel on East 23rd Street. HSI developed the property after a gut renovation that converted it into 326 studio units for low-income as well as elderly frail and mentally ill residents. This was the project that Oaks worked on when he joined the non-profit in 1996. [pullout quote: “Coming to Housing and Services has changed my world. For the first time in my life, I am relaxed and at peace with myself.? Deborah Robinson, Resident] Turning Renters into Owners HSI has persistently grown in the direction where help is most needed, and an example of that is its Homeownership Initiative, whose goal is to preserve the affordability of housing that is aging out of Mitchell Lama. Working with Apollo Real Estate Advisors, HSI saved the homes of 1,865 Bronx families who would have been forced to move had a developer acquired the building and instituted market-rate rents. “We are committed to making these apartments affordable, rather than simply meeting the New York standard of costing half or more of a tenant’s monthly income,? says Oaks. “Our work at Lafayette Estates in the Bronx created an opportunity for people to own while the investors still make a profit. We, and the investors in this project, believe in the strength of these kinds of neighborhoods.? The organization is now working on its second Mitchell-Lama conversion. “This project contains 325 units,? Oaks notes, “we are committed to making sure that housing intended for the middle and working class families remains in their hands if at all possible.? Building the Future HSI is branching out into a new area for the organization—Brooklyn. “Through a partnership with a private developer, we are developing the Star Candle Factory in Williamsburg,? says Oaks. “The vision here is to expand on the Mitchell Lama concept and create a luxurious project offered for 60 percent less of the typical cost of a Williamsburg home.? Oaks says that the organization would be interested in pursuing other types of projects of this nature. [pullout quote 3: “HSI’s Homeownership Initiative is breaking the traditional role of what a supportive housing provider or nonprofit developer might be. We simply want to end homelessness as we know it.? Larry Oaks, Executive Director, Housing & Services, Inc.] “In Williamsburg, local residents are completely priced out,? he says. “There is a high concentration of poverty there but people have nowhere to go because it is gentrifying so rapidly.? HSI is addressing in a very positive way the concern for those displaced as a result of the hot real estate market. For the City to thrive and benefit all of its citizens, programs like HSI are essential. He notes that while HSI’s Homeownership Initiative is “breaking the traditional role of what a supportive housing provider or nonprofit developer might be.? Its goal is the same as with HSI’s core programs. “We simply want to end homelessness as we know it.? NYTimesLafayetteMorrison.jpg

