Governor Kathy Hochul today announced the groundbreaking of Phase II of the Kingston Housing Authority Redevelopment. The 238-unit preservation will modernize existing public housing while expanding housing opportunities for seniors in the city of Kingston. The comprehensive redevelopment will rehabilitate 158 existing apartments at Colonial Gardens and Wiltwyck Gardens. It will also replace the aging Penn Court development, adding 80 apartments for seniors including 30 supportive apartments for seniors struggling with homelessness. Under Governor Hochul's leadership, New York State Homes and Community Renewal has created or preserved more than 1,400 affordable homes in Ulster County. The Kingston Housing Authority Redevelopment continues this progress and complements Governor Hochul's $25 billion five-year Housing Plan, which is on track to create or preserve 100,000 affordable homes statewide.

"The Kingston Housing Authority Redevelopment will preserve a critical source of affordable apartments and ensure residents, especially vulnerable seniors, have a safe, secure, and supportive place to call home," Governor Hochulsaid. "State investments like this help make New York more affordable and provide modern, sustainable homes for generations to come."

Phase II of the redevelopment includes the rehabilitation of 98 family apartments at Colonial Gardens and 60 senior apartments at Wiltwyck Gardens, which were originally constructed in the 1970s. The project will also demolish the obsolete 32-unit Penn Court development and replace it with a newly constructed 80-unit building for seniors. All apartments will be affordable to households earning at or below 100 percent of the Area Median Income.

Thirty apartments in the new Penn Court building will be reserved as supportive housing for formerly homeless seniors through the Empire State Supportive Housing Initiative. Supportive services will be provided through a partnership with the New York State Department of Health and local service providers to help residents maintain stable housing and live independently. The supportive service provider will be Gateway Hudson Valley.

Phase II of the redevelopment involves adapting 13 apartments for households with mobility impairments and six for households with audio/visual impairments.

Each building in the redevelopment is all-electric and designed to meet Enterprise Green Communities Plus criteria. The project incorporates sustainable features including rooftop solar arrays, electric vehicle charging stations, and energy-efficient mechanical systems.

Phase II of the Kingston Housing Authority Redevelopment is being developed through a partnership between the Kingston Housing Authority and Mountco Construction and Development Corp.

State financing includes approximately $35 million in program funding from New York State Homes and Community Renewal, as well as Federal and State Low-Income Housing Tax Credits expected to generate nearly $58 million in equity. Project funding also includes $2 million from the Clean Energy Initiative (CEI), a partnership between HCR and New York State Energy Research and Development Authority (NYSERDA). Ulster County is providing $700,000 through its Housing Action Grant Program.

Phase I, completed in 2025 with financing from HCR, entailed the rehabilitation of 120 apartments at Leonard & Vera Van Dyke Apartments.

Senator Charles Schumer said, "Every family and senior in Kingston deserves a safe and affordable place to call home. I'm proud that the federal Low-Income Housing Tax Credit I've fought hard to preserve and expand has delivered millions to rehabilitate 158 apartments and build 80 new apartments at Colonial Gardens and Wiltwyck Gardens. This new all-electric development will include supportive housing to ensure residents have the resources they need to thrive. High housing costs are a key driver of inflation, so we must build more housing for working people to bring down those high prices. I applaud Governor Hochul's work increasing access to housing for working families in Ulster County and the Hudson Valley and I will continue working to deliver federal resources to deliver more affordable housing across New York."

Senator Kirsten Gillibrand said, "New Yorkers deserve access to affordable, secure, and modern housing. This project will create more accessible housing opportunities, promote energy efficiency and help seniors in the Hudson Valley live comfortably and independently. I look forward to seeing how this project will improve the lives of New Yorkers and I will continue fighting for resources to create the affordable, supportive housing that our state needs."

Representative Pat Ryan said, "Housing costs are still way too high - and we need all-hands-on-deck to bring them down. Breaking ground on this housing development in Kingston will make a concrete impact, especially for our seniors, and I'm grateful to Governor Hochul for her tireless work to get us this far. But we have to stay laser focused. That's why I'm fighting to pass my Housing Affordability Agenda, a package of bills to bring down housing costs by lowering mortgage rates, cracking down on the Wall Street firms jacking up housing costs, and cutting through red tape to let our towns and cities build in a way that makes sense for them. Because no family should have to pick between putting food on the table and having a roof over their heads."

New York State Homes and Community Renewal Commissioner RuthAnne Visnauskas said, "Governor Hochul has made preserving and modernizing public housing a cornerstone of New York's housing strategy, and the Kingston Housing Authority Redevelopment reflects that commitment. By updating and expanding public housing opportunities for seniors and vulnerable New Yorkers, we are ensuring that Kingston residents have access to high-quality, energy-efficient homes that will serve generations to come. This transformative 238-unit redevelopment demonstrates how thoughtful investment can strengthen neighborhoods, improve quality of life, and create a more affordable future for New Yorkers."

