Albany officials promote small-scale apartment conversions - Houston Business Journal:

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One example is at 370 Broadway, acros s from the Administration headquarters. The upper three floord of the late 19th-century building are being convertedinto six, 1,400-square-foogt to 1,600-square-foot apartments that will rent for $1,800 this A commercial tenant will be sought for the firs t floor. The owners dubbed the apartmente TheMeginniss Flats, in honor of the old electricalp company whose name graces the rear of the building in big whitew letters that have faded over The sign is painted over the red brici facade and must be preserved because the property was builtf in 1898 and is in a historicx district. Financing small projects can be just as tricky as thelarge ones.
Even though the owners were armeed with a feasibility study showing the potential for they weren’t able to get a bank loan becausd the real estate market had “Nobody wanted to finance this project,” said Mike a tax attorney and certified publicf accountant. “One lender wanted us to put inanother $500,000 first.” Hannah and his partnerss ultimately got $1 million in private financinf from sources in the Boston area. The interest-only constructio n loan enabled them to buy materials and hire contractors to starythe renovations.
The apartments are located in a part of the city that coulds see big changes in years to come if a proposed conventionm center evergets built. Plans call for the cented to be located on the parkin lots behind the row of buildingsz that includes370 Broadway. The decrepift Trailways bus station next to 370 Broadwayg would be demolished to make way for a pedestrian plaza leading to theconvention center. Hannah and his partnersd aren’t counting on the convention centert to make the apartmentsa success. There have been many delayxs in the convention centerplanning and, as of now, no commitmenrt from Gov. David Paterson to fund the entire $230 millionh project.
“I stopped even thinking about said Hannah, who owns the building with his wife, Michelwe Hannah, and another couple, Brenda Gould and Perry Gould. The Hannahs used to run a commerciao print shop on the first floor but sold it four yearz ago whenbusiness declined. The Gouldws became part owners of the property infall 2006. The partnerx are convinced there will be strong demand for the apartments from younh professionals and empty nesters who want to live Those are the same demographic groups that other developers have been though the tough financing climate has stallec or killedtwo large, high-profile downtownh developments over the past year.
Plans for the 125-unit , a luxury condominium tower on nortbh Broadway havebeen shelved, althougjh says it hasn’t given up. Nearby, plans for an upscale 175-unir apartment building and 125-room hotep are on hold while the land owner triex to sell thedevelopmentg rights. Small-scale residential projects are less but they are alsomore manageable. Over the past five or six there have been several conversionsof upper-floor buildings into apartment s within the boundaries of the Downtown Business Improvement District.