Eagle Mill Secures $ 16 Million in Government Funding; project could start by the end of the year | New

LEE – The developer of Eagle Mill has landed an eight-figure sum in state funding that will likely revive the reuse of the old papermaking plant by the end of the year.

The Massachusetts Department of Housing and Community Development has granted Eagle Mill Redevelopment LLC $ 16 million in housing tax credits to fund the construction of 56 affordable and market-priced housing in the historic Union Mill and Eagle buildings Mill.

In total, the mixed-use project will have 122 apartments; the remaining 66 will be located in newly constructed buildings on the eastern side of the downtown property. In addition, six condominiums will be built on site along the Housatonic River.

At a press conference Thursday in Lawrence, Gov. Charlie Baker announced the award as part of a $ 139 million global program for 28 housing projects in 21 communities.

“As Massachusetts continues to recover from the COVID-19 pandemic, it is important that we continue to prioritize the development of new affordable housing to help our most vulnerable families,” Baker said.

The Eagle Mill Tax Credits are the latest funding for an overall proposal estimated to be between $ 60 million and $ 70 million, which also includes 14,000 square feet of retail and office space. The project has already received $ 1.8 million in historic federal and state tax credits, and other state tax credits are possible.

Lead developer Jeff Cohen says housing has always been at the center of a project he and his development team conceived almost nine years ago.

“Housing is the backbone of what follows in everyday life,” he said. “Housing in the Berkshires has become very expensive, and the more affordable housing we create, the more jobs we create.”

Cohen said the Baker administration’s commitment to Eagle Mill gives the project financial credibility and will leverage additional public and private funds.

The money also means the project is one step closer to groundbreaking work by 2022. Initial work would include the demolition of nine adjacent vacant homes the developer has purchased on West Center Street and site remediation. , according to Cohen.

“I want to go beyond the simple announcement and show the city real progress on the ground by the end of the year,” he said.

The actual apartment building work at the Union and Eagle factories will likely begin in early 2022, according to Jon Rudzinski, director of Rees-Larkin Development in Boston. Rees – Larkin is in partnership with Berkshire Housing Development Corp. on the residential side.

“I hope to contract with DEW Construction and start work in the first quarter of next year,” Rudzinski said. “I am very confident that we can turn these factories into housing.”

The confidence level of Lee’s business community also remains high for the project.

“We are confident that the developer of Eagle Mill will turn the plant into a storefront,” said Lee Chamber of Commerce Executive Director Colleen Henry.

In addition to housing, Phase 1 includes the refurbishment of the 160-year-old machine shop which will be leased to The Marketplace, which has cafes in Sheffield and Great Barrington and operates a catering business.

Phase 2 involves the grading of the 1960s section of the mill and the construction of a new apartment building on the east side of the property.

The final aspect of the project is a new mixed-use building facing the machine shop with commercial space on the first floor and around 24 apartments on the upper floor. Cohen said the commercial space could be a future retail market, if it becomes financially viable.

State Representative William “Smitty” Pignatelli is pleased that the Baker administration realizes the importance of the Eagle Mill to Lee.

“The project is going to be transformative for downtown Lee,” he said. “I can’t wait to have a shovel in the ground. Let’s go! “