March 16, 2016
March 16, 2016- NDC Corporate Equity Fund announced a LIHTC closing today for a $31.8 million three-phase rehab and adaptive-reuse of the historic Ponemah Mills, which will create an affordable housing community in Norwich, CT.
Ponemah Mill is on the National Register of Historic Places and is situated in The Last Green Valley, a National Heritage Corridor. Originally known as the Taftville Cotton Mill, it was the second largest cotton mill in the world, and once housed the country’s largest weave‐shed under one roof, with a capacity for 265,000 spindles and 4,000 looms. It operated for about 100 years, beginning in 1871 and at its peak had 1500 employees, which was more than the town of Norwich had residents.
The three phase development will rehab a 5 building campus totaling over 650,000 square feet, the first phase will create 116 units of mixed use family housing. The development will also include riverfront picnic areas, walking paths, fitness center and community space. Seventy of the units will be set aside for families at 60% AMI. The Ponemah Mill renovation was one of 14 housing projects with nearly 1,100 proposed housing units statewide to receive some $60 million in state assistance, supported by Governor Malloy.
The City of Norwich is supporting redevelopment with a 15-year tax abatement, and the project will receive federal and state historic tax credits as well as 4 percent low income housing tax credit proceeds. Financing for the development came from The CT State Department of Housing, Connecticut Housing Finance Authority and NDC Corporate Equity Fund, in partnership with OneKey, LLC, who is acting as the project developer.