Construction is underway on Wallace Campus, a $147 million adaptive reuse and ground-up mixed-use development bringing 187 affordable housing units to Main Street in the city of Poughkeepsie in Dutchess County. The project centers on converting a long-vacant former Wallace Department Store and adding two new residential buildings, advancing a high-profile neighborhood reinvestment effort along the Main Street corridor.
The redevelopment is a component of New York Gov. Kathy Hochul’s $25 billion, five-year Housing Plan, which is designed to create or preserve 100,000 affordable homes statewide. State leaders are positioning Wallace Campus as both a housing initiative and an economic development catalyst, emphasizing that new residents and activity on Main Street are expected to support local businesses and strengthen the downtown core.
Gov. Hochul characterized the project as a broader commitment to Poughkeepsie’s future, noting that Wallace Campus is intended not only to expand affordable housing options but also to generate new economic activity and maintain an important part of the city’s history. By reusing the existing department store structure and knitting it into new construction, the development seeks to blend historic preservation with contemporary housing needs.
Mega Development Group and Ametrine Group are leading the project, which will deliver a total of 187 affordable apartments. Plans call for transforming the former Wallace Department Store into 69 residential units, while two newly constructed buildings on the site will contain an additional 118 apartments. The mix of adaptive reuse and new construction is intended to activate a prominent site that had been underused.
The development team is working in partnership with Mental Health America of Dutchess County, which will provide onsite social services. This collaboration is aimed at supporting residents with access to resources and programs while reinforcing the community-focused nature of the project. The inclusion of a services provider within the campus is also intended to help ensure long-term housing stability for tenants.
With construction now launched, Wallace Campus is positioned as a significant affordable housing and revitalization effort for Poughkeepsie, combining public-policy support, private development expertise and social services to convert a vacant retail asset into a residential community. The project underscores how legacy commercial properties along traditional Main Street corridors are being repositioned to meet current housing demand and community priorities.
