Image courtesy of Mass Ave Rentals LLC

A $2.9 million loan by Fidelity Bank and subsidies from state agencies will enable a  developer to refurbish a pair of vacant downtown Gardner buildings into 29 market-rate apartments.

Developer Gary Lorden is renovating the dilapidated retail and commercial buildings at 42-50 and 52 Parker St. to create 29 one- and two-bedroom units, MassDevelopment announced.

Construction began in July and is scheduled to be completed by July 2023.

The Gardner Redevelopment Authority used a $400,000 grant from the Commonwealth’s Site Readiness Program to acquire the properties in 2017. In November 2021, Lorber’s development firm, Mass Ave Rentals, received a $900,000 grant from the Commonwealth’s Underutilized Properties Program for the renovation project.

“Housing is at the core of bringing back downtowns, and Gardner is leading the way with this project, showing other cities and towns how to transform downtowns,” MassDevelopment President and CEO Dan Rivera said in a statement.

Lorden previously received MassDevelopment and Fidelity Bank financing for the 120-unit Whalom Luxury Apartments in Lunenberg. The developer also converted the former Goodnow Pearson Building in Gardner into 27 market-rate apartments with MassDevelopment assistance.