In New Jersey, Barrier-Free Housing Combines Accessibility and Affordability

Freedom Village at Hamilton Woods brings 72 units of accessible housing to low-income families and people with disabilities. Photo credit: Project Freedom

With a population of approximately 92,000, Hamilton Township is the largest municipality in Mercer County, New Jersey, which faces a shortage of affordable and accessible housing, as indicated in the county's 2020 needs assessment report. This region has a particularly pronounced need for accessible housing, in part because Mercer County offers several key resources for people with disabilities, including a statewide school for deaf and hard-of-hearing students. Mercer County and Hamilton Township have a higher-than-average number of residents living with disabilities. The 2022 American Community Survey indicates that 12.2 percent of civilian, noninstitutionalized residents in Mercer County and 13.7 percent of the same in Hamilton Township live with a disability — both of which are higher than the state average rate of 11.2 percent. Meeting the needs of this special population in the area, Freedom Village at Hamilton Woods provides 72 units of affordable, fully accessible housing for low-income households.

Developing Barrier-Free Housing

Hamilton Township sought to designate more housing units for people with disabilities and very low-income households. The township worked with Project Freedom, a local nonprofit focused on helping people with disabilities live independently, to launch a new project that would meet these needs. Project Freedom previously had built a 48-unit affordable housing project for Hamilton Township residents with disabilities in 2001. The township donated a vacant lot near the center of town for the development and provided predevelopment funding; the project was awarded 9 percent low-income housing tax credits (LIHTCs) in 2019, and construction began in 2021.

Freedom Village overcame several setbacks during the development process. Although the project received the LIHTC award in 2019, the Federal Home Loan Bank of New York did not approve a subsequent application for soft subsidy funding. The New Jersey Housing and Mortgage Financing Agency (NJHMFA) awarded hardship tax credits to sustain the project, but the COVID-19 pandemic further complicated the development process by increasing construction costs and disrupting supply chains. Despite these challenges, the project team decided to move forward and was able to cover the cost overruns with hard cost contingency funds. After only a slight delay, Freedom Village opened in August 2023.

Freedom Village includes 18 one-bedroom, 36 two-bedroom, and 18 three-bedroom apartments, all of which are reserved for individuals earning between 30 and 60 percent of the area median income. Photo credit: Project Freedom

About the Development

Freedom Village’s affordable units include 18 one-bedroom, 36 two-bedroom, and 18 three-bedroom apartments. Eighteen of these units are set aside for individuals with mental health challenges and developmental disabilities earning up to 30 percent of the area median income (AMI). Another 49 units are reserved for households earning up to 50 percent of AMI, and 5 are set aside for households earning up to 60 percent of AMI. In keeping with Project Freedom’s mission, all units are fully accessible and compliant with the Americans with Disabilities Act, featuring roll-in showers and bathtubs and lowered countertops.

Freedom Village provides residents with a range of support services. Out of the 18 units reserved for populations with special needs, 8 are reserved for individuals with mental health challenges who receive support services from the Catholic Charities of the Archdioceses of Newark. The remainder are reserved for individuals with developmental disabilities who have various service providers providing their day-to-day care. Project Freedom also offers supportive services for residents such as programs to combat food insecurity, wellness fairs, vaccination clinics, weekly transportation assistance, and deliveries of organic produce. These activities are hosted in a 5,000-square-foot community center on the premises.

Freedom Village at Hamilton Woods features a 5,000-square-foot clubhouse for community activities and supportive programming, including wellness fairs and pop-up vaccination clinics. Photo credit: Project Freedom

The project is directly across the street from a public library and near several healthcare providers. Hamilton Township improved the sidewalk in front of the library to ensure that pedestrians with mobility aids could access the area safely.

Financing

Excluding the value of the land donated by Hamilton Township, the total cost of developing Freedom Village was $21.8 million. This amount included approximately $13.9 million in 9 percent LIHTC equity syndicated by the National Equity Fund, a $4.9 million permanent loan from NJHMFA, $515,000 from Hamilton Township’s Affordable Housing Trust Fund, $500,000 in Mercer County HOME Investment Partnerships funds, and a $687,000 deferred development fee. The project also received an $11 million construction loan from TD Bank.

Meeting Local Needs

Freedom Village at Hamilton Woods received 600 applications for 54 affordable family units. “Seeing the interest from the investment side, the interest from the community, and [the] amount of teamwork that went into this, it showed us that even when the numbers are challenging, that there's such a need and desire to produce supportive housing,” says Melanie Walter, executive director of NJHMFA. The project represents a step forward in addressing both accessibility and affordability in Hamilton Township.