24 Housing on The Edge - Affordable Housing Finance Magazine Anderson, Bendix Affordable Housing Finance 2007-06-01 Peter Alizio has a stomachache. “I’m actually not feeling that well,? he said. “It might have something to do with my job.? Alizio is a principle of PJ Alizio Realty, Inc., a development firm dedicated to buying and preserving the affordability of privately owned, government-subsidized housing projects. He regularly bids against speculators who are hoping to cash in on New York’s real estate boom. “You almost feel like it’s your obligation to outbid them, because if you don’t, some family loses,? he said. “I like that urgency, but it’s probably what makes us anxious and upset.? Much of the older privately-owned subsidized housing in New York City was built up with help from the state Mitchell lama and Limited Dividend programs, often mixing Mitchell-lama’s property tax breaks with mortgages insured by the Department of Housing and Development (HUD). In 2006, the New York City Comptroller counted nearly 13,000 units of affordable housing in the city hat were shrugging off their income restrictions and leaving the programs. Another 36,000 apartments, one-fifth of the total 149,000 units built in the city under the programs, had already left, many after being purchased by the same kind of real estate speculators that Alizio bids against. For example, Starrett City in Brooklyn is now up for sale under the new name of “Spring Creek Towers,? and the fate of its nearly 6,000 Mitchell-Lama rental apartments is unclear after an earlier purchase agreement was rejected by HUD. So far, New York City has preserved nearly 20,000 units of Mitchell-Lama housing through a variety of loan programs and tax incentives, although most of them haven’t been the housing units most a risk of leaving the program. The Mitchell-lama portfolio is split between rental and co-op apartments. Nearly three-quarters of the units preserved were co-ops, whereas all the Mitchell-lama units that left the program in the last two years have been rental apartments, according to the comptroller. “The rentals are not as interested,? said Emily Youssouf, president of the New York City Housing Development Corp. “The owners just want to sell their property and walk away from it and get their money.? Caption: Fairfield towers left the Mitchell-Lama Program in 1991, just before the housing market crashed. Now its unsold condominiums are being remarketed at affordable prices under the new name of MeadowWood at Gateway. Saving Seaview Towers One of the rental properties that is still affordable, thanks to city programs, is located near Far Rockaway, a narrow finger of land poking from the borough of Queens into the Atlantic Ocean. In December, Alizio’s company won the bidding for 462 rental apartments at Seaview Towers, overlooking the beach here. The developer paid $42 million, or $91,000 per unit, to AIMCO, a national real estate investment trust based in Denver. Seaview’s two 20-story high rise towers were built in the late 1970s with a Sec. 236 mortgage guaranteed by HUD and a tax abatement from the Mitchell-Lama program. Qualifying tenants at Seaview will receive rental subsidies in the form of enhanced Sec. 8 vouchers provided by HUD. And PJ Alizio Realty’s plan for Seaview will keep nearly all of the apartments affordable to families earning up to 60 percent of the area median income (AMI) for the next 30 years – providing affordable housing both o tenants with enhanced vouchers and to future tenants. Recapitalizing Seaview to keep the development affordable will cost a total of $63.7 million, financed by a package of low-interest loans and equity from the sale follow-income housing tax credits (see box on next page). Alizio is now searching for his next project, but the pickings – at least of reasonably priced properties – are slim. “Every piece of real estate in New York City being so desirable, it’s hard to find an existing building that isn’t going to go for top dollar,? Youssouf said. Alizio Realty was able to bid more for Seaview because the property still had more than 10 years left on its original Sec. 236 mortgages. Those loans had a stream of interest reduction payments from HUD that were decoupled to help underwrite Seaview’s new financing. Seaview was also lucky to win a reservation of tax-exempt bond financing. HDC now has more than $1.8 billion in requests for tax-exempt bond financing, but only $300 million available. Sources of Financing for Seaview Towers: $32 Million from a floating-rate, 30-year mortgage funded with tax-exempt bonds issued by New York City’s Housing and Development Corp., credit enhanced by Fannie Mae, serviced by Capmark Financial Group, and purchased by JPMorgan Chase & Co. $20.2 million in equity from the sale of 4 percent low-income housing tax credits to the Bank of New York, syndicated by Alliant Capital. $10.3 million from a 30-year, soft second mortgage by New York City’s Housing and Development Corp. $1.2 million from a fixed-rate, 30-year, Mitchell-Lama Repair Loan Total Development Cost: $63.7 million. Caption: Seaview Towers is one of the only Mitchell-Lama properties that has been recapitalized as an affordable housing property. Conversion to Homeownership Homeownership may be a last resort to help rental tenants avoid displacement if their Mitchell-Lama property goes up for sale, especially in apartments that are not eligible for HUD’s enhanced vouchers or that, because they were first occupied after 1974, are not subject to New York’s rent stabilization laws. The tenants of Lafayette Morrison and Lafayette Boynton recently partnered up with Housing and Services, Inc. and Apollo Real Estate Advisors, L.P., to purchase and convert their 1,865 Mitchell-Lama rental apartments into affordable co-op apartments for a total cost of $110 million, or roughly $60,000 per unit. These new homeowners will receive up to $20,000 in grants from the state’s Affordable Homeownership Corp., plus closing-cost grants of up to $2,500 from the New York Housing Partnership. Rental properties like these that leave the Mitchell-Lama program to convert to home ownership can apply to the city to keep their old Mitchell-Lama property tax abatement, provided the co-ops stay affordable to buyers earning up to 165% Ami. “It’s not a solution for all of the thousands of units, but it’s a solution for some,? said Beth Berns, chief financial officer for the Housing Partnership. Affordable homeownership can even help Mitchell-lama rental properties that left the program years ago. The owners of Fairfield Towers in the East New York neighborhood of Brooklyn, practically next door to Starrett City, converted their 1,100 Mitchell-Lama rental apartments into condominiums in 1991. But the developers only sold about a hundred units and struggled to operate the rest as rentals. By 2006, the 19 apartment towers had racked up more than 1,900 building code violations. Last December, Taconic Investment Partners and Apollo Real Estate Advisors bought the 983 unsold condominiums, fixed them, and are working to sell hem at prices that should be affordable to the current tenants. stuyvesant.jpg

