Start of construction on $225 million North Aud Block in Buffalo's Canalside

Mixed-use development to create affordable housing & commercial spaces, broaden efforts to reconnect Buffalo to its historic waterfront

√ Photos of groundbreaking available here; renderings available here

Submitted by the Office of Gov. Kathy Hochul

Gov. Kathy Hochul announced the start of construction at North Aud Block, a $225 million mixed-use development in Buffalo’s Canalside. This transformative project will convert a vacant parcel into 251 affordable and market-rate apartments, and will include 18,000 square-feet of commercial space; 20,000 square-feet of open, community space; and 137 parking spaces.

The project is built on the site of the former Buffalo Memorial Auditorium, also known as the Aud, which closed in 1996. It is part of a comprehensive plan to redevelop the entire parcel of land where the Aud once stood – and follows last year’s opening of a visitor center there.

Under Hochul’s leadership, New York State Homes and Community Renewal (HCR) has created or preserved more than 11,600 homes in Erie County, including more than 8,300 in the City of Buffalo. North Aud Block continues this effort and is part of Hochul’s $25 billion, five-year housing plan, which is on track to create or preserve 100,000 affordable homes statewide.

“For too long, the North Aud Block has sat in the shadow of Canalside as a vacant reminder of the past, but today, we are rewriting its future as a vibrant destination on Buffalo’s historic waterfront,” Hochul said. “This transformation represents exactly what our strategy was designed to achieve: turning underutilized land into hundreds of new homes and enhancing an important economic corridor. By honoring Buffalo’s rich history while investing in the future, we are ensuring Canalside remains a premier, welcoming destination for generations to come.”

North Aud Block, developed by Pennrose, will appeal to families of varying sizes and income levels. It will feature 187 affordable units available to households earning up to 80% of the area median income. The remainder of the apartments will be market-rate. There will be a mix of studios, one-, two- and three-bedroom units.

The project’s design will retain the site’s connection to the former auditorium and will reflect portions of the area’s original 19th-century street grid. The facades will incorporate exposed brick, terracotta and metal paneling. The ground floor will consist of stone materials reminiscent of other historic downtown buildings nearby.

The buildings will be situated on the site to create a 20,000-square-foot public plaza along the canal, including seating and landscape features that will also serve as wind barriers and heat preservation. The open space will help connect the project to the surrounding Canalside neighborhood and KeyBank Center, home to the Buffalo Sabres and Buffalo Bandits.

While the project celebrates the historic auditorium, it will incorporate 21st-century amenities. The development will be all-electric, with heat pumps, energy recovery ventilation, ENERGY STAR appliances, water-conserving plumbing and electric vehicle charging. It will have fully accessible and adaptable apartments. There will be 13 units to accommodate residents with mobility disabilities and six units to accommodate residents with sensory disabilities.

The Erie Canal Harbor Development Corp., a subsidiary of Empire State Development (ESD), previously owned the North Aud Block site. The Aud was demolished by the state in 2009.

This project is part of the state’s plan to redevelop the entire former Buffalo Memorial Auditorium parcel of land. In November 2025, Hochul announced the opening of The Chandlery, a visitor center and retail store. The 14,000-square-foot, four-story masonry building evokes 19th century structures along the Erie Canal. A public art installation, Destination, also debuted then in commemoration of the Erie Canal bicentennial.

North Aud Block is supported by HCR’s Federal Low-Income Housing Tax Credit program, which is expected to generate more than $30 million in equity; its State Low-Income Housing Tax Credit program, which is expected to generate more than $35 million in equity and $65 million in subsidy. The project is also supported by ESD with $12 million from the NY-RUSH program, $10 million from the NY Works Economic Development Fund, and $2.5 million from the Regional Council capital fund program. The site is participating in the New York State Department of Environmental Conservation’s successful brownfield cleanup program and, when completed, would be eligible for approximately $20 million in tax credits administered by the New York State Department of Taxation and Finance.

NYS HCR Commissioner RuthAnne Visnauskas said, “This $225 million transformational development will help revitalize the Buffalo Canalside neighborhood and celebrate the Aud’s history while also providing housing for individuals and families of all incomes – from first responders, to nurses, to childcare workers, to bus drivers and more. We are thankful to Gov. Hochul’s bold vision and are grateful to the development team for their commitment.”

ESD President, CEO and Commissioner Hope Knight said, “Today’s groundbreaking at the North Aud Block is a testament to the power of strategic investment to maximize public benefits. This mixed-use development will not only drive foot traffic to Canalside, but it will also inject needed, diverse housing options directly into downtown Buffalo. Empire State Development is proud to support a project that supports Gov. Hochul’s housing goals and breathes new life into the Queen City.” 

ECHDC Chairperson Joan Kesner said, “From the demolition of the Aud in 2009 to years of planning and community input, ECHDC has been dedicated to creating a vibrant, mixed-use neighborhood that seamlessly bridges Buffalo’s historic 19th-century grid with modern housing and amenities. I want to thank Gov. Hochul for her unwavering commitment to Western New York and for helping turn this long-awaited vision into reality.”

Pennrose Regional Vice President Dylan Salmons said, “Today marks a significant milestone for Canalside in bringing a transformative mixed-income, mixed-use community to a long-underutilized site. North Aud will serve a broad range of incomes, creating a vibrant community that serves Buffalo’s workforce – teachers, nurses, first responders, young professionals – alongside market-rate residents. We are proud to contribute to Gov. Hochul’s ambitious housing plan, ensuring New York is affordable and livable for all.”