The New York has launched the Housing Central New York Fund, a $150 million public-private investment vehicle designed to jumpstart the development of 2,500 workforce housing units across Central New York over the next seven years.
State officials say the initiative is a direct response to surging housing demand expected from Micron’s sweeping semiconductor expansion in the region.
The fund follows Micron Technology’s $100 billion investment plan in Clay, N.Y., where it intends to develop four semiconductor fabrication plants, or fabs, over the next two decades. The project is projected to generate demand for as many as 30,000 housing units, according to a study by HR&A Advisors commissioned by Empire State Development.
Empire State Development seeded the revolving loan fund with $30 million, while the remaining $120 million was pledged by private and institutional partners, including Micron. Empire State Development and CenterState CEO worked together to design the investment vehicle, selecting Community Preservation Corp. to manage the platform.
Community Preservation Corp. will oversee all aspects of the fund’s operations, including project sourcing, underwriting, loan deployment and servicing. The structure is intended to provide flexible, low-cost capital that can help fill financing gaps in workforce housing developments — particularly at a time when rising construction costs and interest rates have constrained new supply.
The fund is structured as a revolving vehicle, meaning loan repayments will be recycled into future projects, extending its long-term impact beyond the initial allocation.
Eligible projects must be located within the counties of Cayuga, Cortland, Madison, Oneida, Onondaga and Oswego, and situated in a New York State Pro-Housing certified community.
Developments must include at least 10 units and maintain a minimum density of 10 units per acre. Additionally, at least 10 percent of units in any rental project must be income-restricted and reserved for households earning no more than 80 percent of area median income.
The affordability component is designed to ensure that housing production keeps pace with job growth while also preserving access for existing residents. State leaders have emphasized that without proactive measures, large-scale economic development projects can put upward pressure on rents and home prices in surrounding communities.
By targeting workforce housing — typically serving middle-income earners such as teachers, healthcare workers and skilled tradespeople — the fund aims to stabilize local housing markets while accommodating incoming employees tied to Micron’s expansion.
Since its inception in 1974, Community Preservation Corp. has invested $16 billion and financed more than 247,000 multifamily units. The organization provides construction and bridge financing, equity investments and permanent mortgage lending, with a focus on affordable and mixed-income housing.
Last year, the nonprofit lender was awarded $45.5 million through the state’s $215 million Housing Acceleration Fund, which provides low-cost construction debt to help close financing gaps in mixed-income developments. That initiative seeks to speed multifamily construction statewide amid ongoing housing shortages.
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Officials say the Housing Central New York Fund complements those efforts by focusing specifically on regions expected to see dramatic economic growth from advanced manufacturing and semiconductor production.
As Micron’s long-term buildout unfolds, state and local leaders anticipate sustained population growth in Central New York — making coordinated housing investment critical to ensuring that job creation translates into broad-based economic opportunity rather than housing strain.
The fund’s initial seven-year term is expected to lay the groundwork for thousands of new apartments, with the potential for future expansions if demand continues to accelerate.
Originally reported by Claudiu Tiganescu in Multi Housing News.
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