Summary
The vacant former Steinbach's building is being converted to mixed use with the library on the ground floor and apartments above, plus a public rooftop. To close a 30-50% budget gap from higher construction bids, the owner trimmed facade alterations to qualify for historic tax credits — trading some design flourishes for a guaranteed tenant and a project that can actually get built.
At a glance
- Total mentions
- 14
- Last 30 days
- 3
Discussed at 2 meetings in the last 60 days; most recently Oct 29, 2026.
Impact analysis
Historic tax credits are filling a 30-50% budget gap from construction bids, and the project could start demo this year.
Downtown residents and visitors gain an activated anchor building with a library, housing, and a public rooftop across from Main Street.
The city forgoes property tax revenue on the parcel during the exemption period.
Mentions & discussions (4)
Historic & Landmarks Preservation Board Meeting - Oct 29, 2026
The vacant former Steinbach's building is being converted to mixed use with the library on the ground floor and apartments above, plus a public rooftop. To close a 30-50% budget gap from higher construction bids, the owner trimmed facade alterations to qualify for historic tax credits — trading some design flourishes for a guaranteed tenant and a project that can actually get built.
Planning Commission Meeting - Oct 15, 2026
The library is moving into the old Steinbeck building, getting a children's area, teen space, STEAM lab, mezzanine offices, and even a rooftop amenity. Approvals expire April 2027, so construction needs to move quickly — potentially starting early 2027.
Industrial Development Agency Meeting - Jun 23, 2026
The Children's Village project — a former state office building becoming a library, affordable apartments, and rooftop space — got Common Council approval and is expected to close within 60 days, pending financing.
Work Session Meeting - Jun 1, 2026
The Peekskill IDA approved a PILOT for turning the historic 'Workers Comp Building' into the new Field Library home with 22 affordable apartments. Property taxes are paid for 2026-2027, then a six-year full exemption applies while historic tax credits fund about $4 million of the project, offset by a municipal impact fee starting at $33,000 a year and rising 3% annually through 2045.
Related development
418 North Division Street Mixed-Use Affordable Housing
Could clean up a long-blighted corner and bring affordable homes plus a daycare and arts space, but the commission wants the height toned down before recommending it.
38 North Division Street – Whiskey River
Whiskey River can finally move toward a building permit and get that outdoor patio built.
41 North Division Street adaptive reuse (former Steinbeck building / Children's Village)
Keeps a $-gap-plagued downtown revitalization project moving; construction could begin as soon as this year with the library as the ground-floor tenant.
41 North Division Street — Children's Village / Field Library adaptive reuse
Downtown gets a landmark building back in use, a modern library with regional draw, and affordable units — while the city collects a $33,000/year escalating impact fee on an otherwise tax-exempt property.
We'll email you when it's on an upcoming agenda and when it's voted on, at most once a day.
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