HTC, NMTC Equity Rebuilds YWCA for Women, by Women
By Mark Fogarty
6 min read
The historic rehab of the YWCA Central Massachusetts will not only improve its traditionally extensive array of services for women and their children, but it is being built by a woman-led construction management team as well.
The 60-year-old YWCA building in Worcester, MA is being renovated using federal and state Historic Tax Credits (HTCs) and New Markets Tax Credits (NMTCs) for “the empowerment of women and the elimination of racism,” according to executive director Linda Cavaioli. The agency, 135 years old, has occupied the current building since it opened and has been in Worcester for its entire existence.
The rehab, which is in its final stages with a soft opening scheduled for next month, is being done under an unusual community benefit agreement (CBA) to maximize women, people of color and local workers in the construction crews, Cavaioli says.
She notes that as of October, women have logged an average of ten to 12 percent of hours on the construction, 32 percent of hours have come from people of color and more than 55 percent from local residents. “We have definitely met and exceeded our targets” on the CBA, Cavaioli says.
The construction team management is all women, including its field management, project management, project executive and supporting staff teams. Contractor Consigli Construction also signed on to the CBA, which was finalized in February of last year.
Bank of America (BofA) is the Historic Tax Credit investor, while U.S. Bank provided the New Markets Tax Credit equity, on the $26.8 million project.
Adding Housing
A more efficient use of the five-story building’s 75,000 usable square feet (of 100,000 sf total) after completion of the renovation will allow some major upgrades of its social services, going from 41 to 46 supportive housing units for low-income women, for example.
A redesigned childcare center will increase the center’s capacity by one additional classroom, allowing an increase from 137 to 147 children, Cavaioli says.
And the rehab also includes construction of a separate entrance, to ensure safety and privacy for domestic violence clients.
The project has gotten extensive local support, with a capital campaign of $7.5 million, which has raised $6 million to date. Even the Historic Tax Credit investor has made a donation. Claudia Robinson, senior vice president of Community Development Banking for BofA, says the Bank of America Foundation provided a $20,000 grant for growth of supportive housing from 41 to 46 rooms.
“Linda is an inspiration,” says Robinson, and as far as her empowerment of women, it fell on receptive ears at Bank of America. “We are a female-led group, so we take a great deal of pride in being associated with Linda and her team.”
Robinson says the functional International Design style of the building “is a quintessential early 1960s construction” that helped it qualify for the U.S. National Park Service’s National Register of Historic Places “on its own merits.”
She also notes the collegiality between Bank of America and U.S. Bank officials during the financing of the project, arising from a shared interest in the importance of the work and its impact on the local community.
High-Poverty, Low-Income
Bank of America reported the building’s census tract in downtown Worcester has a poverty rate of 40.62 percent and a median family income that is 43 percent less than the statewide average.
“The YWCA consistently hires women and minority workers, all of whom live in Worcester and the surrounding communities. The YWCA is firmly committed to professional development of women and minority residents. Each department offers trainings relevant to that field, and all employees complete racial justice training. More than 70 percent of positions above entry-level are held by employees who were promoted from within,” it noted.
The project assessment also stated the YWCA had assisted more than 15,000 individuals in the previous year, more than half of whom were people of color.
Construction started on January 2 of this year. “This is one of the most incredible experiences I have ever had,” said Cavaioli, referring to both positive and negative aspects of doing the rehab during a pandemic.
The project got an “essential construction” designation which allowed the rehab to go on as planned, though the effect of the Coronavirus “did mean some work stoppages and material delays,” Cavaioli said.
“But all in all we kept operating and renovating. We have done an amazing job and we will finish as close to on time and on budget as possible.”
Wonderful Space Within
The YWCA was closed to the public due to the pandemic (many of its programs are being offered remotely), but it never closed the building for the staff or its social work. Somewhat like rebuilding an airplane while it is in the air, the process has required considerable reshuffling. The YWCA relocated its domestic violence clients to a dormitory for several months, and rented some downtown office space, for instance.
The state and federal Historic Tax Credits meant certain historic elements had to be honored. “We could not alter the footprint of the building,” Cavaioli said. “The windows had to be done an exact certain way and we couldn’t redo the façade of the roof,” she said.
“We couldn’t go up or out, so we had to figure out expansion within the walls of the structure. But we were able to get additional rooms for housing, additional rooms for childcare and additional program space. We found wonderful space within.”
The pandemic did cause construction to stop on work for the adjacent public library, which did not get an essential construction exemption. While they are two separate projects, the YWCA shares some traffic flow with the library. Construction to make that more efficient should happen in the spring, Cavaioli said.
Outdoor site work and parking lot construction will also be done in the spring, she said. And the final result will be a big benefit to the city of Worcester.
“We have a significant downtown presence,” the director said. “We anchor the theater district. We abut the Canal District and the City Square district. We’re quite an anchor.”
Story sources:
Linda Cavaioli, Executive Director
YWCA of Central Massachusetts, Worcester, MA
[email protected]
Claudia Robinson, Senior Vice President Community Development Banking, Bank of America, Washington, DC
[email protected]
Sources and Uses
Sources
NMTC Equity/Loans ……………………………………………. $7,817,783
State Historic Tax Credit equity……………………………. $2,025,000
Sponsor Equity…………………………………………………… $7,500,000
Federal Historic Tax Credit Equity…………………………. $2,803,125
Deferred Developer’s Fee……………………………………. $1,932,332
Fidelity Grant………………………………………………………… $450,000
Fidelity Loan…………………………………………………………. $150,000
