$26M in grants for LI housing that's 'affordable, accessible and close to jobs and transit,' Hochul says

Five "transformative" housing projects on Long Island will share in grants totaling more than $26 million, part of the state's efforts to address the housing shortage in Nassau and Suffolk counties, Gov. Kathy Hochul has announced.

The funding supports "creating nearly 750 new housing units. The projects, representing a total investment of $467 million, will help address Long Island's housing shortage while providing affordable and workforce housing options for families, veterans, and individuals with disabilities," according to Thursday's news release from the governor's office.

Hochul, in a statement, said: "By investing in these five significant projects, we are building the homes Long Island families need and deserve — affordable, accessible and close to jobs and transit."

And the co-chairs of the Long Island Regional Economic Development Council, Four Leaf Federal Credit Union president and CEO Linda Armyn, and Long Island University president Kimberly R. Cline, said in a joint statement: "By investing in transit-oriented and community-focused development, we are laying the groundwork for inclusive, sustainable growth across the region."

The grants come out of the $350 million Long Island Investment Fund, which is administered by Empire State Development and the Long Island Regional Economic Development Council, according to the release.

The Preserve at South Country Road in the Town of Southampton received a $4 million grant. The $54 million workforce housing development project will create 79 units in a garden-style community on Montauk Highway in Quiogue. It includes specialized units for veterans and people with disabilities.

Jonathan Gertman, senior vice president of development at project developer The NRP Group, told Newsday on Friday the company was "thrilled" to receive the grant.

"And we gratefully appreciate the governor's support and acknowledgment of how critical it is to support affordable and workforce housing on the East End," Gertman said. "It comes on the heels of support" from the town and county, he said.

The project has run into some headwinds though, with the Westhampton Beach school district's lawsuit against the town and the developer over the tax plan, Newsday has reported.

Superintendent Carolyn Probst said earlier this year, in a letter to the school community, the district "is challenging only the PILOT and not the proposed housing development," saying the payment in lieu of taxes was unlikely to be enough to support student and staffing needs, Newsday reported.

In an email on Friday, a district spokeswoman said: "As per Dr. Carolyn Probst, Superintendent of Schools, the district doesn’t comment on matters pertaining to litigation."

Gertman said the lawsuit was ongoing, "but it’s not going to stop us moving forward." He said the company was looking to begin construction by fall 2026.

Other projects and their grant awards are:

• The Grand at Baldwin in Baldwin, $6 million. It is a $121 million transit-oriented development project with 215 rental apartments, including 22 affordable units.
• The Alegria South in Bellport, $4.5 million. The $53 million development will provide 96 units of 100% affordable housing on 7 acres in Bellport. It is to include specialized units for people with developmental disabilities and veterans.
• The Carriage House in Patchogue, $8 million. The $177 million mixed-use development will create 262 housing units across two five-story buildings downtown, 53 of which will be designated affordable housing units. The project also includes what officials described as "significant infrastructure improvements, including sewer upgrades that will benefit the broader community," according to the news release.
• One Carleton Green in Central Islip, $3.8 million. The $62 million project will create 96 units of 100% affordable housing in a three-story mixed-use building.

No officials for these projects could be reached for comment.

Correction: The Preserve at South Country Road is located in the Southampton hamlet of Quiogue. An earlier version of this story had an incorrect location.

By Olivia Winslow

olivia.winslow@newsday.com@newsollie