Goldman Sachs’ Urban Investment Group has provided a $116 million construction loan for the redevelopment of Parkside Commons, a Section 8-backed affordable housing complex on Syracuse, N.Y.’s East Side, as part of a $269 million total financing package announced by developers BFC Partners and SAA Canopy Group, according to the companies’ joint press release distributed via PR Newswire.
The project will preserve and modernize 393 affordable apartments. In its first phase, six existing buildings comprising 200 apartments will undergo comprehensive renovations, targeted for completion in early 2028, while two new residential buildings — one four stories and one five stories, totaling 193 units — will be constructed, with completion expected in late 2028. Four of the complex’s oldest structures will be demolished to clear land for future development. Construction is scheduled to begin in September 2026.
Beyond the Goldman Sachs construction loan, the $269 million financing package includes an estimated $88 million from the sale of federal Low-Income Housing Tax Credits and $13.6 million from state Low-Income Housing Tax Credits, along with subsidies and low-interest loans from New York State Homes and Community Renewal, plus interim project income and tax-exempt bond proceeds covering the remainder.
Asahi Pompey, chair of Goldman Sachs’ Urban Investment Group, said, “We are proud to partner with New York State, BFC Partners, and SAA Canopy Group to deliver quality homes that will serve Syracuse families for years to come.” BFC Partners principal Winthrop Wharton said the redevelopment goes beyond preservation: “We are not just preserving affordable housing. We are modernizing residents’ homes, and creating a safer, more vibrant community where families can thrive for generations to come.” SAA Canopy Group’s David Alexander pointed to the project’s focus on “quality homes, strong neighborhoods, enhanced living environments, and continued affordability.”
Parkside Commons has operated as project-based Section 8 housing, meaning rents are subsidized so long-term residents pay a portion of income toward rent regardless of the property’s ownership or financing structure. BFC Partners and SAA Canopy Group say the phased approach — renovating existing occupied buildings first while constructing new buildings on adjacent land — is designed to minimize the need to relocate current residents during construction, a common challenge in large-scale affordable housing preservation projects.
What it means: The Parkside Commons deal illustrates how large financial institutions continue to use community-investment arms like Goldman Sachs’ Urban Investment Group to fund affordable-housing preservation, layering conventional construction debt on top of low-income housing tax credits and state subsidy programs. The project’s scale — nearly 400 units across renovation and new construction — reflects a broader pattern RealtyWire has tracked in other affordable-housing preservation deals, including Ascent Housing’s $27.8 million purchase of a 140-unit Charlotte, N.C., apartment community and the National Equity Fund’s $200 million acquisition of 32 affordable housing properties in St. Louis. With construction set to begin in September and phased completion running through late 2028, the project will test how well a multi-source capital stack — tax credits, state subsidies and private bank debt — can be sequenced across a multiyear renovation without disrupting existing Section 8 tenants.
