Across from Mechanic’s Hall and once a movie set, property will become a 55-unit residence with workforce units
By Courtney Murtagh
The Central Building in downtown Worcester will soon be home to affordable and workforce housing. Built in 1925 and last used as an office space, the building had been vacant for several years. The Central Building has an interesting connection to pop culture, as some scenes from the 2013 movie "American Hustle" were filmed there.
The structure was being considered for demolition until the Central Building Development Group devised a plan to save it. The development team includes Aaron and Kathryn Krock, whose parents bought the Central Building about four decades ago.
MassHousing provided a $3.7 million permanent loan and $1.4 million in workforce housing funding from the Agency’s $100 Million Workforce Housing Initiative. The project also received approximately $12 million through an allocation of federal and state Low-Income Housing Tax Credits by the Massachusetts Department of Housing and Community Development (DHCD); more than $3.4 million in direct affordable housing funding from DHCD; $1.25 million in HOME funds from the City of Worcester; and approximately $6.3 million through allocations of federal and state historic tax credits.
The Central Building will provide 55 new apartments for lower income households in Worcester. Eight of the 55 new apartments will be for lower-income households earning at or below 50% of the Area Median Income (AMI), which is $85,800, and will be subsidized by Section 8 Housing Assistance Payment vouchers. An additional 28 units will be affordable for households earning at or below 60% of AMI. Fourteen apartments will be workforce housing units for moderate-income households earning at or below 70% of AMI, and five units will be rented at market rates. The development will also include ground floor retail space, which together with its residential units will bring new people and activity to this area of Main Street.