Brookhaven IDA approves $44M bond for assisted-living facility

The Brookhaven Industrial Development Agency has approved $44 million in tax-exempt bonds to help finance a proposed assisted-living facility in Lake Grove.

The IDA also approved a plan to allow the facility’s owners, BK at Lake Grove, to make payments in lieu of taxes, or PILOTs, to the town. The facility also will be granted exemptions from mortgage recording and sales taxes for construction materials and equipment, Brookhaven officials said in a news release.

Town officials said it is one of three Bristal assisted-living facilities proposed in Brookhaven. Bristal operates 11 facilities, including eight on Long Island.

The release did not provide details of the expected cost savings from the tax-free bonds or PILOT payments.

BK at Lake Grove has proposed a 136-unit, 120,000 square-foot development on five lots totaling 6.2 acres on Middle Country Road, east of Smith Haven Mall. Construction is expected to cost about $40 million.

“More and more seniors are choosing assisted living, and this facility will give them the opportunity to stay close to their family and friends,” Supervisor Edward P. Romaine said in a statement.

Town officials said the Lake Grove project qualified for tax-exempt bonds because at least 20 percent of the units will be affordable, or targeted for people who make less than 50 percent of the region’s median income. The bonds are to be repaid with revenues generated by the facility, town officials said.