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Prefab Houses Hold Promise

Thu, 10/23/2025 - 12:06
Planned residential lots at Cantwell Court off Pantigo Road in East Hampton.
Town of East Hampton

It’s been nearly a year since East Hampton Town asked builders to submit proposals to design and build houses for the affordable housing subdivision called Cantwell Court, between East Hampton Village and Amagansett. All the estimates they got back, it was announced this week, were too expensive.

“The lowest cost we received, from Habitat for Humanity, was just shy of $600,000 per unit,” Mark Morgan-Perez, the town’s new director of housing, told the town board on Tuesday.

They board is now exploring a new state program called Move-In New York, announced by Gov. Kathy Hochul in September, which promises “innovative, factory-built starter homes built in a fraction of time, at nearly half the cost.”

Supervisor Kathee Burke-Gonzalez learned about the $50 million program in August at a meeting of the East End Supervisors and Mayors Association. It could provide the town with “crossmods” — essentially modular homes that share some features of traditional houses — for only $250,000 each, including installation.

Despite the low cost, “They don’t look necessarily like trailer homes,” said Mr. Morgan-Perez. “They look more like real single-family stick-built homes.” The houses, which include basements, are all-electric, he noted.

However, there are a few issues.

East Hampton would have to apply to the state for the homes, but first it would need to pass a resolution supporting its application and affirming that the town will allow crossmods without requiring a special-use permit. The application period closes on Nov. 15, and the town board has only two meetings scheduled before then.

Another hurdle: Restrictions on clearing, while the endangered Northern long-eared bat is hibernating, are in effect from Nov. 1 until April 1. While the development’s road has been cleared and paved, the building envelopes have yet to be cleared.

The houses are “deeply affordable,” said Mr. Morgan-Perez. The state requires, however, that the area median income across Cantwell Court’s 16 units be 100 percent, which, he said, could prove challenging. “How do we handle people on the housing list to achieve that income list? There are people on the list who come up first, but they may be at different income levels and may not end up creating a 100 percent A.M.I. average across the portfolio.”

Also, the state has a prequalified vendor list, which might not comply with the town’s procurement policy. A member of the Community and Housing Development staff would need to obtain a New York State manufactured-home retailer license.

“It’s basically an eight-hour online course,” said Mr. Morgan-Perez, who was hired only last month. “That’s not really a heavy lift.”

Still, he said, the town is in a good position to submit a strong application. The state requires 10 “ready” sites, and Cantwell Court has 16. The community housing fund program demonstrates the town’s need, capacity, and commitment to affordable housing.

If the board gets an application in on time and it is approved, the town would qualify under the program, and would be able to sell the homes to prospective buyers who meet income and eligibility standards.

Mr. Morgan-Perez said his department would speak with the state’s Homes and Community Renewal Department to see whether the program is a good fit. “Definitely from an affordability perspective and from an implementation perspective, to be able to turn around these homes in six months — again assuming the manufacturer has the capacity to produce 16 homes in six months — would be a real win,” he said. “Most development projects can take years.”

All the board members were supportive, and expressed a desire to move forward quickly. Both Councilman Tom Flight and Mr. Morgan-Perez have trips upstate in the offing, and they may be able to tour previously installed crossmods in Schenectady.

“This might just be an opportunity for the town to bring affordability to our affordable housing,” said Councilman David Lys.

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