Cedarhurst plans $32M senior living project in Manhattan with sales tax exemption

During the Manhattan City Commission meeting on February 18, 2025, city officials discussed a significant development project aimed at addressing the growing need for senior housing in the community. Cedarhurst Senior Living, a company based in St. Louis, is proposing a $32 million project that will include independent living cottages and an assisted living and memory care community. This initiative is part of a broader effort to enhance housing options for seniors in Manhattan, particularly those aged 75 and older.

The project will consist of 89 assisted living units and 22 independent living cottages, covering approximately 78,000 square feet. It is expected to create over 50 permanent jobs and provide temporary employment for around 80 construction workers. The developers plan to begin construction this summer, with the first phase set to open by February 2026.

A key aspect of the proposal is a request for a sales tax exemption on construction materials through the Industrial Revenue Bond (IRB) process. This exemption is intended to alleviate some of the financial burdens associated with the project's construction, particularly given the rising costs of building materials and the need for significant public infrastructure improvements, such as water and sewer main extensions.

While some commissioners expressed support for the project, emphasizing its potential to stimulate local job growth and meet housing demands, others raised concerns about its classification as a market-rate development. One commissioner noted that the project does not cater to low-income residents, which could limit its accessibility for some seniors in need of affordable housing options.

The discussion highlighted the importance of transparency in the approval process for such large-scale projects. Several commissioners voiced a desire for future proposals of this magnitude to be placed on the general agenda rather than the consent agenda, ensuring that they receive adequate public scrutiny and discussion.

In conclusion, the Cedarhurst project represents a significant investment in Manhattan's senior housing landscape, with the potential to enhance the community's offerings for older residents. The commission's approval of the sales tax exemption marks a crucial step forward, but ongoing discussions about housing affordability and accessibility will be essential as the project progresses.