Photo by Ted Ammon | Courtesy of Mass Development

Financing from Newburyport Bank and MassDevelopment will convert a downtown Haverhill building’s upper floors into housing while retaining its existing retail tenants.

Wingate Development is renovating the 5-story building at 45-51 Wingate St. into 15 apartments.

Ground-floor tenants the Peddler’s Daughter pub and Shoe City Urban Bistro will remain during the project, which will include nine studio apartments and six one-bedroom units. Three units will be reserved for households earning up to 60 percent of area median income.

Newburyport Bank provided a $1.4 million construction-to-permanent loan. MassDevelopment granted $1.8 million in financing and a mortgage guarantee.

The apartments will replace long-vacant office space.

“By adding much-needed housing on underutilized upper floors, the city is bringing it to the next level by maximizing the mixed-use potential of longstanding buildings,” MassDevelopment CEO Dan Rivera said in a statement.

Wingate Development, led by Ted Ammon, previously redeveloped the former Magnavox building at 21-27 Washington St. in Haverhill into market-rate apartments and ground-floor commercial space.

Updates to zoning and parking regulations and construction of a nearby Merrimack Valley Regional Transit Authority garage catalyzed redevelopment of the property and similar underutilized downtown properties, Haverhill Mayor James Fiorentini said in a statement.