BETHLEHEM, Pa. — An affordable housing project that would rehabilitate a blighted property in Bethlehem has gotten an $800,000 grant.
Bethlehem Redevelopment Authority's remediation project at 401-403 and 405 E. 4th St. was the only Lehigh Valley project to get funding from the Pennsylvania Housing Finance Agency's Community Revitalization Fund Program.
Only six other projects in the state got money from $4.7 million distributed in the latest round of funding.
"The combination of housing and commercial space meets important community needs and can provide a beneficial spark to business activity."PHFA Executive Director Robin Wiessmann
The PHFA describes its funding program as one that "seeks to expand or rehabilitate affordable housing coupled with retail/commercial space to promote community revitalization, especially in those parts of the state that are struggling economically."
Only two other projects got $800,000 — one in Venango County and another in Centre County.
"We anticipate the projects funded today will produce 62 new or rehabilitated residential units and 18,065 square feet of commercial-retail space," PHFA Executive Director Robin Wiessmann said in a news release.
"Four of the seven projects receiving funding are located in third-class cities, where they can play a major role in stimulating economic growth and revitalization.
"The combination of housing and commercial space meets important community needs and can provide a beneficial spark to business activity."
'Large step to realizing the future'
Bethlehem Mayor J. William Reynolds, in a news release from the redevelopment authority, called the grant "a large step toward realizing the future of this corner property."
Plans show the Fourth Street building will become four apartments, ranging from one- to three-bedroom units and a first-floor commercial space, the release says.
That means at least three units will be considered affordable to individuals "earning at or below 80% of the area income."
"I applaud the Redevelopment Authority in continuing to pursue vital restoration efforts in Southside Bethlehem."Bethlehem Mayor J. William Reynolds
In Bethlehem, the U.S. Department of Housing and Urban Development's 2025 income limit defines that as $65,150 for an individual and $80,150 for a family.
"I applaud the Redevelopment Authority in continuing to pursue vital restoration efforts in Southside Bethlehem," Williams said.
The Fourth Street building project is expected to cost $2.4 million. The CRFP grant will bring funding for the project to a total of $1.27 million.
'Highest neighborhood priorities'
RDA Executive Director Sean Ziller shared thanks to the public and private contributors to awards such as those disbursed through the CRFP.
"Through its rehabilitation, we'll be able to, again, contribute to the affordable housing supply, while bringing a commercial space back online that can contribute to and service the neighborhood," Ziller said.
"The RDA remains committed to the South Side neighborhood and in seeking to secure the remainder of the funding to make this project possible."
"This project will expand housing opportunities for South Side families while revitalizing a key block in the Fourth Street small business district."Anna Smith, director of Community Action Development Bethlehem
The RDA news release says it works closely with Community Action Lehigh Valley and Community Action Development Bethlehem.
Anna Smith, director of Community Action Development Bethlehem, said the organization is "thrilled" to see the project continue to move forward with more funding.
"Our South Side community members have identified the creation of affordable housing through the rehabilitation of blighted properties as one of the highest neighborhood priorities," Smith said.
"And this project will expand housing opportunities for South Side families while revitalizing a key block in the Fourth Street small business district.
"This award reinforces our shared commitment to neighborhood revitalization through community-driven planning processes, and we are grateful for the leadership of the City of Bethlehem and Redevelopment Authority on this project."
