State awards Worcester nonprofit housing funds to convert admin building

The former Martin Luther King Jr. Business Empowerment Center at 237 Chandler St.
The former Martin Luther King Jr. Business Empowerment Center at 237 Chandler St.

Funding grants for 12 specialized housing developments around Massachusetts announced by the Healey administration Wednesday include a Worcester property, 237 Chandler St., tapped to share in the $62 million award.

The South Middlesex Opportunity Council, the nonprofit that merged in 2012 with the moribund Martin Luther King Jr. Business Empowerment Center, will share a portion of the Permanent Supportive Housing Grand Award.

Housing for chronically homeless

According to a release issued by the governor’s office, the nonprofit plans to convert a portion of the second floor of its current administrative building into 20 studio units for chronically homeless individuals. The organization, based in Framingham, will provide supportive services to residents through the Community Support for Persons Experiencing Chronic Homelessness program funded through MassHealth/Medicaid.

In addition, the City of Worcester has committed local American Rescue Plan Act funds and federal HOME funds to the project. The Department of Housing and Community Development will support the project with subsidy funds.

The awards include $62 million in direct subsidies, including federal ARPA funding, and state and federal housing tax credits which will create an additional $74 million in equity for projects, according to the governor’s office. In addition, DHCD will support projects with more than 120 project-based housing vouchers, which help operate housing over the long-term.

The statewide award will support a dozen projects that offer specialized services to residents. The organizations are expected to create more than 460 units throughout the state, nearly all of them reserved for low and very low-income residents.

Addressing needs of vulnerable first

The permanent supportive housing grants are targeted to make housing available to vulnerable populations - the homeless, adults with disabilities, low-income senior citizens, veterans and young adults experiencing homelessness. Many of the selected projects also offer wraparound support services that include job training, child care, health services as well as case-management support.

“Our administration is committed to ensuring that Massachusetts residents have access to safe, secure and affordable housing,” said Gov. Maura Healey. “We’re proud to support projects in every region of our state that are providing permanent supportive housing for families, seniors, veterans, young people and people experiencing homelessness. This is the type of housing production that we want to drive in communities across the state to lower costs and address our housing crisis.”

The Healey-Driscoll administration is committed to increasing housing opportunities for all Massachusetts households. The fiscal 2024 budget recommendations include increased funding for Massachusetts housing vouchers, increased commitment to homeless families, and emergency rental assistance. Through the creation of a new Housing Secretariat, the Executive Office of Housing and Livable Communities, the administration will pursue more comprehensive strategies to address the commonwealth’s housing supply and affordability challenges.

“The Permanent Supportive Housing Grant program support projects that are affordable and accessible, close to transit and retail amenities, and offer a sense of community,” said Lt. Gov. Kimberly Driscoll. “These are the types of projects that our proposed housing secretariat will support while expanding our capacity to drive housing production at all income levels.”

This article originally appeared on Telegram & Gazette: Gov. Maura Healey releases $62 million to fund specialized housing