GLOVERSVILLE - The $11 million affordable-housing apartment complex planned by Kinderhook Development is moving along very well and should be completed on time, Donna Bonfardeci, of Kinderhook Development, said.
The construction of the 48-unit affordable-housing project is expected to be finished by May 1, she said.
Since construction started, the shell and frame of two buildings have been built and all four concrete slabs have been placed and the other two building will be constructed in the near future, Bonfardeci said.
The apartment complex planned by Kinderhook Development is shown under construction Oct. 10 from Lee Avenue in Gloversville.
The project includes four two-story buildings on the property at 62 W. State St.
In March, the city Planning Board approved the project after a lengthy legal battle involving the developers and the city.
After the board approved the project, the developer agreed to set up a $25,000 escrow account to fund studies on drainage.
"We have always contended that this project will not increase and will actually decrease any stormwater drainage issues coming from the site," Bonfardeci said. "We have [given the] city money to go toward a study on drainage, but they haven't done anything with it because they are supposed to send a letter to me for it to be approved."
Since the project was proposed in 2009, residents in the area have voiced concerns about it. Particularly, some were concerned the development might exacerbate groundwater problems and changing the character of their neighborhood.
Sixth Ward Supervisor Richard J. Ottalagano, of 27 Lee Ave., said the hill where the development is being built was already wet and the ground was saturated.
He said that caused problems for several people in the neighborhood with water in their basements or yards because it won't drain away.
He said at this time nothing has changed because of the development, but the residents are waiting to see what the project will bring.
Kinderhook Development, its partner 3d Development, and the Fulton County Community Heritage Corp. received $2.9 million from the state in August 2010 toward the nearly $11 million project.
Tenants will be required to sign a one-year lease and rent will range from $545 to $700 per month, said Bonfardeci.
Because the project offers affordable housing, it would qualify for a reduced assessment. Before the court battle, Kinderhook proposed a payment-in-lieu-of-taxes agreement of $36,000 for the first year, and increasing at a 3 percent rate each year.
"We would be abandoning tax-paying property in favor of a complex that pays no property tax," Ottalagano said. "What the project would pay does not even equal one percent of what the property tax value is of the homes in the area."
Ottalagano also said the road on Northern Terrace is ruined.
"The city repaired it to make it useable for the time being, but the road will have to be completely redone after the project is finished," he said.
Surface repairs were recently made to reinforce Northern Terrace after the road was in questionable shape due to increased traffic.
However, Bonfardeci said she doesn't believe the Kinderhook trucks did any additional damage to the road.
She said the company has aerial photos of the land and roads prior to the construction. The road was in a state of disrepair before Kinderhook became involved, she said.