Harlem opens new building.

CPC Resources, Inc., the development subsidiary of the Community Preservation Corporation, along with the New York City Housing Development Corporation, celebrated the grand opening of 138 E. 112th St. recently, a 43-unit rental apartment building reserved for middle-income residents in East Harlem.

The new, seven-story elevator building offers one-, two- and three-bedroom apartments at affordable rents that compete favorably with the booming Harlem housing market.

Market rents in East Harlem currently range from $1,150 for one-bedroom apartments to $2,500 for three-bedrooms. Rents at 138 E. 112th St. will be at the lower end of that range.

At today's grand opening ceremony, CPC Resources president and CEO Michael Lappin said, "East Harlem is experiencing a tremendous rejuvenation. We are proud to be among the pioneering developers who had the vision in late 2002 to bring new affordable housing to help stabilize the community and provide needed housing for the area."

CPC Resources acquired the property from a private owner and is the sole developer of the project.

The development was financed through HDC's New Housing Opportunities Program, which aims at providing low-cost financing for the creation of affordable housing to middle-income people. This program, which uses the proceeds from the sale of taxable bonds to make low-cost mortgages, provided $6.2 million in construction and permanent loan financing. The bonds were credit-enhanced during the construction phase with a letter of credit from HSBC Bank.

A second mortgage was made for 138 E. 112th St. in the amount of $1.6 million. There was also a letter of credit from the Bank of China.

Emily A. Youssouf, president of New York City Housing Development Corporation, said, "This development represents 43 of the more than 17,000 apartments we have created or preserved throughout the City as part of Mayor Bloomberg's New Housing Marketplace Program. The plan's objective is to offer affordable housing opportunities for low-, moderate- and middle-income housing. With the renewed popularity of East Harlem we are pleased to be able to offer financing solutions that help keep prices affordable."

Jennifer Hall, a computer programmer who is among the building's first tenants, said, "I just moved here from the Upper East Side and I'm thrilled with my larger apartment and better views. It's thrilling to see the sun rise over the East River every morning."

The building is located five blocks from Central Park and within walking distance from a variety of shops, restaurants and public transportation venues. The #6 train is two blocks away at Lexington Avenue and East 110th Street, and the #3 train is on Lenox Avenue, six blocks away.