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Aug 26, 2026
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Waterbury to Build Affordable Housing for Healthcare Workers with State Funding

The City of Waterbury announced a groundbreaking affordable‑housing development designed specifically for the city’s healthcare workforce. The project, a partnership between the Connecticut Department of Housing and the city, will create 47 units across four buildings on the former Saint Mary’s Grammar School site.

Location and Community Impact

The site sits directly across from Saint Mary’s Hospital, a short distance from Waterbury Hospital, and within walking distance of downtown, public transportation, restaurants, and shopping. Mayor Paul Pernerewski emphasized that proximity to work is essential for attracting and retaining qualified medical professionals in the community.

“If we want to attract and retain healthcare professionals in our community, we need to make sure they have access to quality housing close to where they work, and this is what makes this project particularly significant,” Pernerewski said at a press conference.

Funding Details

The development is estimated to cost between $14 million and $15 million. Connecticut will contribute roughly $11.6 million, including $5.6 million from the state’s healthcare‑housing initiative, $4.6 million from flexible housing funds, and $1.5 million in loans that will be repaid. Ives Bank is providing an additional $2.2 million.

This project is the first to draw on a 2022 state measure that authorizes up to $20 million in borrowing for housing for healthcare workers. Department of Housing Commissioner Seila Mosquera‑Bruno noted that officials are already in early discussions with two other hospitals about similar affordable‑housing opportunities.

Unit Details and Eligibility

The Waterbury units will serve middle‑income families earning between $40,000 and $80,000 annually. Options include studio, one‑bedroom, and two‑bedroom apartments with rents ranging from $1,000 to $1,500. The development aims to provide stable, affordable homes for essential workers who might otherwise struggle with housing costs.

Community and Labor Perspectives

While the mayor hailed the project as “a major commitment to housing for healthcare workers,” representatives of SEIU 1199NE cautioned that reliance on affordable‑housing programs highlights insufficient wages for many essential staff.

“Essential healthcare workers should not have to rely on affordable housing programs simply to afford to live where they work,” the union said in a statement.

Construction Timeline and Future Plans

Developer Joe Gramando confirmed that applications for renters are now open. Construction is slated to begin after Labor Day and is expected to take 12 to 18 months. Gramando also indicated plans to seek state funds for a second, adjacent 50‑unit development targeting the same workforce.

Broader Context

Connecticut continues to face a shortage of registered nurses, needing thousands of new graduates each year to replace retirees and address burnout‑related departures. Affordable housing is one tool the state is using to support the healthcare sector, alongside efforts to expand nursing education programs.

The Waterbury project represents a tangible step toward stabilizing the local medical workforce while reinforcing the city’s commitment to family‑friendly, faith‑centered neighborhoods.


Original reporting: The Connecticut Mirror — read the source article.

OBBM Network Editorial Staff

[email protected]

Editorial team behind OBBM Network — independent, hyper-local journalism syndicated through HyperLocalLoop and OBBM Network TV.

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