Tompkins County Gets $1M for South Hill Housing Project

Tompkins County Receives $1 Million for Major Housing Infrastructure Project

Tompkins County has been awarded $1 million through New York State’s County Infrastructure Grant Program to support infrastructure development for The Woods, the first phase of a large-scale redevelopment project on Ithaca’s South Hill. This funding marks a significant step forward in transforming a long-vacant industrial site into a vibrant, mixed-income neighborhood.

The Vision Behind SouthWorks Ithaca

The SouthWorks Ithaca development plan is ambitious and comprehensive. It includes 915 total residential units, covering 900,000 square feet of housing. Additionally, it features 821,000 square feet of adaptively reused industrial and commercial space. The project will also incorporate mixed-use development, including light industrial, commercial, restaurant, retail, and recreation areas.

The neighborhood will be designed with open spaces, recreational areas, and modernized infrastructure to create a welcoming environment for residents. The site has a rich history of industrial activity, having once been home to various manufacturers. From industrial chains and automotive parts to critical components for bicycles, motorcycles, typewriters, and calculators, the location was once a hub of production.

During World War I, the Tommy Plane was built at this site. Morse Chain operated there from 1906 until 1928, when it merged with BorgWarner. The facility remained under BorgWarner’s ownership until 1982, after which Emerson Power Transmission continued manufacturing until its closure in 2011.

The $1 Million Grant and Its Impact

This $1 million award, announced as part of the first round of funding under the County Infrastructure Program, allows Tompkins County to begin developing housing units on the previously vacant industrial site. In early 2025, New York State released its first application round for the County Infrastructure Grant Program through Empire State Development (ESD), offering up to $1 million to counties for small to mid-size infrastructure projects, with a focus on housing-related developments.

Tompkins County’s Department of Planning and Sustainability brought the opportunity to the Legislature’s Housing and Economic Development Committee. The committee directed staff to issue a Request for Expressions of Interest (RFEI) focused on projects supporting housing development, ideally including affordable units. The Legislature selected The Woods at SouthWorks Ithaca after a competitive process for submission to ESD.

The Woods is the first residential phase of SouthWorks Ithaca, a mixed-use redevelopment of the former 95-acre Emerson Power Transmission industrial site on South Aurora Street. This project aims to create a mixed-income neighborhood in the city and town of Ithaca.

With environmental review complete and zoning approvals secured, this $1 million grant will fund essential infrastructure to unlock the first 100 affordable housing units in The Woods. This includes public road and roundabout construction, water distribution, sanitary sewer laterals, stormwater collection, and erosion and sediment control measures.

Community Reactions and Support

Community leaders and developers have expressed enthusiasm about the project. A recent statement from Tompkins County Administration highlighted the reactions of officials and developers to the transformational development.

County Legislator Greg Mezey, Chair of the Housing and Economic Development Committee, stated, “This infrastructure investment is a major milestone for Tompkins County and a launchpad for mixed-income housing.” He added, “We are excited to see a long-vacant property transform into a thriving, inclusive community, starting with affordable apartments, thanks to this state funding.”

The $1 million County Infrastructure Grant is matched entirely through other grants and private investment, at no cost to County taxpayers. Equity partners include Shift Capital, LLC, L Enterprises, USC Builds, Xylem Projects, and Beacon Communities, LLC.

Robert Lewis, Development Project Manager at Shift Capital, said, “This grant unlocks our first residential units in the form of an affordable housing project with Beacon Communities.” He emphasized the significance of the project, stating, “This is a huge step towards our commitment to bringing 915 units of housing to Tompkins County and the Ithaca community.”

Katie Borgella, Commissioner of Tompkins County Planning and Sustainability, praised the grant, saying, “This is exactly the kind of smart, targeted investment that turns community vision into reality.” She added, “This grant positions Tompkins County to lead on affordable housing, sustainable redevelopment, and economic revitalization, all while preserving local character and leveraging private capital.”