Jamaica church to sell struggling affordable housing to CB Emmanuel for $11.1M

By Adam Pincus

Calvary Baptist Church in Jamaica, Queens, is selling a 100-unit senior affordable housing development to CB Emmanuel Realty for $11.1 million in order to preserve the building which is in need of repairs but does not have adequate income to cover expenses, a petition filed yesterday in Queens State Supreme Court said.

The petition underscores the difficulty in maintaining affordable housing in New York City as well as maintaining a property in working order.

The court filing is index is 723356/2020 in Queens Supreme Court.

The property is 160-60 Claude Avenue, a six-story elevator building with 77,000 square feet that was built in 1991 and renovated in 2005. The building is subject to an affordable housing agreement with the U.S. Housing and Urban Development. The building is on a 60,760-square-foot lot that occupies most of the city block bounded by Claude Avenue, Mathias Avenue, Guy Brewer Boulevard and Dillon Street.

CB Emmanuel is an affordable housing developer based in Queens Village, Queens, and is led by R. Christopher Bramwell Jr. and Benathan Upshaw. Under new ownership, the building will remain regulated as affordable housing.

The $11.1 million will not go to the church. Instead about $5.5 million will be used to pay outstanding loans and aside from closing costs the balance will be invested in the building.

The building is expected to undergo a $14.2 million renovation to improve the physical plant and obtain loans of $19.2 million from the New York State Housing Finance Agency as well as other sources including tax credits.

The petition says the special purpose entity that owns the building has $3.3 million in assets and $6 million in liabilities.

The petition states: “The structure of the existing HAP contract entered into in connection with the 202 Loan, has not allowed for sufficient rent increases to (a) meet accelerating operating costs of the Project; and (b) to adequately reserve for capital improvements needed as many of the Project’s systems are nearing or are beyond their useful lives. The Project is now distressed and in dire need of substantial improvements and repairs. Specifically, the Project requires, among other things, roof, foundation and masonry repairs; plumbing and electrical upgrades; new windows, flooring and kitchen cabinets; building facade and landscaping improvements; and a new elevator (the “Improvements”). “

The contract was first signed September 7, 2018, and amended November 16, 2020.