A developer has invested more than $15 million in the first phase of a project to bring attractive, affordable apartments to the East Greenwich suburb and surrounding communities, where rental options have been scarce.
A deal to redevelop a vacant lot on 17.2 acres at 1470 South County Trail as Brookside Terrace — a three-story, 96-unit apartment complex — closed in January 2022. The significant investment in the community earned the apartment complex a 2023 CoStar Impact Award for the multifamily development of the year in Providence, as judged by real estate professionals located within the market.
Brookside Terrace originally came about in an effort to produce a quality affordable housing project in a high opportunity area in Rhode Island. Developer Dakota Partners preferred a project that could be undertaken with a decent level of scale — greater than 100 units — in a town that would welcome the project. After several failed attempts to win approvals in other towns, a site was secured in East Greenwich, where all these objectives were realized.
Brookside Terrace’s attractive, contemporary buildings and lush open spaces for residents to enjoy are a welcome addition to the area. The community is immediately accessible from Route 2 (South County Trail) and conveniently located near the area’s downtown restaurant and shopping district.
“The need and demand for rental housing options is strong in East Greenwich, where less than 5% of the town’s housing stock is considered ‘affordable,’” said Carol Ventura, executive director of RIHousing. “We’re excited to see Phase 1 of Brookside Terrace come to fruition, as it provides much-needed affordable homes in a highly desirable community with only limited affordable apartment options.”
The first phase f the project includes 48 apartment units, six of which are income-restricted to households earning at or below 30% of Area Median Income for the Providence-Fall River Service Area. The remaining 42 units are income-restricted to households earning at or below 60% of AMI and are self-pay.
The total cost for Phase 1 was $15,046,912 — a development cost per unit of $313,477. The project was awarded $1.24 million in federal Low Income Housing Tax Credit grants and additional funds from HOME.
Both Dakota and Rhode Island are committed to sustainable design and construction. After Brookside Terrace was designed and construction was underway, Building Homes Rhode Island requested the addition of solar panels to support the Rhode Island Housing Zero Energy program. It was not part of the original plan, but after researching the request further, it was determined that the solar panels would generate additional income from storage loads, and those savings could be passed on to residents.
“This project perfectly exemplifies Dakota’s mission to create housing that matters. Despite knowing this site would cost us more than $1 million in site preparation — a budget that far exceeds our typical costs — we went forward with this project because of the net-positive results for both us as a developer and the community we’re working in,” Dakota Executive Vice President of Acquisitions and Development Cheryl Stulpin said. “The site was an eyesore when we purchased it and clearing it was a huge challenge that took months and cost a substantial amount of money, but the end result was well worth it.”
The impact of Brookside Terrace is so positive because East Greenwich and its surrounding communities have few affordable housing options. What they did have was outdated and not energy-efficient, but still posted waiting lists that stretched years.
The East Greenwich Housing Authority owns and manages 28 family public housing units in town. In 2018, the wait time for a family unit was at least one year, with 63 households in the queue waiting for available space.
About the project: A deal closed in January 2022 to develop the property at 1470 South County Trail, East Greenwich, into apartments. The 100,000-square-foot property is planned to house 96 apartment units in three-story buildings.
What the judges said: "A wonderful development that is providing much needed affordable and workforce housing in a town with very few options currently." — Michael Friedman, director of sales and leasing, Paolino Management.
"Anytime affordable housing for the southern half of Rhode Island is provided in an aesthetically pleasing package and as an improvement to a decrepit site, the positive impact is apparent." — Gregory Arakelian, sales associate and commercial director, Lila Delman Real Estate.
"This development fits in extremely well with the area. Multifamily residential is still in high demand." — Michael Giuttari, president, MG Commercial Real Estate.
"I believe it fits all the categories for acceptance. Conversion of an old school. Gives money to the owner the city for improvements to the city and ongoing tax bases. Being converted to upscaled apartments which will change the dynamic for the city." — Michael Alves, president and owner, KW Elite Commercial Real Estate.
They made it happen: Brian Donato, vice president of acquisitions and development at Dakota Partners; Milton Baxter, Rhode Island Housing; Ed Wojcik, principal at Ed Wojcik Architects Ltd.; Kenneth A. Viscarello of Sheehan Phinny Bass; Claudius Zorokong of Bank of America; Will Walter of Benesch.