VIHFA Secures Lease for Historic Frederiksted Senate Building for CDBG-DR Program Administration
Two leases which are expected to support economic development in the territory were approved by the Senator Committee on Budget, Appropriations and Finance on Tuesday.
2024-03-20 13:44:11 - VI News Staff
Lawmakers considered the V.I. Housing Finance Authority’s request to lease the former Legislative building complex in Frederiksted. VIHFA plans to renovate the two existing buildings on the .63-acre property in order to consolidate its operations and administer critical programs like the expenditure of Community Development Block Grant Disaster Relief (CDBG - DR) funds.
The proposed 15-year lease with two optional 5-year renewals at a peppercorn rate of $12 annually would allow the agency to invest an estimated $2 million in required renovations without the burden of high rental and administrative costs.
VIHFA Chief Financial Officer Valdez Shelford told lawmakers that the funding is already secured for the renovations, which will include a full replacement of the HVAC system, replacement of windows, and electrical system upgrades. Construction Manager Jason Brown estimated that the work would take between six to eight months to complete, once environmental testing has concluded.