NTCIC Proud to Help Fund O&W Railway Station Revitalization

NTCIC is proud to announce its involvement in revitalizing Middletown's O&W Railway Station.
May 18, 2026 By: NTCIC
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Washington D.C. – May 18, 2026: The National Trust Community Investment Corporation (NTCIC) is proud to announce the successful closing of financing for the redevelopment of the historic Ontario & Western Railway Station in Middletown, New York. The $44.8 million project will transform the long vacant landmark into a modern Head Start early childhood education and family services facility operated by the Regional Economic Community Action Program (RECAP), a private not-for-profit established in 1965 and designated as the anti-poverty agency in Orange County. 

Revitalizing a Railway Relic

Constructed in 1892, the New York, Ontario & Western Railway Station is one of Middletown’s most prominent historic landmarks. For more than sixty years, the Station served as a major economic and civic anchor for Middletown, operating as both a passenger terminal and the operational hub of the Ontario & Western Railway. Even after rail service ended in 1957, the building continued to serve Middletown through a series of adaptive uses before falling vacant following a fire in 2004. Despite years of disuse, the station has remained a powerful symbol of Middletown’s working history and its longstanding connection to regional economic life.

“The O&W Project perfectly encapsulates the City of Middletown’s values and what we have been working to achieve: providing for our residents while preserving our history. Like the O&W Building, RECAP has been a staple in our community for decades, and we are proud to work with them as a partner on this project. We are celebrating our past while looking towards the future – which, of course, starts with our children.” 

  • Joseph DeStefano
  • Mayor of Middletown, New York

Head Start at the Station

Upon completion, the former railway station will reopen as a permanent home for Head Start and other childcare services operated by RECAP, bringing together programming currently offered across two leased locations within active churches. Today, RECAP serves 137 Head Start children in these community based settings. The project will relocate and expand this programming into a single, purpose built facility, allowing RECAP to enhance its learning environments, better align space with program needs, and increase capacity to serve more children and families.

The redeveloped building will support expanded enrollment, increasing preschool capacity for children ages 3–5 to nearly 150 children annually, while adding new programs serving infants and toddlers ages 6 weeks to 3 years and children ages 5 and older. The new facility will allow 100% full-day Head Start programming, compared to current part-day limitations, and will provide all enrolled children with additional services, including mental health support, vision and health screenings, developmental screenings, and early childhood substance abuse prevention. The project will also expand adult education and asset building services for families and support 54 fulltime equivalent jobs, with nearly all positions offering comprehensive benefits.

“The Ontario & Western Railway Station is an iconic building, and this redevelopment shows how historic preservation can support real community needs. The project pairs a thoughtful rehabilitation with a use that serves families every day, ensuring the building remains both relevant and active for generations to come.” 

  • Heather Buethe
  • Senior Director of Project Management at NTCIC

Financing Preservation 

NTCIC provided a $5 million New Markets Tax Credit allocation, along with an equity investment in the $13 million in federal and state Historic Tax Credits generated by the rehabilitation. Additional NMTC allocation was provided by Empire State Development and the project was supported through robust local- and state-grant funds as well as a capital campaign, showcasing strong local support for the development.   

By reactivating a long vacant historic landmark and expanding access to high-quality childcare in a designated childcare desert, the redevelopment of the Ontario & Western Railway Station strengthens early childhood outcomes, supports working families, and ensures this iconic building continues to serve Middletown for generations to come. 

Learn more about the Ontario & Western Railway Station project here.