Children Rising center paused after tax-credit timing and parcel disputes; council urged to separate Eastwood Heights action

The project to build the Children Rising Center at Latimer Terrace is on pause after Blueprint 15 said it cannot close a final new markets tax credit commitment in time to meet an April 1 construction deadline.

Blueprint 15 board member Meg (identified in the meeting as a project lead) told the Syracuse Common Council the organization "cannot fill a $7,000,000 gap" and that "the project is not gonna proceed at this time on the blueprint project." The pause prompted councilors to consider withdrawing or amending multiple agenda items tied to the land-swap and redevelopment plan and to treat Eastwood Heights separately.

The project team and funders had developed a roughly $32,000,000 capital stack for the 78,000-square-foot Children Rising Center, which Blueprint 15 described as including an early-learning childcare center, a YMCA presence, senior space and other neighborhood amenities. The Allen Foundation told the council it had committed $5,000,000 toward the effort. Blueprint 15 said it had identified $25,000,000 in additional commitments and that the remaining gap of roughly $5,500,000 to $7,000,000 depended on new markets tax credit equity.

Syracuse Housing Authority (SHA) officials and the project's developer told council members that repeated changes to the proposed site footprint required multiple amendments to SHA's RAD (Rental Assistance Demonstration) application to the U.S. Department of Housing and Urban Development (HUD). Those amendments, the housing authority said, repeatedly restarted HUD review timelines and delayed approvals the project needed.

Bill (identified in the meeting as representing Syracuse Housing Authority) said the parcel originally shown for the amenity was 2.12 acres and that proposed changes increased the acreage in stages'first to about 2.8 acres and later to 3.1 acres. He said those changes also raised the proposed Children Rising Center budget from $25,000,000 to about $31,000,000. Bill also reported unit and resident counts for the site: "the total parcel has 75 units of housing," and "it's about 60 on the total site. On Latimer Terrace, we have how many? About 20." (Numbers given in the meeting were estimates and presented by SHA representatives.)

HUD and SHA repeatedly told the council that no demolition, relocation or redevelopment phases can move forward without an approved relocation plan and HUD signoff; SHA said vouchers or vacant public-housing units would be needed to relocate residents prior to any closing or demolition.

Councilors raised questions about the proposed land swap that would have transferred Latimer Terrace to the city in exchange for another property (Eastwood Heights). The city's legal advisers and outside counsel (Brad Hunt of McKenzie Hughes) told the council that the draft swap documents were structured to give the city an option to acquire Latimer Terrace but would not obligate the city to close if it chose not to exercise the option.

Several councilors and project representatives urged the Common Council to "unjam" the combined package. One councilor proposed withdrawing agenda items tied to Latimer Terrace (items 32, 33 and 34 as discussed in the meeting packet) and amending item 31 so the Eastwood Heights transfer could be handled separately; the speaker also said item 30 could proceed. No formal council vote on withdrawing or amending these items was recorded in the discussion.

Project and city officials repeatedly emphasized residents-first constraints. SHA said HUD will not approve plans without clear relocation details and exact addresses for voucher placements when vouchers are part of the strategy. SHA told the council it had preserved some vacant public-housing units for relocations and could offer vouchers for voluntary moves, but HUD requires the relocation plan before approving major phases.

Allen Foundation and Blueprint 15 representatives said they and partner agencies would continue outreach to residents. Blueprint 15 said its neighborhood navigators and executive leadership would circle back with tenants and neighbors to explain the pause and next steps. Deputy Mayor and other city staff said they would work with law and SHA to reframe agenda items and next steps before the council's next meeting.

Council members and project leaders described the outcome as "devastating" for neighbors and stressed the need to improve coordination among the city, SHA, Blueprint 15, the Allen Foundation and the project's developer (MBS/McCormick Baron were both referenced in the discussion) if the project is revived.

Votes or formal approvals were not recorded for the actions discussed during this session; the meeting concluded with a motion to adjourn.

Ending: Councilors asked staff to prepare options to separate Eastwood Heights and Latimer Terrace actions, and SHA and Blueprint 15 said they would provide email records and planning documents the council requested so elected members can review the communications timeline and the relocation plan details.