Syracuse, NY — Governor Kathy Hochul announced a transformative $271 million investment in affordable housing development for Central New York on December 29, 2025. The funding, distributed through housing bonds and subsidies, will support two major mixed-use housing projects that will create approximately 1,500 new homes and revitalize significant portions of Syracuse's urban landscape. This announcement represents a critical step in addressing Central New York's affordable housing shortage and supporting long-term community development goals.
Governor Hochul's $271 million investment targets two transformative development projects:
Project Details:
The Jensen Avenue project represents the first phase of a three-phase development planned for the historic site of the former Syracuse Developmental Center. Albanese Development Corporation's vision will transform a vacant, underutilized property into a vibrant mixed-income housing community that will serve renters and homeowners across multiple income levels. Phase 1 focuses specifically on 261 affordable rental apartments serving households at 80% AMI, with future phases planned to add additional units and amenities.
Project Details:
The East Adams neighborhood redevelopment represents one of Syracuse's most ambitious housing transformation projects. McCormack Baron Salazar's multi-phase approach will systematically revitalize the East Adams neighborhood, which has historically faced disinvestment and housing challenges. The groundbreaking ceremony in early December marked the official start of construction, with The Langston mixed-use development named in honor of the late Judge Langston McKinney, recognizing the importance of community leadership in neighborhood transformation.
Governor Hochul's $271 million Central New York investment is part of a larger $2 billion state housing initiative announced in December 2025. This broader program targets 24 housing developments across New York State, with the goal to create or preserve more than 6,600 affordable, supportive, sustainable and modern homes statewide.
The allocation demonstrates New York State's prioritization of housing affordability as a core economic development strategy and reflects the broader challenges facing Upstate New York communities struggling with housing costs and availability.
These two projects represent significant opportunities for Syracuse-area construction firms, contractors, and suppliers:
Developers Albanese Development Corporation and McCormack Baron Salazar have histories of working with local and regional construction partners, suggesting Syracuse-based firms should actively pursue partnership and subcontracting opportunities.
Affordable housing has become a critical issue in Syracuse and Upstate New York. Rising rents, limited inventory, and wage stagnation have created a housing affordability crisis affecting workers, families, and seniors across income levels. The $271 million investment addresses this challenge through:
The East Adams "Langston" project has already begun construction as of early December 2025. Jensen Avenue development will follow in subsequent phases. Typically, projects of this scale spanning multiple phases continue over 3-5 years, with different phases opening to residents as each completes construction.
The phased approach allows developers and the community to assess initial phases, incorporate lessons learned, and plan subsequent phases more effectively. It also spreads economic benefits across multiple construction seasons.
The $271 million investment signals New York State's commitment to Upstate cities and demonstrates confidence in Syracuse as a development market. Large-scale public investments like this often catalyze additional private investment, inspire confidence in neighborhood transformation, and create momentum for additional improvements (street infrastructure, public spaces, commercial development).
For construction professionals in Syracuse and Central New York, these projects represent significant opportunities. Contractors, subcontractors, suppliers, and trades should monitor project websites, reach out to developers directly, and prepare proposals for work packages as they're released.
Follow Westside Construction Group's blog for continuing coverage of major Upstate New York development projects, construction funding announcements, and industry opportunities across Syracuse, Rochester, Buffalo, and beyond.
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