NYSERDA President and CEO Doreen M. Harris said, "The Kingston Housing Authority redevelopment project demonstrates how to incorporate high-performance, energy-efficient design from the start. NYSERDA is proud to support projects like this that expand access to modern, comfortable and affordable housing in our communities while supporting a more resilient energy system across the State."

State Senator Michelle Hinchey said, "Every resident in the City of Kingston deserves a safe and affordable place to call home, and I'm proud to have helped secure state funding to support the Kingston Housing Authority's work to modernize and expand local housing options and bring in green, energy-efficient systems that will help lower utility costs for residents. I thank Governor Hochul, HCR, Ulster County, the City of Kingston and Mountco for their partnership to meet our region's housing needs, and I look forward to seeing these projects provide stability and opportunity for families and seniors in our city."

Kingston Mayor Steve Noble said, "This is exactly the kind of community-changing project that we need in Kingston. We are thrilled to see this incredible investment in our city, in new and renewed affordable housing, in green infrastructure, and, importantly, for the most vulnerable in our community. I want to thank Governor Hochul for her leadership and her continued commitment to the City of Kingston and thank HCR Commissioner RuthAnne Visnauskas for spearheading this project that will enrich the lives of so many of our residents. We are incredibly thankful and excited for these large investments in deeply affordable housing."

Ulster County Executive Jen Metzger said, "Public housing plays a vital role in addressing the housing affordability crisis, and I want to thank Governor Hochul and New York State Homes and Community Renewal for their partnership with the Kingston Housing Authority to modernize 158 apartments at Colonial Gardens and Wiltwyck Gardens and add another 80 affordable apartments for seniors. As a County government, we are proud to support this initiative with a grant through the Housing Action Fund, which will help transform Penn Court into ADA-adaptable apartments for seniors. Safe, affordable housing is a cornerstone of a healthy community, and this redevelopment is exactly the kind of forward-looking project our residents deserve. The all-electric design, rooftop solar and energy-efficient systems will not only reduce emissions but also lower utility costs for residents, making these homes more affordable to live in. This is the kind of partnership that strengthens neighborhoods, supports seniors, and builds a healthier, more resilient future for Kingston and Ulster County."

Kingston Housing Authority Executive Director Harolda Wilcox said, "The State funding will allow the Kingston Housing Authority (KHA) to continue its mission and plans to completely overhaul its entire housing portfolio and add additional affordable housing for the community. In Phase I of the KHA Redevelopment Plan, the KHA recently completed the rehabilitation of 120 units at its Van Dyke development, and now, in Phase II, KHA, in partnership with Mountco Development will rehab 158 units at the Colonial and Wiltwyck sites, demolish the vacant and outdated efficiency units at the Penn Court site, and replace them with a new four-story building, 80 one-bedroom units for seniors, which will include 30 units for the formerly homeless. It will be a truly transformative project for the KHA, the City of Kingston and most importantly, for our residents."

Mountco Construction and Development Corp. President Joel B. Mounty said, "Mountco is pleased to continue its partnership with the KHA on Phase II of its Redevelopment Plan to upgrade its housing portfolio. We are confident that with the continued support and leadership of the KHA and our development team of New York State HCR, Hudson Housing Capital, JPMorgan Chase and Gateway Hudson Valley, we can deliver this exciting, quality affordable housing development in the City of Kingston."

Governor Hochul's Housing Agenda

Governor Hochul is dedicated to addressing New York's housing crisis and making the State more affordable and livable for all New Yorkers. Since FY23, the Governor has worked to increase housing supply to make housing more affordable by launching a $25 billion five-year comprehensive Housing Plan, enacted the most significant housing deal in decades and implemented new protections for renters and homeowners. Under Governor Hochul's leadership, HCR has created new programs that jumpstart development of affordable and mixed-income homes - for both renters and homebuyers. These include the Pro-Housing Community Program, which allows certified localities exclusive access to up to $750 million in discretionary State funding. More than 430 communities throughout the state have been certified Pro-Housing, including the city of Kingston.

As part of Governor Hochul's 2026 State of the State, the Governor proposed her "Let Them Build" agenda, a series of landmark reforms to speed up housing and infrastructure development and lower costs. This initiative will spur a series of common-sense reforms to New York's State Environmental Quality Review Act (SEQRA) and executive actions to expedite critical categories of projects that have been consistently found to not have significant environmental impacts, but for too long have been caught up in red tape and subject to lengthy delays.

The FY27 Executive Budget completes the Governor's current five-year Housing Plan to create or preserve 100,000 affordable homes statewide, including 10,000 with support services for vulnerable populations plus the electrification of an additional 50,000 homes. More than 81,000 affordable homes have been created or preserved to date. The Executive Budget also invests $250 million in capital funding to accelerate the construction of thousands of new affordable homes.