Ulster County, New York has engaged a national modular construction consulting firm to develop a strategy for a publicly supported factory that would manufacture homes off-site and assemble them locally - a move county officials call central to addressing an acute regional housing shortage.
Background
Backed by a $50,000 Empire State Development grant, County Executive Jen Metzger announced the award of a contract to The Mod Squad Team, LLC, to produce a Modular Construction Strategic Plan and a Modular Facility Implementation Plan. The goal: establishing a modular manufacturing facility in Ulster County.
The initiative builds on a broader county housing push. In August 2023, the Ulster County Legislature approved County Executive Metzger's proposal to create a $15 million Housing Action Fund supporting healthy, energy-efficient, and climate-responsible housing. The Legislature has since approved $3.15 million in awards through the Fund for seven affordable and supportive housing projects.
The modular plan targets the development of a modular or panelized facility in Ulster County dedicated to producing affordable housing. The facility would be developed through a public-private partnership and provide educational and workforce training opportunities.
Details
County Executive Metzger said the initiative addresses both the housing shortage and employment: "By taking this step toward establishing local modular construction capacity, we are positioning ourselves to build high-quality, energy-efficient housing faster and more affordably, while creating well-paying jobs for our residents."
The Mod Squad Team, which has assisted more than 30 modular factory projects nationwide, will work alongside a newly formed Housing, Offsite Manufacturing, and Employment Council comprising stakeholders from housing, construction, workforce development, and environmental groups.
Kai Lord-Farmer, a planning specialist with the Ulster County Department of Planning and the project's manager, said the county can simultaneously "address the rising cost of building affordable housing, the need to create meaningful career pathways for our younger residents, and our responsibility to build for the future of our climate."
The case for factory-built construction rests on documented productivity gains. Modular construction compresses project timelines by moving most work into a controlled factory environment, where foundations and modules can be built simultaneously and quality is easier to standardize. Industry studies suggest the approach can cut build timelines by 30 to 50 percent and reduce costs by 10 to 25 percent.
The county's approach also reflects a growing national policy trend. Federal legislation, including the Modular Housing Production Act introduced in 2025, directed HUD to review financing programs and recommend policy changes that reduce barriers for modular housing in FHA-backed projects - signaling mounting federal interest in scaling the model. For more on federal and state grant frameworks shaping modular housing, see our coverage of Federal Grants Advance Modular Housing Through Lifecycle Cost Focus and the Modular Housing Market Set to Reach $200.6 Billion by 2033.
Outlook
Once the strategic and implementation plans are complete, Ulster County intends to establish the physical facility through a public-private partnership, with workforce training integrated from the outset. County officials have said the factory model, if successful, could serve as a template for other municipalities facing similar housing supply gaps. The county has described its overall housing strategy as "a comprehensive approach" focused on three areas: homelessness prevention, emergency housing, and housing creation.
