Elicker Seeks Federal Funds for Union Square Project

New Haven's mayor is pursuing federal money for a 2,490-unit mixed-income redevelopment after a $26 million grant request was rejected this fall.

Updated on Nov. 4, 2026 in Inflation

Elicker Seeks Federal Funds for Union Square Project

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New Haven Mayor Justin Elicker is seeking federal funding for the Union Square housing redevelopment after the federal government rejected a $26 million Choice Neighborhoods Implementation Grant application earlier this fall. The city and housing authority had applied for the grant to fund the first phase of the project.

Why it matters

Rising construction prices have made affordable housing far more expensive to build, and the project will require significant federal support to reach its intended number of affordable units. Elicker hopes additional federal dollars will help close funding gaps in New Haven's housing projects.

The city and housing authority sought $26 million through a Choice Neighborhoods Implementation Grant, which was rejected this fall, for a 2,490-unit mixed-income redevelopment. The source does not say what alternative funding sources are being pursued.

The players

Justin Elicker

Justin Elicker is the mayor of New Haven, Connecticut, who is pursuing federal funding to support the city's housing redevelopment efforts.

Rosa DeLauro

Rosa DeLauro is a Democratic U.S. Representative from Connecticut who won a 19th two-year term and is expected to return as chair of the House Appropriations Committee.

The details

The Union Square redevelopment is planned at the former Church Street South apartment complex site and the current Robert T. Wolfe apartment building site. Elicker was interviewed Wednesday after an unrelated press conference at police headquarters and discussed the funding outlook following the midterm elections.

Timeline

  1. Earlier this fall: Federal government rejected the $26 million Choice Neighborhoods grant application.

  2. Tuesday, November 3, 2026: Midterm elections held; Democrats won majorities in the House and Senate.

  3. Wednesday, November 4, 2026: Elicker interviewed about federal funding.

  4. 2027: Democrats are set to take control of Congress.

Economics Context

The rejection of a $26 million Choice Neighborhoods Implementation Grant for the Union Square project shows how rising construction costs are straining federal housing grant pathways that cities depend on. Elicker's continued push for federal aid reflects a pattern of local governments seeking federal dollars to close the gap between affordable housing goals and current building costs.

Rising construction costs make affordable housing projects like Union Square harder to finance, which can affect how many affordable units New Haven residents eventually see built. Residents watching local housing policy should track whether the city secures replacement federal funding in the coming months.

The takeaway

Large affordable housing projects depend heavily on federal grants, so a single rejected application can reshape a local project's timeline and scope. Readers interested in local housing decisions should follow city budget and federal funding announcements closely.

Further reading

For more on how construction costs are shaping housing budgets, see Inflation coverage.

Source note: This article includes information reported by New Haven Indy.

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