Rockland Natives Build National Company To Improve Affordable Housing

ROCKLAND COUNTY, NY — The Hudson Valley Property Group recently completed a $47 million renovation project in Spring Valley for both Lakeview Village, a 144-unit senior housing property, and Highview Apartments, a 76-unit family housing property.

It was homecoming for the heads of the affordable housing preservation company, Jason Bordainick and Andy Cavaluzzi.

"My partner Andy and I grew up in Spring Valley, so it's especially meaningful to be able to give back and do such important, impactful work for our hometown community," Bordainick said in a news release.

The partnership formed more than 10 years ago, after Cavaluzzi worked on a project upstate.

"Getting involved and seeing the conditions that residents of that property were living in gave me a different view of the real need that people have for affordable housing to raise families in and retire in," he told Patch. "Jason and I had known each other since we were 8 years old. We came together with a plan."

Now, Hudson Valley Property Group is a national company dedicated to preserving and improving the quality of affordable housing. HVPG properties deliver both a better standard of living for residents and stable investment assets.

"We work to acquire multifamily properties, adding different enhancements. Could be technology, could be energy efficiency, or working with health-care partners, all in the same vein of trying to improve the lives of residents in our communities," Cavaluzzi said.

The company tries to operate the properties, once improvements have been made, as if they were a small owner, Cavaluzzi told Patch. "But we are able to operate far better by taking advantage of some of those efficiencies that large companies have."

They take that same pride of ownership that they want their residents to take so "if we had a family member living there we’d feel good about it," he said.

Here's how it worked in Spring Valley.

HVPG acquired Lakeview Village and Highview Apartments in 2021 with an equity contribution from its latest fund and debt financing through Red Stone, and later bridged to a 4 percent low-income tax credit execution through the New York State Housing & Finance Agency and Raymond James, along with tax-exempt bond financing issued by the Rockland County Industrial Development Agency with a private placement through Red Stone.

The town of Clarkstown and village of Spring Valley supported the project with a long-term property tax abatement agreement.

The renovations averaged $45,000 per unit. They included the installation of new vanities, toilets, tubs, water-saving bathroom fixtures and plumbing updates. Kitchens were revamped with new cabinetry, countertops, high-efficiency stainless steel appliances, high-output lighting and water-conserving fixtures. Fully compliant ADA and H/V units were created to ensure accessibility for all residents.

Interior upgrades also included new flooring with subfloor repairs, as well as wall patching and painting to refresh the living spaces. Outdoor enhancements included landscaping upgrades, repairing sidewalks and perimeter fencing and installing an extensive camera system with advanced monitoring capabilities. ADA-compliant sitework was implemented, incorporating accessible routes and site rails.

The properties are subject to low income housing tax credit restrictions through a 30-year compliance period, and tenants must be income-qualified.

More than a third of the properties' units receive subsidy through HUD tenant-based Section 8 vouchers. The HUD Section 8 programs ensure that residents only pay 30 percent of their household income towards rent. Additional units were added to a Section 8 Project Based Voucher Contract through HUD and New York State Homes and Community Renewal, with Rockland County Housing Authority serving as contract administrator.

FYI, no residents were displaced as a result of the transaction or the renovations, which were completed this fall and celebrated with a ceremony Oct. 12.

"It’s all about taking existing housing stock and improving and making it better," Cavaluzzi said. "Affordable housing is in crisis. We need to be able to produce more housing."

To date, HVPG has preserved more than 10,200 units across more than 60 properties in seven states, serving more than 20,000 residents. With the ever-increasing demand for affordable housing, HVPG is committed to expanding its portfolio nationwide.

"It’s a great niche that we’ve found," Cavaluzzi said. "It’s been a great run and we have a lot more to do."