The Schoolhouse Project located at 191 Washington Street in the City of Newburgh was awarded $2.5 million on Friday, May 31 in an effort to bring a long vacant former school building back to life. The project was one of four in the Mid-Hudson Valley area collectively awarded $19.5 million.

Empire State Development President, CEO, and Commissioner Hope Knight announced on Friday that 13 recipients were awarded Mid-Hudson Momentum Fund (MHMF) grants. These grants will support the construction of housing in the Mid-Hudson Valley Region of New York State.

Choice Words LLC, a full-service grant writing firm with offices in New Paltz and Ithaca, served as the lead grant writers for four of the winning developers. Four projects will take place with two in Poughkeepsie, one in Newburgh and one in Peekskill.

The project was under the direction of 191 Washington Street LLC, represented by development partners Sisha Ortuzar and Erik Cooney. The project went before the City of Newburgh Industrial Development Agency (IDA) requesting a 15-year payment in lieu of taxes (PILOT) agreement. The project would later go before the public at a hearing in December 2022. A second public hearing was on February 22, 2023 with no comments made on the project. The IDA approved the PILOT, but the developer has not yet closed on it.

The project would include creation of 70 residential units with 12 apartments and another 58 units in two new buildings. The auditorium of the former school building would be transformed into an 8,000 square foot brewery, tap room, and food stalls for local vendors, creating up to 15 jobs in its first few years of operation.

Another 7,000 square feet of commercial space will be included in the two new buildings where a complementary mix of retail, office, and light manufacturing tenants will generate activity and create additional jobs. The total cost of the project was reported at nearly $25 million.

As of Monday, June 3, the building appears to remain vacant and boarded up with no active work being conducted at this time. The hope again with the project is to revitalize the surrounding neighborhood.