The City of Newburgh Industrial Development Agency (IDA) held a public hearing Wednesday at the Activity Center to gather feedback on the proposed Liberty Street Apartments, a mixed-use development combining affordable, workforce, and market-rate housing with retail and commercial space along Liberty Street.

IDA Executive Director Cherisse Vickers provided an overview of the project, detailing its financial structure and procedural requirements. The proposed development, spanning 1,344 acres at 50-72 Liberty St., includes a five-story, 200,000-square-foot building with portions reduced to four stories. The project also features an underground parking garage, brick façades, and streetscape improvements. Currently, the site is vacant and neighbors businesses on Liberty Street, Washington’s Headquarters, Lafayette Street, and the Foundry Apartments.

Before approving financial assistance exceeding $100,000, the IDA is required to hold a public hearing. “The company has requested the following financial assistance: a 32-year payment-in-lieu-of-taxes (PILOT) agreement valued at approximately $7.17 million,” Vickers said.

She noted that the PILOT request deviates from the IDA’s uniform tax-exempt policy. A report by MRB Group, an engineering and municipal planning firm, assessed the project’s cost-benefit analysis and identified economic impacts for the city. The report highlighted the following:
• Construction Phase: 158 direct and indirect jobs generating $7.37 million in wages.

• Permanent Jobs: 52 positions from household spending and on-site operations, generating $2.49 million in annual wages.
• Sales Tax Revenue: $48,343 in one-time construction-related taxes, $259,453 in new wage-related taxes, and $752,512 in household spending taxes.
• Property Tax Revenue: Over 32 years, an additional $4.39 million in property taxes for Orange County, the City of Newburgh, and the Newburgh Enlarged City School District.

Vickers explained that before approving the PILOT request, the IDA must adopt a resolution outlining the tax exemption details, the proposed PILOT terms, and the reasons for deviating from policy. A letter addressing these deviations was approved in December.

Andrew Schrijver, representing the development team, described the project as the culmination of two-and-a-half years of planning. “The project will provide 145 units, 127 of which will be affordable for households earning 30% to 80% of the area median income (AMI),” Schrijver said. He added that the plan includes 11,000 square feet of retail space centered on Liberty Street.

Connor Hartnett of MRB Group elaborated on the financing, which involves the New York State Housing Finance Agency and other state and local grants. He discussed the project’s reasonableness and the cost-benefit analysis.

The hearing, which began at 7:39 p.m., drew mixed reactions from attendees.

“Every time I hear about this project, I think it has potential, but I’d ask you not to approve a 32-year deviation,” said former IDA member Yaniyah Pearson. “Requests like this are often brought to the City Council for a decision.”

Jacob Chai expressed support for the project’s design but left the decision on incentives to the IDA. “This is probably the most important site in the City of Newburgh right now,” he said.

Judy Thomas, who has followed the project’s progress, voiced concerns about the long-term PILOT agreement. “I think this will be a very good project, but I have a problem with a 30-year PILOT,” she said.

Former IDA Chair Marlon Ramos echoed those concerns, noting the board’s vacancies. “A 30-year PILOT is unprecedented for this IDA,” Ramos said. “There should be more outreach to fill board positions with community members independent of city employment.”

The IDA will review public feedback before taking final action on the PILOT request.