Pennrose Recommended To Develop Chatham Affordable Housing Projects

June 07, 2024

CHATHAM – An advisory committee appointed to review proposals for affordable housing developments on two town-owned parcels is recommending that Pennrose LLC be selected as the developer of both projects.

Boston-based Pennrose is currently developing housing at the former Cape Cod 5 operations building and is under consideration to build housing at the former Governor Prence property, both in Orleans. Pennrose was one of three developers that submitted proposals for the Buckley property at 1533 Main St. in West Chatham and one of two interested in the Meetinghouse Road property.

After reviewing the proposals, the housing proposals evaluation committee, consisting of members of the affordable housing trust and select board, voted 6-1 to recommend Pennrose for the Main Street property and 5-2 for the Meetinghouse Road project. The vote came June 5, after members of the committee ranked evaluation forms on each of the proposals.

The recommendations will be discussed at a joint meeting of the select board and housing trust Tuesday. As chief procurement officer, Town Manager Jill Goldsmith will recommend which firm to award development rights on each of the properties. She will ask the select board and affordable housing trust to affirm her recommendation. That could happen at Tuesday’s meeting. The public will be able to comment at the session, according to the agenda.

On the Main Street property, Pennrose proposed 48 income-restricted one-, two-, and three-bedroom rental units for those who make between 30 and 110 percent of the area median income (AMI) for Barnstable County. The buildings would be compatible with the existing neighborhood and community open space and outdoor amenities, according to the company’s proposal. The developer would pay the town $2 million for the property; the overall development cost was estimated at $21 million.

At the Meetinghouse Road property, Pennrose proposed 42 one-, two-, and three-bedroom rental units for those making below 80 percent of the area median income. The units would be housed in eight residential structures that “create a traditional neighborhood featuring closely knit residential buildings,” according to the proposal. The developer would pay the town $500,000 for the land and request a $200,000 community preservation appropriation. The total project cost is estimated at $29 million.

The Community Development Partnership and Preservation of Affordable Housing submitted the other proposal for the Meetinghouse Road parcel. The nonprofit developers proposed 45 rental units of one-, two-, and three-bedroom townhouses for incomes ranging from 30 to 80 percent of AMI. The groups also propose 43 rental units at the Main Street property for those making between 30 and 120 percent of AMI. The proposal suggests combining the two projects, and requests a $4 million “investment” from the town.

The Housing Assistance Corporation also submitted a proposal for the Main Street project calling for 36 ownership units in six “appropriately scaled” two story buildings for those making between 80 and 200 percent of AMI, with a town subsidy of $5.4 million.

The proposals can be downloaded on the town’s website.