Construction is slated to start this spring to turn 15 existing residential units on the upper levels of Spencer’s Corner at 90 Main Street in Centerbrook into 17 units of affordable housing. The non-profit HOPE Partnership, Inc., is spearheading the $4.6 million project, which received approval from the Essex Zoning Commission in 2018.

Site improvements will include a new roof, window replacements, and design elements including new signage. The existing commercial tenants will continue to occupy the first floor of all four buildings and the second floor of one building, according to a written statement issued April 3 by HOPE Partnership, Inc.

“We are very excited to begin construction on this project,” said HOPE Partnership, Inc., Board President Dave Carswell. “We are grateful for the support and assistance that we have received from town officials and the community. This time next year, we expect to be welcoming our new residents.”

The project, named The Lofts at Spencer’s Corner, will include the creation of one-, two- and three-bedroom units with rents in the range of $900 to $1,400, according to HOPE Operations Manager Loretta McCluskey in email correspondence with the Courier.

Rent will be based on an applicant’s income, which, under the definition of affordable housing, is when an individual’s income is a certain percentage or less than the town’s average median income. These percentages, or scale, are set by the federal Department of Housing and Urban Development (HUD).

The town’s 2015 to 2025 Plan of Conservation and Development (POCD) aims to diversify the type of housing available in town with projects like these, based on research by the Essex Planning Commission that points to a lack of affordable options for young adults, families, and seniors.

In 2017, the average median home price in Essex was $360,600, which is 33 percent higher than the state’s median home price of $270,100, according to a 2019 town profile from Advance CT and CT Data Collaborative.

The town profile also shows the median rent in Essex to be $1,115, with 44.8 percent of renters being “cost-burdened,” which is when 30 percent or more of a household’s income is spent on housing, according to HUD. Overall, in Connecticut, the median rent is $1,123; 52 percent of renters are considered cost-burdened.

With 2.91 percent of Essex’s housing considered affordable by the state Department of Housing, according to its 2018 Housing Appeals List, “Essex has a clearly identified lack of affordable housing options,” said Essex’s consulting planner John Guszkowski.

When a town’s affordable housing stock is fewer than 10 percent and the town has not qualified for a moratorium, the Affordable Housing Land Use Appeals Procedure under state law 8-30g applies. This statute places the burden of proof on town planning and zoning agencies to defend any decision to reject an affordable housing development application. A town is required to meet certain criteria for appealing a project, and land use regulations cannot be used in defense.

This law took effect in 1990 and stemmed from the state’s affordable housing crisis in the late 1980s.

The town has been making progress in making more affordable options available in recent years. Two examples include Essex Place and Essex Station. Essex Place, at 26 Main Street, was completed in 2017 with 22 senior affordable housing units. Essex Station, at 27 Plains Road, was completed in 2018 with 16 of its 52 units offered as affordable housing.

Guszkowski says The Lofts at Spencer’s Corner works well with the town’s POCD and is in line with previous studies that identified key areas for development in town.

He indicates that there are numerous benefits to the project including its location in “one of the village areas, walkable to school and businesses. It would be a positive redevelopment for a property that was underused and works well with the town’s broad goals for redevelopment and the goals of the affordable housing plan,” said Guszkowski.

Essex First Selectman Norman Needleman is pleased that the project is moving forward, citing the importance of local connections.

“The community really likes HOPE Partnerships because HOPE is a local nonprofit focused on affordable housing,” said Needleman. “It’s local people in the immediate area and they work very hard to do good projects.”

The Lofts at Spencer’s Corner is an example “of the really good, low-hanging fruit projects because it’s an existing structure and, logistically, because it’s a condo [complex],” said Guszkowski. “We have to move quickly for those few that are obviously low-hanging fruit projects and it’s great that the HOPE project is moving on this one.”

Enterprise Construction and Point One Architects are collaborating with HOPE Partnerships, Inc., on The Lofts at Spencer’s Corner. The project is being financed by Essex Savings Bank, the Connecticut Department of Housing, and Federal Home Loan Bank.

“HOPE has been working on this project for four years and could not have done it without the support of the Town of Essex, Norm Needleman, Middlesex United Way, and all the HOPE volunteers and staff,” said HOPE Property Committee Chair Tony Lyons.

Founded in 2004, HOPE Partnership, Inc., works to develop affordable housing opportunities in Southern Middlesex County and surrounding towns.

Southern Middlesex County was identified in the 2019 National Low-Income Housing Coalition Out of Reach report as one of the most expensive metropolitan areas for renters, requiring a $27.44 per hour housing wage to afford a two-bedroom rental home.