SouthWorks Wins ACHIEVE Competition
We at SouthWorks are excited to announce our receipt of a significant $38 million award from New York State Governor Kathy Hochul’s office. This vital state funding will enable massive progress on crucial infrastructure build-outs and continued environmental remediation.
Importantly, it lays the groundwork for future investments, and ultimately paves the road ahead for SouthWorks’ anchor projects: a workforce development center that fosters a skilled trades labor force in the region; scale-up space that improves retention of the Southern Tier’s growing start-ups; and locally-responsive amenities within an integrated, livable neighborhood.
SouthWorks won the grant in the governor’s statewide Advancing Collaboration for High-impact Initiatives for Economic Visions (ACHIEVE) competition, as the submission for the Southern Tier Regional Economic Development Council (STREDC). SouthWorks also received a $5 million Empire State Development grant through the Town of Ithaca to support Beacon Communities’ housing development in the Woods.
For the SouthWorks team, these wins affirm the value of deep partnerships with municipal and state-level entities.
“With 100-year-old infrastructure, steep slopes, and ambitious goals around workforce development, environmental impact, and affordability mix, this project cannot happen without support,” said Robert Lewis, SouthWorks development project manager. “Luckily, we’ve had amazing supporters in the form of the City and Town of Ithaca, Tompkins County, the Southern Tier, and of course NY State and Governor Hochul. It’s this team that makes progress on the site possible.”
In the Works
Emerson Power Transmission, the site’s former occupant, vacated the century-old factory in 2011. Since then, the site has come a long way in its activation process. SHIFT Capital, L Enterprises, USC Builds, and Xylem Projects — the SouthWorks ownership team — have begun the slow work of transforming the aging complex into a thriving destination neighborhood.
“This didn’t happen overnight and didn’t happen without a coalition,” said Brian Murray, CEO of SHIFT Capital. “Ten years of entitlement and environmental clean up — with private sector funds (from L Enterprises/David Lubin) and with key support from a responsible seller (Emerson). Then three years building our team, communicating with stakeholders in the region and opening our doors to the community. In short, we were ready for the moment.”
After years of environmental remediation, talks with local and state entities, and the careful construction of a local Ithaca-based team, SouthWorks welcomed its first tenant, FOUND in Ithaca, to the campus last month.
ACHIEVE funds will most directly support critical site-wide infrastructure projects that are essential to deeper, more comprehensive development. We’re planning to modernize the campus’s aging water, road, and sewer systems with the goal of building an environmentally resilient community — activations that are difficult to finance on their own.
Workforce Development
ACHIEVE dollars will also spur greater private investment, and propel us toward future phases of the project. That’s why SouthWorks is excited to pilot our workforce development program alongside these infrastructure plans, where burgeoning local talent in the trades will learn carpentry, drywall, electrical, HVAC, plumbing, and masonry in a living laboratory: the developing SouthWorks site itself.
Livingston Associates and Ascend Workforce Solutions will work together to spearhead these projects, in partnership with local organizations that will develop training curricula. These partners include: Tompkins County Workforce Development, Tompkins Build, New Roots Charter School, SUNY Delhi, Cornell Cooperative Extension Energy Warriors, Finger Lakes ReUse, and Groton Central School District.
And because SouthWorks is an adaptive reuse project with a commitment to sustainability, this program will help train the next generation of clean builders versed in weatherization and green energy electrical.
With the inclusion of other wraparound services like training stipends, on-site childcare, and career mapping services, we’re endeavoring to remove barriers to workforce participation and reimagine who a tradesperson can be.
From Start-Up to Scale-Up
In tandem with workforce development and site-wide infrastructure improvements, SouthWorks plans to build-out a permanent advanced manufacturing scale-up facility that supports business growth and retention in the Southern Tier. These spaces bridge the gap between business incubators and standalone facilities, and allow promising entrepreneurs to continue growing in Ithaca.
With 70,000 sq. ft. dedicated to thriving Ithaca manufacturing start-ups, we have interest from businesses in materials science, waste processing, building materials, and energy systems. The co-location of diverse and sustainability-forward companies will support innovation in the region while positioning SouthWorks at its center.
Livability
These investments will prepare SouthWorks to become a truly integrated and livable neighborhood. With ACHIEVE funding, we plan to invest millions of dollars in recreation and culture, including through indoor sports activities, a craft beverage space, and a multi-season event space.
The $5 million Pro-Housing Supply grant from Empire State Development will further support our investment in the Southern Tier’s workforce. With it, we can advance our partnership with Beacon Communities and begin infrastructure operations that directly enable the construction of income-diverse townhomes and multi-family apartment buildings. This will contribute to a total of 915 housing units across the entire campus.
Looking Forward
As we continue to chip away at realizing this dream, we know there is a long road ahead. The ACHIEVE grant equips us to build on our past accomplishments and accelerates our timeline for creating a community-driven economic engine right here in Ithaca, NY. Crucially, the grant also empowers us to tackle multiple interlocking aspects of the development process and will lead to tangible results in both the short and long terms.
“SouthWorks was never going to be an easy project, but it’s an incredibly meaningful one that delivers incredible value to our community,” Rob Lewis said. “This support from New York State helps bring this neighborhood to life.”
About SHIFT Capital
SHIFT Capital is a neighborhood investment group and Certified B Corporation that executes real estate projects and financing strategies focused on creating just and equitable communities for the long term. SHIFT puts purpose first and believes this drives stronger outcomes for communities, society, and its investors. Through its investment platforms, SHIFT has over $400 million in real estate assets under management, over $100 million in equity under management, and over 1,000 residential units developed and in its pipeline.