25 HSI OPENS LEARNING CENTER AT KENMORE HALL HSI From the desk of HSI 2007-12-05 At an open house attended by 150 area residents, business leaders and government officials held this evening at Kenmore Hall on East 23rd Street in Manhattan, HSI showed off their new state of the art computer learning center. The center, which was completed in part by a grant from Banco Popular and funds provided by the NYC Department of Homeless Services, will begin offering employment related workshops, resume writing classes and job placement services to Kenmore's 325 formerly homeless residents in February. "The opening of this center represents the next stage in the development of one of NYC's largest supportive housing projects" said HSI Executive Director Lawrence Oaks. "We're excited to now be in a position to offer our residents the educational programming and employment related support they deserve." For information about the center please contact Kristi Kimmerle at (212) 228-4242. 15small.jpg

26 Guardian Life Insurance supports HSI with a $40,000 NYC Affordable Housing Grant From the desk of HSI 2007-12-31 For the fifth consecutive year HSI received a major year-end grant from Guardian Life Insurance. Since 2003 these grants have helped pay for on-site services for the 525 families and singles who reside in HSI managed programs in Manhattan and the Bronx. HSI supporters like Guardian provide the backing required to create housing solutions for New Yorkers who might otherwise be homeless or hospitalized at a far greater cost to the community. A permanent home with support services at an HSI building costs $31 per day, compared with $55 per day in a temporary shelter or $467 a day in a state psychiatric hospital. “We are grateful for the on-going support Guardian has provided over the years” said Molly Mattimore, HSI’s Director of Site Operations. “Without this support our work simply would not be possible.” sz_fistcomp.jpg

27 HSI welcomes four new Trustees to its Board of Directors From the desk of HSI 2008-01-24 The New Year is off to a great start at HSI. We are pleased to announce the addition of Nicole M. Cardiello, Esq., Stewart Alpert, Dawn Carrillo, and Charles Thanhauser to our Board of Directors. Nicole M. Cardiello, Esq. is a founding member and managing attorney for her Long Island-based firm’s real estate and estate planning departments. She is a member of the New York State Bar Association’s Real Property, Trusts and Estates, and Trial Lawyers Section, and is admitted to practice before the Bar of the State of New York, the United States Federal Court for the Eastern District of New York, and the United States Supreme Court. Stewart Alpert is an attorney and principal of Sovereign Servicing System Properties, Inc., a property management, investment analysis, and brokerage services firm in Bronxville, NY. Mr. Alpert is an affordable housing pioneer responsible for the development, in 1976, of two of the first Section 8 rehabilitation projects in New York. Located in the Bronx, these are among thousands of affordable homes built and currently managed by Mr. Alpert. Dawn M. Carrillo is a Vice President and the New York Metro Marketing Manager for Banco Popular North America. As the Marketing Manager of the bank’s largest region, Ms. Carrillo is also responsible for leading the bank’s volunteer and community outreach programs. Banco Popular has a strong commitment to grass roots community outreach and enriches the lives of its communities through a variety of ongoing community-based campaigns. It is through her work in the community that Ms. Carrillo became interested in the HSI mission and has been supporting us as a corporate sponsor and as a friend for many years. Ms. Carrillo also works extensively with Food Bank for NYC and serves on the Blood Services Community Relations Advisory Council for the NY Blood Center and on the Board for the SMEF “Educational Foundation” in Queens. Charles Thanhauser is an architect and co-founder of the award-winning firm, TEK Architects. Originally from Philadelphia, Mr. Thanhauser graduated Summa Cum Laude from the University of Pennsylvania with a BA in Architecture and later received a Master of Architecture from Harvard University, where he was awarded an AIA Scholarship, two Harvard Scholarships and a Graham Foundation Fellowship. TEK Architects was founded in 1987 and has a portfolio of clients which include the Rockefeller Foundation, Hofstra University, Brooklyn College, Nautica, St. Lukes/Roosevelt Hospital, The Martha Graham Dance Company, and numerous others. TEK’s designs were also featured in the Light Construction Exhibit at the Museum of Modern Art. HSI and Mr. Thanhauser worked together in collaboration on The Edwin Gould Residence in East Harlem, which is a TEK designed supportive housing residence for young adults aging out of foster care. With a commitment to non-profits, TEK also has developed offices for charities, university buildings, substance abuse treatment centers, and supportive housing. BancoPopsm.jpg

