Pictured is a rendering of a proposed apartment complex on Washington Avenue, Dunkirk.

Gov. Kathy Hochul announced $11.1 million in funding for a Dunkirk apartment project Tuesday afternoon.

The project by Regan Development aims to add 78 apartment units at two sites in the city: on Washington Avenue and in part of the current Save-a-Lot Plaza. According to the state’s press release, the money awarded Tuesday will go toward “demolition of two blighted commercial buildings and new construction of a 78-unit mixed-income, mixed-use and supportive development.” The project “includes 16 units with supportive services for veterans with disabilities and commercial space intended for a childcare facility.”

The $11.1 million is part of a $270 million outlay Hochul announced for 28 housing projects across the state.

“Financing for the projects is allocated by New York State Homes and Community Renewal (HCR), which provided $61 million in Federal and State Low Income Housing Tax Credits and over $200 million in subsidy to support the 28 projects,” according to New York state’s release. “When coupled with additional private funding and resources, the projects receiving funding are expected to create over $1 billion in total investment.”

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Vince DeJoy, city of Dunkirk planning and development director, said the demolition mentioned by the state will take down the Flickinger Building on Washington Avenue.

“This is a project the city started working on before I arrived (in 2021),” DeJoy said. He met with Regan Development about the project very soon after taking his job in Dunkirk, calling the company “an affordable housing developer that came highly recommended by a number of agencies across the state.”

The planning director emphasized that “This isn’t HUD, Section 8-type housing. These are apartments for people who have jobs.” Some of the housing will be for military veterans, he added.

The funding is part of Hochul’s crusade for affordable, safe housing across the state, exemplified in her “Pro-Housing Communities” program. DeJoy touted Dunkirk Mayor Kate Wdowiasz’s support of the program, noting she was at Hochul’s side in Albany when the governor announced the first cities to join.

He said that likely helped in a highly competitive application process for the funding — out of more than 1,000 applications, just 28 were chosen.

“I think that speaks highly of how the governor and New York state feels about Dunkirk,” DeJoy said. “There’s a need for good workforce housing in Dunkirk and I think this will be a very good start.”

The project was also awarded $500,000 in the city’s Downtown Revitalization Initiative, DeJoy said.