City of Newburgh Lands $11 Million in State CFA Funding
One Lafayette Project - City of Newburgh
ALBANY—The City of Newburgh has received a combined nearly $11 million in funding to support a number of economic development projects, including new housing developments and work on creating a city port that can eventually accommodate Hudson River cruise ships.
To close out 2025, Empire State Development announced on Dec. 30 that the Mid-Hudson region was awarded $53.1 million through Governor Kathy Hochul's 2025 Regional Economic Development Council Consolidated Funding Application initiative and another $10 million to be used toward future high-impact projects.
The funding will support 53 projects across seven counties, leveraging nearly $216.9 million in additional public and private investments, state officials said.
In Orange County, in addition to the $900,000 secured by Choice Fims for its new studio development in Montgomery (see separate story), the big winner was the City of Newburgh, which secured nearly $11 million in funding for a variety of projects including a new deep-water pier at the Newburgh Waterfront. The city received $2 million in state funding, which builds on $4 million in federal grants secured by Rep. Pat Ryan (D-18th District) for the deep-water port project aimed at attracting river cruise liners to the city.
Also receiving state funding was Cornwall for a 52-room, fully carbon-neutral project, which will be the first Passive House-certified boutique hotel in New York State. Drowned Lands Brewery is receiving $500,000 from New York State to make improvements to its craft brewery operations housed at the former Mid Orange Correctional Facility in Warwick.
Commenting on Newburgh’s state funding assistance. Newburgh Mayor Torrance Harvey said, “Newburgh is on the rise because we are building our city back so that it works for everyone—where progress is shared and possibilities are limitless. We are grateful for Gov. Hochul’s continued support of our work to spur housing production, upgrade our infrastructure for future growth, and reclaim our waterfront as an engine for jobs and regional connectivity.”
The following are the individual project awards for the City of Newburgh:
Orange County, City of Newburgh, Liberty Street Long Term Control Plan and Reconstruction ($6,895,000)
The City of Newburgh will modernize critical public infrastructure to allow for further development and enhanced quality of life. Infrastructure components include water, gas, sewer and road infrastructure. This investment will allow for at least three new mixed use housing projects to move forward, creating 209 new mixed-income apartments in downtown Newburgh.
Orange County City of Newburgh, New Newburgh Landing ($2,000,000)
The City of Newburgh will construct a new deep-water pier at the Newburgh Waterfront, inviting river cruises to dock and allowing thousands of new tourists to experience the unique charm of Newburgh restaurants, parks and nightlife.
Orange County, City of Newburgh, One Lafayette ($2,000,000)
One Lafayette is a mixed-use development combining mixed-income affordable and workforce housing with retail/commercial space. The project is an infill development located within a New York State designated disadvantaged community at the intersection of Liberty St. and Lafeyette St. just a few blocks from the Hudson River in the City of Newburgh, Orange County. The development of approximately 200,000 square feet will create a single five story building comprised of residential housing units and retail space. Featuring 9,000 square feet of commercial/retail space with high visibility and walking traffic along Liberty Street and 145 housing units: 127 units of affordable to area households earning 30-80% of area median income, and 18 market rate units. Additionally, the lower level will include indoor parking with EV charging stations and storage. The project will result in an all-electric building with ENERGY STAR® appliances, geothermal heat pump and air-tight envelope to reduce energy consumption and help improve the economic and cultural vibrancy of the surrounding neighborhood.
Other notable CFA awards to Orange County of $500,000 or more included:
Orange County, Cornwall, The Cornwall Arms: a Carbon-Neutral Catalyst for Main Street Revitalization ($1,808,075)
The Cornwall Arms will transform a long-abandoned, contaminated site on Cornwall’s Main St into a 52-room, fully carbon-neutral, first Passive House-certified boutique hotel in New York State with a restaurant and bar. This project restores a gateway to the historic town, reversing years of disinvestment and advancing the MHREDC’s vision to make the region a better place to live, work, and play. Powered by on-site solar, the project will utilize all-electric systems, be built with low-carbon materials to become the first hotel of its kind in New York State. The project creates 35 permanent jobs, boosts local tourism, and demonstrates how environmental leadership and economic revitalization can go hand in hand by converting a long-standing liability into a cornerstone of Main Street revitalization. The new hotel and restaurant are expected to draw thousands of visitors annually.
Orange County, Village of Warwick, Craft Beverage and Tourism Enhancement Initiative ($500,000)
Drowned Lands Brewery, located at the former Mid Orange Correctional Facility, will diversify their brand through the transformation of their outdoor space into an outdoor event and festival destination and create a new tourist and community hub in the Hudson Valley. This expansion will allow for a wide range of potential on-site events from craft beverage festivals, corporate retreats, music festivals and family or community events.