PELHAM — Two days before Christmas, Pelham village employees were in the new village hall. Firefighters, now headquartered next door, headed out to respond to an emergency call. Downstairs, a space set aside for the police department remains under construction and is expected to be ready by March.
For the first time in the 50 years since Pelham was merged into its current village, all three departments are under the same roof, thanks to a new residential development across the street.
A deal reached in 2019 allowed a developer to build the 127-unit mixed-use development on formerly town-owned property. In return, the developer agreed to cover all costs, estimated at about $20 million, to build a municipal center to house a village hall, police department and fire department.
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Village mayor Chance Mullen said the community is excited to see the new municipal center in the heart of the village. The place will also serve as a gathering spot for residents and community groups alike.
“I think everybody involved in this project is feeling a lot of pride, knowing this building is going to be here for generations and will be used by so many residents and staff members,” Mullen said.
What does the Pelham House property include?
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The $115 million Pelham House includes a 27,000-square-foot municipal center at 200 Fifth Ave. and a 127-unit apartment building with 5,300-square-foot retail space.
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The two-story municipal center will have space for about 50 village employees, firefighters and police officers. The village hall includes a history space, a patio and a meeting room.
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While the future of former village hall — a house at 195 Sparks Ave. — is still up in the air, the plan is set to tear down the former firehouse and move the police department from the town hall.
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Across the street, the residential development will include 127 apartment units, including four studios, 53 one-bedrooms, 64 two-bedrooms and six three-bedrooms. Six affordable units are set aside for households earning 80% of Area Median Income and 60 spots are open for the public. Amenities include gym, roof terrace, courtyard, co-working space and fitness center. Construction is expected to be completed in 2027.
New look should increase foot traffic in Pelham
“The municipal center is at the center of the village. One big benefit is two beautiful new buildings in the middle of our downtown. We know it’s going to generate foot traffic,” Mullen said.
Developer Joe Kohl Riggs, principal at the Hudson Companies, said they are inspired by the village’s initiative to revitalize the downtown corridor and to think creatively about solving the housing crisis. With a 203-unit residential development under construction in Port Chester, the company has built 8,000 residential units across New York.
The project has received about $15.8 million tax break through a 20-year Payment in Lieu of Tax (PILOT) agreement from the Westchester Industrial Development Agency. It will generate $600,000 tax revenues annually. Once the PILOT agreement expires, the developer will pay taxes based on an assessed value, an equivalent of a seventh of the current downtown overall value.
Pelham Village has an area of 0.8 square miles and a population of about 7,300. The budget adopted for 2023-24 was about $17 million.
Helu Wang covers real estate, economic growth and development for The Journal News/lohud and USA Today Network. Reach her at hwang@gannett.com.
This article originally appeared on Rockland/Westchester Journal News: Pelham NY municipal center opens as apartments loom across street
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