Five of the eight Round 1 Downtown Revitalization Fund (DRF) projects have been completed as of Feb. 19, City of Peekskill planning consultant Abi Oridedi told the Peekskill Herald, with more expected to blossom in the spring.
In October 2022, the City of Peekskill announced its first group of DRF awardees, using grant funds from the Downtown Revitalization Initiative (DRI). A second round was announced in May 2025.
Grant funds from the DRI are used to assist local businesses and property owners in planning and paying for capital improvements.
The goal is to elevate the downtown experience, promote business growth, and attract new tenants, shoppers, residents, and businesses. Applicants were required to provide a minimum 10% match of funds.
Peekskill Herald met with several applicants to report on how the Round 1 projects are developing.
More Than Halfway There: Five of Eight Round 1 Projects Are Finished
With a total of $532,780 grant funding, Round 1 applicants included Early Electrics, an artist loft at 901 South Street, Flat Iron Building, Hudson Valley Gateway Chamber of Commerce, Whiskey River, Terra Dulce Bakery, The Fern Tree, and 23 S. Division Street.
(One original awardee, Charlie Who Cafe, dropped out. Its allocation of funds was used for two previously waitlisted projects from Round 1. Another original Round 1 awardee, Peekskill Brewery, went out of business. Its allocation of funds was used for Round 2 projects).
#1 > Early Electrics: Restoration of Historic Building
One of the first recipients to have their project completed was Early Electrics (EB Studios), a lighting store at 115 N. Water St.
The project, which was finished in 2025, entailed authentic restoration of the historic building and improved energy efficiency by replacing 27 upper-floor windows, installing an HVAC system, and reroofing the building. The project cost $92,000, with a match of $28,888 from the applicant.
Steven Erenberg, owner of the lighting store, told the Peekskill Herald that the project had enabled air conditioning throughout the building, making it more comfortable for employees and customers.
Erenberg said it was worth doing but said at one point he did not believe the project would ever come to fruition due to how long it took. He said the state required ground testing and a survey of the property that cost thousands of dollars.
“It took forever. I don’t know if I’d do it again,” Erenberg said. “It took three years of paperwork and just dealing with governments. They had to dot every i and cross every t, but they did the work. It was done well, and they did pay us quickly after everything got done.”
#2 > Artist Loft: Sculpture Garden and Solar Panels
Larry D’Amico’s artist loft at 901 South St. was completed last fall.
The project brought the addition of an outdoor artist display area, workspace, and sculpture garden, as well as a solar panel installation on the roof. The project cost $108,809, with a $29,901 match from the applicant.
D’Amico told the Herald he will coordinate a monthly open studio event with the other artists in the building once the garden is open to the public.
D’Amico said the sculpture garden in the courtyard remains in progress, noting sculptures will most likely be switched in and out frequently. The loft will also trim a hedge in the front to make the garden more visible from the street.
Asked what it was like working on the project, D’Amico said, “I had to talk to the [City’s Historic and Landmarks Preservation Board], so that was challenging, especially for the solar on our buildings. This building is an 1845 Greek revival church originally, so there were challenges with that. But in the end the pain is over. It was worth it.”
#3 > Flatiron Building: New Historic-Style Windows
A window replacement project at the Flatiron building, owned by 101 S. Division Street Partners LLC, was finished in 2025.
The project included the replacement of upper-floor windows with new historic-style windows to complete exterior restoration work on the building, in addition to a water heater replacement. The project cost $130,000, with a match of $33,991 from the applicant.
Sunny Cover, owner of both the building and Peekskill Coffee House inside it, told the Herald that as a result of the project, the building is quieter, the studios are warmer, and the windows are safer.
“I think it looks amazing,” Cover said. The coffee house [has] been there for 23 years, and I’m really just super proud of how the building has turned out with removing all of the paint from it, then redoing all of the trim, and now seeing those windows installed with matching trim colors to the rest of the building. It just really looks so beautiful so I’m super proud of it.”
Cover said the project had an “amazing architect” in Joseph Thompson. The project had to be approved by the city’s historic board and also required environmental studies and testing. The project was initially applied for in 2019 and was cleared to commence in 2025.
“The entire project cost way more than what we had originally asked for and I feel that part of that has to do with the halt that happened from the pandemic and five years of inflation,” Cover said.
“Everything costs way more than the initial quotes. In 2019, we were looking at what this might cost and it is a totally different thing to do six years later.”
#4 > Chamber of Commerce: Signage, Lighting, Lobby
The Hudson Valley Gateway Chamber of Commerce recently held a ribbon-cutting on Jan. 28 to celebrate its renovated downtown headquarters at 1 S. Division St.
The project replaced the modern storefront with original historic design, brought new signage and lighting, and improved the lobby area at a cost of $78,900, with a match of $10,083 from the applicant.
Carole Voisey, executive director of the chamber, told the Herald there is a short punchlist of things that need to be completed but nothing major.
