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Preserving Housing Where It Exists, in This Case Sag Harbor

Thu, 03/13/2025 - 11:22
The best kind of affordable housing could already exist. This house in Sag Harbor, built in 1890, is already divided into apartments. Sag Harbor Village and East Hampton Town hope the public supports their joint purchase of the property so it remains as affordable housing.
Christopher Gangemi

The East Hampton Town Board offered unanimous support Tuesday to use $1.5 million in Community Housing Funds to purchase a four-unit multiple residence building, at 109 Hampton Street in Sag Harbor Village, in concert with the Sag Harbor Community Housing Trust, which would pitch in an additional $1.2 million. 

In December, the fund — which went into effect in April 2023 and gets money from a .5-percent real estate transfer tax paid by the buyer — had a balance of approximately $10 million. Since then, the town board has approved funding for five projects totaling about $4 million. 

Mayor Thomas Gardella and Jeanne Kane, a Sag Harbor Village trustee, spoke during the public portion of the meeting to thank the board for its consideration. 

“It’s a model that I’ve been speaking of in the village,” Mayor Gardella told the board. “Preserve housing where it exists.” 

“Historically there were many more multi-unit homes that took care of a lot of Sag Harbor families,” said Ms. Kane. “In the last 20 years we’ve seen this decrease. These homes were purchased and then turned into single-family housing.” 

The 1890 house, which contains one two-bedroom and three one-bedroom apartments, is a contributing structure in the Sag Harbor Village Historic District but on the East Hampton Town side of Hampton Street. It is for sale at present on the open market for $2.65 million. The $1.5 million grant would 

go only to the acquisition. The East Hampton Housing Authority, which has already retained a right to purchase the property, would gain ownership and handle repairs and upgrades, including a new I/A septic system, a condition of the grant award. 

The money traveled some distance before arriving at 109 Hampton Street, originating way back when the Watchcase Factory was completed in 2015. In January, when the town approved the first community housing fund grants, it awarded $500,000 to the housing authority to purchase the Cottages, nine units just outside Sag Harbor Village, from the Sag Harbor Community Housing Trust. The Cottages were first purchased by the Sag Harbor group with money that came from the Watchcase deal. The housing trust is now using that same $500,000 and pooling it with another $700,000 to meet its stake of the purchase. 

“I like the karma of the full circle,” said East Hampton Councilman David Lys. “The funding has finally come back to provide affordable housing in the Village of Sag Harbor.” 

The house’s location, roughly a quarter-mile from Main Street and even closer to the schools, is ideal for affordable housing. It sits at the busy intersection of Jermain Avenue, Hampton Street, and Hempstead Avenue. Like other public housing projects, income limits would be capped for moderate-income families at 130 percent of the average median income for Suffolk County, which equates to $142,220 for a single person and $162,500 for two people. The community housing authority board reviewed the project in January and also gave it unanimous approval. 

Joanne Pilgrim, a community development program analyst for the town, said the housing board considers $500,000 per affordable housing unit an acceptable price to pay. “The investment by the town factors out to $375,000 per unit,” she told the board. “It would be the first use of community housing fund money in Sag Harbor.” 

“The C.H.F. money isn’t going to go as far as we might think, and so we do have to be considerate about the cost per unit,” said Councilman Ian Calder-Piedmonte, the board’s liaison to the committee. 

Jay Lappin, a current resident of 109 Hampton Street, told the board he is a volunteer that works in food advocacy for local farmers. “If rents get raised, we’re going to have to leave. We love it out here. Please support this.” 

“This is a good opportunity to preserve something that exists,” said Mr. Calder-Piedmonte. “And you know I know Jay. I didn’t know he lived there. When you hear the type of people we’re providing housing for, I can’t say that I’m surprised, but it confirms the goodness of this opportunity.” 

“It’s interesting that this is a multi-resident property, so we’re also preserving a use that would likely disappear,” said Councilwoman Cate Rogers. 

A public hearing on the housing fund request will be held on April 3. If approved, the money could be available for the purchase by the end of April. 

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