A ceremonial groundbreaking was held Tuesday for the $39.5 million Nest housing project, which aims to provide downtown housing on the site of the former Teletech building.
“This project is about people,” said Community Services for Every1 President and CEO Mindy Cervoni. “It’s about individuals and families looking for stability. It’s about creating housing that’s not only high quality but affordable, but it’s also going to give supports and services to people in the community who need it.”
The Nest is a joint development between USA Niagara and Community Services for Every1, a Buffalo not-for-profit that already serves Niagara Falls residents. Construction at the site at 333 1st St. started this past spring, taking 19 months, with plans to open for residents in November 2027.
“We all know that for this downtown to realize its full potential, it must function as a downtown,” said Anthony Vilardo, president of USA Niagara, “and that means we need year-round residents here.”
The 82,000-square foot, six-story building will have 73 apartments made up of three studio units, 55 one-bedroom units, and 15 two-bedroom units. Of those, 21 are dedicated to formerly homeless persons and domestic violence survivors, eight will be adapted for those with mobility impairments, and four will be adapted for those with audio/visual impairments.
The Nest is aiming to provide workforce housing, with 70 apartment units targeting households that earn between 50% and 80% of the area’s median income. Cervoni said they expect people who work at downtown hotels and the Seneca Niagara Resort & Casino would be among its tenants.
“We’re hoping that this can help people stay downtown and walk to work,” Cervoni said. “We think the majority of people who live in this building are going to be people who live and work here in the community.”
“The Nest reflects exactly the type of investment New York strives to make — transforming vacant parcels into vibrant hubs where quality affordable housing, commercial space, workforce training, and support services come together to create strong, inclusive communities,” said NYS Homes and Community Renewal Commissioner RuthAnne Visnauskas.
The site also features 4,445 square feet of ground-floor commercial space, where CSE1 would house behavioral health services, job-readiness training, and employment habilitation programs for those with developmental disabilities.
CES1 is accepting applications for residences in the Nest, expecting the number they get to exceed the building’s capacity. A lottery system will be used to help determine who will be able to rent there.
Site plans for the Nest show a sheltered garden, playground, and 11 parking spaces next to the building, with four of those being handicapped spaces. CES1 would have an arrangement for residents to park inside the Falls parking ramp for $25 a year and is currently working with the city to get additional spaces.
CES1 partnered with Edgemere Development, a Rochester company that has worked on 58 projects creating more than 4,500 housing units, along with SWBR as its architect and Hamilton Stern Construction as General Contractor. The developers will have the building be all-electric and feature solar panels to meet Green Building Design standards.
Project funding sources includes a $15.5 million loan from Chase Bank, $16.3 million in equity through the Federal Low Income Tax Credit Program, $5.8 million in equity through the State Low Income Housing Tax Credit program, $4.5 million from the state Office of Temporary and Disability Assistance $3.9 million in subsidies, $1 million from USA Niagara, $547,500 from the Clean Energy Initiative, and $320,000 from the WNY Regional Economic Development Council.
USAN acquired the former Teletech site from Tuscarora businessman Smokin Joe Anderson as part of the state’s Strategic Land Acquisition Program, which looks to return long-dormant properties to productive use. It was also formerly home to the Smokin Joes Native Center.