Walter I.M. Hodge Pavilion Recognized by Novogradac Journal of Tax Credits and National Association of Housing and Redevelopment Officials
October 07, 2025
Walter I.M. Hodge Pavilion Recognized by Novogradac Journal of Tax Credits and National Association of Housing and Redevelopment Officials
The $116.7 million affordable housing preservation project managed and executed by the Virgin Islands Housing Authority and MDG Design & Construction was recognized for its comprehensive rehabilitation, innovative financing structure, and key role in fostering community development.
St. Croix, US Virgin Islands – The Virgin Islands Housing Authority (VIHA) and MDG Design & Construction (MDG) are excited to announce that Walter I.M. Hodge Pavilion has been named the 2025 Rural Community Impact Development of Distinction by the Novogradac Journal of Tax Credits and a 2025 Affordable Housing Award of Merit recipient as part of the National Association of Housing and Redevelopment Officials (NAHRO) Community Innovation Awards Program. The revitalization of Walter I.M. Hodge Pavilion utilized a unique funding structure to conduct comprehensive updates at the site, ensuring continued affordability and ample community resources for residents while prioritizing enhanced resiliency, quality of life, and operational efficiency. The project was the first in VIHA’s long-term plan to renovate and revitalize its affordable housing portfolio throughout the U.S. Virgin Islands.
“These two prestigious awards highlight the transformative impact of public-private partnerships and the resilience of our St. Croix community,” said Lydia Pelle, Chief Operating Officer of the Virgin Islands Housing Authority. “Walter I.M. Hodge Pavilion is more than just a housing development; it’s a symbol of opportunity and resiliency for Virgin Islanders. VIHA and our incredible partners at MDG Design & Construction are proud to continue leading the charge in reimagining affordable housing, and these recognitions affirm our work.”
“This recognition is a powerful reminder of what we can achieve when vision, resilience, and collaboration come together for the people of the Virgin Islands,” said Dwayne Alexander, Executive Director of the Virgin Islands Housing Authority. “Walter I.M. Hodge Pavilion is not just a rehabilitation project—it represents dignity, opportunity, and long-term stability for our families on St. Croix. These awards affirm our unwavering commitment to transforming public housing into thriving communities across the Territory.”
Originally built in 1971, Walter I.M. Hodge Pavilion, located in Frederiksted, St. Croix, sustained severe storm damage from Hurricanes Irma and Maria in 2017, leaving more than 100 of the site’s 248 units uninhabitable. Completed from 2022 to 2024, the rehabilitation modernized the development and strengthened the site’s resilience to natural disasters, including comprehensive and sustainable renovations to all apartments, storm and wind resistant features, and beautification measures to encourage the use of community spaces.
The revitalization project also included funding to implement a robust resident wellness and empowerment program called Bright Path, supporting educational opportunities, job placement, and the physical and social health of all residents. As part of this programming, J. Benton Construction, the St. Croix-based general contractor on the project, has driven job creation within the local community by providing residents and St. Croix-based subcontractors with job opportunities. Upon project completion, over $11 million in Minority and Women-Owned Business Enterprise (M/WBE) contracting was completed, and there were over 250 Section 3 hires. Since the project began in 2022, residents and the greater community have also taken advantage of exciting events, including a job fair hosted by J. Benton, a youth basketball clinic with trophies and prizes hosted by Senator Kurt Vialet, a book donation event with the Zeta Phi Beta Sorority, multiple community health and wellness fairs, and a resident Holiday Soiree.
The rehabilitation of Walter I.M. Hodge Pavilion was made possible through strong partnerships and innovative financing, including the first ever use of HUD’s RAD program in the U.S. Virgin Islands and the first ever application of HUD’s Community Development Block Grant-Disaster Recovery (CDBG-DR) program to a housing project. Additional funding was provided by the Federal Emergency Management Agency (FEMA) and 9% LIHTCs. The VIHA and MDG development team navigated complex coordination across federal agencies to ensure that all regulatory obligations were met successfully.
From the official Novogradac press release, Rebecca Arthur, MAI, Partner with the Valuation Group of Novogradac and Chair of the Nashville conference said, “These awards are a great example of the extensive possibilities in affordable housing. This year, we highlight a variety of types of housing in a wide range of locations around the country. They’re an example of why affordable housing is so important and impactful.”
From the official NAHRO press release, in a joint statement, NAHRO President George Guy and NAHRO CEO Mark Thiele said, “The affordable housing crisis is a national challenge, but every solution begins at the local level. This year’s winners represent agencies of every size and setting, including rural, urban, and suburban communities that range from small to large. What unites them is a shared purpose: creating opportunity, advancing community priorities, and serving with both imagination and compassion. Their programs demonstrate what leadership in action looks like, from redeveloped housing and health initiatives to workforce succession planning, AI integration, and educational programming that opens doors for the future.”
A huge thank you to all partners who made this project possible, including HUD, FEMA, Virgin Islands Territorial Emergency Management Agency (VITEMA), U.S. Virgin Islands Office of Disaster Recovery (ODR), Virgin Islands Housing Finance Authority (VIHFA), Merchants Bank of Indiana, Goldman Sachs Bank, J. Benton Construction, LLC, and Cost Control Company, Inc.
About Virgin Islands Housing Authority
The Virgin Islands Housing Authority (VIHA) is empowered with the responsibility for planning, financing, constructing, maintaining, and managing public housing developments in the Territory. The birth of VIHA dates back to 1941, when the municipal councils of St. Thomas, St. John, and St. Croix combined their housing authorities into a single public housing corporation operating under the provisions of the U.S. Housing Act of 1937 and the Virgin Islands Code. Today, VIHA is funding the $1 billion transformation of its entire portfolio of public housing on St. Thomas and St. Croix, leveraging its credibility to raise unprecedented financial resources and its leadership to attract best in class partners to get the job done.
About MDG Design & Construction LLC
MDG Design & Construction (MDG) is a leading affordable housing-only contracting and development firm specializing in the rehabilitation and new construction of quality affordable housing. MDG is considered the foremost rehabilitator of occupied housing and is known to be one of the most creative builders in New York City, with their reach expanding across upstate and into New Jersey, Connecticut, Delaware, Pennsylvania, Florida, the U.S. Virgin Islands, and beyond. For over 35 years, our hands-on approach and people-first philosophy has resulted in effective collaborations with developers, tenant organizations, community groups, and staff to produce high quality homes that residents are proud to live in. To date, MDG has created or preserved 23,500 units of affordable housing and is responsible for over $3.9 billion invested in New York City’s underserved communities. Learn more at www.mdgny.com.
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