BFC PARTNERS AND BUFFALO'S BLACK BILLION/ST. JOHN FRUIT BELT CDC CLOSE ON $126 MILLION FOR TOWNE GARDENS IN EAST BUFFALO, NEW YORK

After years of neglect, chronic mismanagement, foreclosure and unsafe living conditions, a transformative renovation is about to begin

BUFFALO, N.Y., Jan. 7, 2026 /PRNewswire/ -- After decades of chronic mismanagement, absentee ownership, and deferred maintenance that left the 360-unit Towne Gardens Apartments in a state of severe disrepair and exposed residents to unsafe and deteriorating living conditions, a transformative new chapter for Buffalo's historic East Side community is now underway. BFC Partners, and St. John Fruit Belt CDC/ Buffalo Black Billion and Community 1, LLC partnered to complete acquisition of the 360-unit Section 8 apartment complex in March of 2025, and new ownership has just closed on $126 million in financing for the revitalization of the community.

Under the new ownership and with financing from New York State Homes and Community Renewal (HCR), Wells Fargo and Freddie Mac, BFC will begin renovations immediately. Major investments include $38.7 million in subsidy from HCR and a State Low Income Housing Tax Credit allocation from HCR that will generate $15 million in equity, along with allocations of State and Federal historic tax credits.

Residents can expect the following improvements:

• A comprehensive $126 million rehabilitation program has been launched to fully renovate all 360 apartment interiors, bringing modern finishes, appliances, and systems to the units and restoring dignity and quality to residents' homes.
   
• Critical storm and sanitary infrastructure improvements will be completed across the property to address longstanding utility and building systems issues and improve reliability and comfort for residents.  
  
  
• Enhanced security and community safety upgrades are integral to the redevelopment plan, reflecting the new owners' commitment to fostering a safe, stable, and thriving living environment.  
  
  
• Three playgrounds, fitness stations and a walking track will be created, as well as new landscaping and lighting and repaved parking lots and sidewalks.  Additionally, laundry rooms and bicycle storage will be installed in 14 of the buildings.

New York State Homes and Community Renewal Commissioner RuthAnne Visnauskas said, "For far too long, the residents of Towne Gardens have been forced to live with unsafe conditions caused by years of neglect. Thanks to Governor Hochul's unwavering commitment to preserving and strengthening affordable housing across New York, this $126 million investment marks a decisive turning point by restoring quality, safety, and dignity to 360 homes. Through New York State Homes and Community Renewal's significant support, and in partnership with mission-driven developers and community leaders, we are modernizing aging infrastructure, preserving critical Section 8 housing, and helping drive the long-overdue revitalization of East Buffalo."

"Affordable housing is not just about shelter—it's about stability, dignity, and opportunity. When compromised communities have access to safe, affordable homes across the country, families can thrive, children can learn, and neighborhoods can grow stronger," noted Joseph Ferrara, Principal, BFC Partners. "We are eager to begin the revitalization of Phase 1 this January, which will undoubtedly be a catalyst for further investment in the community."

"This is a wake-up moment," said Michael Chapman, President and CEO of the Buffalo's Black Billion and Saint John Fruit Belt CDC - Two Churches, Two Campuses, and One Village. "Together, Town Gardens and Saint John Fruit Belt developments represent nearly $800 million in investment on Buffalo's East Side, marking a transformative commitment to community-centered growth, job creation, and long-term economic opportunity."

"Towne Gardens furthers our mission at BFC - to provide safe, quality affordable housing throughout New York State - through significant investment and community-driven stewardship, the new ownership team is committing to comprehensive interior renovations, essential storm and sanitary infrastructure upgrades, and important security enhancements. This project will restore safety, dignity, and stability to the families that call Towne Gardens home, added Winthrop Wharton, Principal, BFC Partners.

"This investment reflects Wells Fargo's commitment to preserving affordable and safe housing for the residents of Towne Gardens," said David Mayseless, Managing Director at Wells Fargo. "Working alongside New York State and BFC Partners, we're proud to help extend the life of this important community asset and improve quality of life for families in Buffalo." 

Almost two years ago, BFC Partners closed on the adjacent Towne Gardens retail plaza for $1.35M. This large-scale project will establish a critical mass of mixed-income housing and mixed-use retail, which will be developed as Phase 2, with a new shopping center and additional construction of more affordable housing in the Towne Gardens community.

In Buffalo, BFC Partners has 1600 units in the Buffalo housing pipeline; some complete, some under construction and others planned.

About BFC Partners
BFC Partners is a full-service, real estate development firm that creates community-first, urban development solutions. Since 1984, BFC has been at the forefront of developing high quality affordable, mixed-income, and market rate housing. We are dedicated to revitalizing communities and improving the lives of our residents and neighbors. As leaders in the field, our government, financial, and community partners seek us out to help start new programs and undertake complicated projects. For more information, please visit: https://www.bfcnyc.com/. 

ABOUT BUFFALO'S BLACK BILLION/ST. JOHN FRUIT BELT CDC

Buffalo's Black Billion is the first faith-based, God-Driven, African American Redevelopment Project in the history of Buffalo. Established in 2002 by Pastor Michael Chapman, the purpose of the initiative is to serve as an economic engine for Buffalo's East Side thru construction/renovation, programming, and ministry. The first stage of the initiative is a $1 billion investment in the Fruit Belt area of Buffalo's East Side which currently includes the construction and renovation projects of $57 million McCarley Gardens renovation, $160 million McCarley Gardens new build, $30 million St. John Towers Renovation, $1.8 million Gethsemane Missionary Baptist Church Restoration, and a $550,000 facility renovation for Recovery Options Made Easy (ROME) and Spectrum Mental Health. Stage two of the initiative is a future $1 billion investment in the Jefferson Avenue Corridor from Cherry St. to E. Ferry St. "Cherry to Ferry." The foundation of the initiative is in the St. John Baptist/Gethsemane Baptist Mission Churches "Two Churches Two Campuses, One Village."

SOURCE BFC Partners