“The project, as far as we’re concerned, is finished,” Voisey said. “It expanded our tourist vestibule, so that is probably the biggest improvement. We also had the refacing of the front of the building, and we now have an electronic kiosk in our tourism vestibule that people can access and interact with to find out where to eat, where to shop, where to explore.”
The electronic kiosk, part of a separate working capital grant from Empire State Development, lists information on upcoming community events, arts and entertainment, and directions to restaurants in Peekskill and the local region. It includes handicap accessibility and different languages. The grant was funded through the chamber’s foundation, which focuses on tourism. The grant also pays for promoting the new electronic information kiosk. The chamber will advertise how to interact and utilize it closer to the spring. For more information, click here.
“We are trying to go into the age of electronics. It’s not that we won’t have some papers here to advertise other people’s events,” Voisey said, adding they have printed matter used on a local walking tour and by the business improvement district. “People still like paper, so we’re easing them out of it.”
#5 > Whiskey River: Outdoor Dining Remains in Progress
A project to bring an outdoor dining experience to the rear of American cuisine restaurant Whiskey River at 38 N. Division St. has procurement in progress to begin construction, said DRF consultant Abi Oridedi.
The project includes expanding the business with a patio at the rear of the building for outdoor dining, installing a vehicle barrier system/fencing, rear window and roof replacement, and landscaping. The project cost $107,520, with a match of $12,688 from the applicant.
Whiskey River did not respond for comment as of this writing.
#6 > Terra Dulce Bakery: Outdoor Dining May Open in Spring
After first applying to the DRF in 2021, Terra Dulce Bakery at 1049 Main St. hopes to open a new outdoor dining experience in the spring. Construction was completed. Permanent fixtures are in progress.
The project includes a new pergola, planter boxes, and picnic tables for outdoor dining. The project cost $48,868, with a match of $5,766 from the applicant.
Itsa Aravena, owner of the bakery, told the Herald the project was fully approved but there was an issue in the application process in not knowing a historic board review was required, which paused construction for about a year.
“We just need to wait for the weather to get a little better for us to finally open up the outdoor space,” Aravena said. “But it’s ready to go. I think it’s going to be amazing. We’re so grateful that this opportunity came along our way and that we were able to execute the project. I’m hoping that by the spring everything will be running.”
#7 > The Fern Tree: Aims to Finish Facade by April
(Eric Harvey)
A facade project at The Fern Tree at 115 N. Water St. is planned to be finished by April, the owner told the Herald. Phase 1 of the project was completed and phase 2 will begin in the spring, DRF Consultant Oridedi told the Herald.
The project includes exterior improvements, like the building’s roofing and signage, in addition to electrical and flooring. The project cost $48,400, with a match of $4,400 from the applicant.
(Eric Harvey)
LaFern Joseph, owner of the 32-year-old African gift shop, told the Herald she had a positive experience working with the city on the project.
“I just ended up getting a lousy contractor and stuff had to be redone,” Joseph said. “And the city made the contractor redo it because it did not meet criteria. And he knew what the criteria was but he ignored it and the city beat his butt for it. I’m glad the city did that because they protected me.”
#8 > 23 S. Division Street: Window Replacement
A window replacement project at the building housing Gleason’s was completed by 23 S. Division Street Partners LLC, DRF Consultant Oridedi told the Herald.
The project includes the complete replacement of 12 top-floor windows of matching size. The total cost is $118,500, with a $44,000 match from the applicant.
23 S. Division Street Partners did not respond for comment as of this writing.
Previewing Round Two
Round two beneficiaries include New Era Creative Space, Peekskill Performing Arts Center, Broad Howard LLC, 1 North Division DAK LLC, 1012 Park Street LLC, 1006 Park Street LLC, and Persephone’s Pearl — for a total of $99,758 remaining in grant money. DRF Consultant Oridedi shared the status of those projects as of Feb. 19:
- New Era Creative Space Inc (facade/interior commercial space/signage at 203 Esther St): Procurement in progress
- Peekskill Performing Arts Center (signage at 1008 Brown St ): Preparing review package for state’s approval to proceed with construction
- Broad Howard LLC (signage/visual assessment exterior of 1132 Main St and 1134 Main St to identify and develop cost estimates for needed repairs and maintenance): Preparing review package for state’s approval to proceed with construction
- 1 North Division DAK LLC (facade/exterior painting roof/gutter repair): Preparing review package for state’s approval to proceed with construction
- 1012 Park Street LLC (facade/gutter repair/exterior painting roof): Procurement in progress to begin construction
- 1006 Park St LLC (facade/repair existing roof/exterior painting): Procurement in progress to begin construction
- Botanica Persephone’s Pearl (signage at 1175 Park St): Preparing review package for state’s approval to proceed with construction)
For more information about Round 2 projects, see the Herald’s past coverage here.
