Construction Begins on Ocean City’s Largest Affordable Housing Project

Construction is officially underway on what city officials describe as Ocean City’s largest affordable housing development to date. The project is being built on Fourth Street, north side, at the former Pecks Beach Village site and will ultimately deliver 60 new housing units.

Heavy machinery has already cleared the site, and a formal groundbreaking is expected later this spring. The Ocean City Housing Authority estimates a construction timeline of 18 to 24 months.

What’s Being Built on Fourth Street

The development will consist of 15 duplex-style buildings, designed to blend into the surrounding neighborhood rather than stand out as a large-scale complex. In total, the project will replace an older 40-unit affordable housing site that previously occupied the south side of Fourth Street.

According to Housing Authority officials, the new units are modern in design and intended to fit seamlessly with nearby residential properties.

Project Cost and Timeline

The total project cost is estimated at $23 million, making it one of the most significant housing investments the city has undertaken in recent years. With construction now underway, projected occupancy is expected sometime in 2027 or 2028, depending on weather and construction conditions.

The site’s proximity to central Ocean City amenities and established residential streets was a key factor in redevelopment planning.

Why This Project Matters Locally

Affordable housing is a long-standing issue in Ocean City, particularly for year-round residents, municipal employees, and workers who support the local economy. By increasing unit count from 40 to 60, the city is expanding capacity without expanding the geographic footprint.

Officials have emphasized that the architecture and layout were intentionally designed so the development does not visually separate itself from neighboring homes.

Neighborhood Context on Fourth Street

Fourth Street sits within a transitional area of Ocean City that connects residential blocks with nearby commercial and municipal uses. Redevelopment here reflects a broader effort to modernize older housing stock while maintaining neighborhood character.

Because the project replaces an existing affordable housing site, it does not introduce new density to a previously undeveloped area.

Construction Impacts to Expect

Residents nearby may notice:

• Increased construction traffic during daytime hours

• Temporary noise related to site work

• Periodic utility coordination as infrastructure is updated

The Housing Authority has indicated that construction will follow standard municipal guidelines to limit disruption where possible.

Common Questions From Residents

Is this market-rate housing?
No. All units are designated as affordable housing.

Will this change zoning on Fourth Street?
No zoning changes have been reported as part of this project.

Is parking included?
Parking details have not been publicly detailed in the construction announcement.

A Long-Term Investment in Year-Round Housing

While the project will take time to complete, it represents a long-term commitment to housing stability in Ocean City. By rebuilding on an existing site and increasing unit count, the city is addressing demand without altering neighborhood boundaries.

Sources: OCNJ Daily