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Developer Nixes Market-Rate Apartments For Homeless Shelter In The Bronx

Developer Nixes Market-Rate Apartments For Homeless Shelter In The Bronx
5731 Broadway in the Bronx, where a homeless shelter is planned.

A developer is facing local residents' complaints after changing plans for a lot in the Bronx.

The Stagg Group originally planned to build a market-rate apartment building at 5731 Broadway, just under the 1 Subway line and a block away from the Major Deegan Expressway, as recently as January. But in early July, the mayor's office announced that a seven-story, 83-unit homeless shelter operated by nonprofit Praxis will be built instead, the New York Post reports.

"It's a classic bait-and-switch," said State Assemblyman Jeff Dinowitz, who represents the area. "Nobody likes to be lied to."

Former Bronx Borough President Adolfo Carrion, who consults for the Stagg Group, reportedly brokered the deal, under which the city would pay Stagg $1,800 per room, or roughly market rate for the area at this point, the Post reports.

The city defended the new plan as part of its attempt to address the unmet needs of the homeless population with shelters such as this, rather than "cluster sites" or repurposed hotel rooms.