28 HSI Thanks The Rona Jaffe Foundation From the desk of HSI 2008-02-27 It is a pleasure to announce a generous contribution from The Rona Jaffe Foundation to HSI’s general operating fund. Housing and Services, Inc. is among many who have benefited from Rona Jaffe’s life and legacy of good works, and we are honored to apply the Foundation’s gift of $25,000 to the crucial work of supportive housing for the formerly homeless. In addition to being a prolific writer, Rona Jaffe was a committed philanthropist whose interests included literacy, poverty, women’s rights, and literature. In 1995 she established The Rona Jaffe Foundation Writers' Awards program "to identify and support emergent women writers of exceptional promise." It is the only national literary awards program of its kind dedicated to supporting women writers exclusively. Since its inception, the Foundation has awarded over $750,000 to 86 women writers. The Rona Jaffe Foundation continues to support the many causes that were important to Ms. Jaffe during her lifetime. ronaj.jpg

29 HSI congratulates Larry Oaks on his new position in Boston, MA From the desk of HSI 2008-03-19 After twelve years of service, Lawrence Oaks is leaving HSI to continue helping the formerly homeless in his hometown of Boston, joining a highly regarded Boston-based developer as their Senior Manager in charge of developing supportive housing. While we will miss him, we wish him the very best in this new, great challenge! Larry joined HSI in 1996 as a Property Management Associate, was promoted to Vice President in 2003 and, in 2005, became HSI’s Executive Director. Larry’s accomplishments include helping tenants to become homeowners, preserving 1,865 affordable homes in the Bronx as part of HSI’s affordable homeownership initiative, completing a 52-unit project for post-foster care youths, and leading the development of Woodycrest House, built for families living with HIV/AIDS. There is no doubt that Larry’s work at HSI has changed lives. We have also felt his goodwill moving in HSI from the inside. Our organization is transformed by a collective willingness to work toward our common goal of redefining New York from a place to merely survive into a place we can call home. Under Larry’s directorship, we have worked together to create more services for tenants, most recently the Learning Center at Kenmore Hall. While HSI will miss Larry, perhaps one of the greatest benefits of his leadership will be in the legacy he leaves with HSI’s current leaders who have worked shoulder to shoulder with Larry for many years. James Dill, CFO and Deputy Executive Director, is now Acting Executive Director. Jim has over 25 years of senior management experience in both the non-profit and for profit sectors. He will be supported by Molly Mattimore and the rest of the leadership team. So as we say “Farewell!” to Larry, pleae also join in a “Welcome!” to Jim in his new role. noImage

30 Housing and Services, Inc. is pleased to announce Jim Dill as Acting Executive Director From the Desk of HSI 2008-05-27 “It is an honor to lead Housing and Services, Inc.,” says Jim. “In my six years working with HSI, it has been a privilege to serve on the HSI team of Management and Board members to reorganize our supportive housing programs, and enhance the services we provide to the over five hundred residents of The Cecil, The Narragansett, Kenmore Hall, and Scatter Site and also to participate in the development of two supportive housing projects for peer not-for-profit organizations, including the first for young adults aging out of New York City’s foster care programs. “It has also been a pleasure to work with the over eighty employees of HSI. HSI exists to improve the lives of our clients and I am inspired by the professionalism, energy, and dedication on our staff which makes this work possible. “The upcoming year will be an exciting time for HSI. Through the generosity of New York City’s Department of Housing Preservation and Development, we will be launching a multi-million dollar capital improvements campaign to our Projects. The improvements will better the quality of life for our tenants and preserve our buildings’ infrastructures into the 21st century. In addition, we will continue to explore new program initiatives to supplement the services we already provide. “I am struck by the wide array of constituencies that it takes to make our projects successful, ranging from our government funders, donors, civic associations and the city’s leaders in real estate development, law and financial institutions who are committed to creating a better New York. In my new role I look forward to meeting with all of our stakeholders, and I am committed to expanding HSI’s constituency base.” Jim joined HSI in 2002 and has most recently served as HSI’s Deputy Executive Director. His career includes over ten years of service as senior management for New York based not-for-profits. noImage