Affordable Housing Program Awardees

January 28, 2009

Federal Home Loan Bank of New York Awards $632,500 Affordable Housing Grant in Jersey City

New development will create 63 mixed-income units

Jersey City, New Jersey — The Federal Home Loan Bank of New York announced today that it is awarding a $632,500 affordable housing grant to Foresight Affordable Housing, Inc. to help fund the construction of Lafayette Gardens, a development that will contain one multi-family building and five row houses for mixed-income families.

“Lafayette Gardens will provide affordable housing to dozens of Jersey City families, and will help revitalize and strengthen our community,” said Representative Albio Sires (NJ, 13).

“Liberty Bell Bank is committed to the New Jersey community,” said John Herring, senior vice president and chief lending officer of Liberty Bell Bank, which submitted the application for the funds. “By partnering with the Federal Home Loan Bank of New York and Foresight Affordable Housing, and with the support of Representative Sires, we are able to provide new, affordable housing to the Jersey City neighborhood.”
 
The $632,500 grant will be put toward the construction of the 63-unit development, consisting of one-, two-, three-, and four-bedroom homes. The project replaces an obsolete housing complex and offers on-site parking, laundry facilities, community space and a playground for children. The site is strategically located in an area close to an elementary school, a day care center, a grocery store, a community center, public transportation and a park.

“Providing families with accessible, affordable housing is the goal of every strong community,” said Alfred A. DelliBovi, president and CEO of the Home Loan Bank. “It is the mission of the Federal Home Loan Bank to partner with our member lenders, community organizations and our esteemed elected officials to support community development.”

Additional financing for the $20.3 million project will be provided by Low Income Housing Tax Credits allocated by the New Jersey Housing and Mortgage Finance Agency and Jersey City Housing Authority HOPE VI funds.

In 2008, the Federal Home Loan Bank of New York awarded grants totaling $42.9 million to fund 92 housing projects that will generate 4,655 units of affordable housing and an anticipated $975.5 million in development costs. For more information on these grants, please visit www.fhlbny.com/news/pressrelease.htm.

The Federal Home Loan Bank’s Affordable Housing Program (AHP), created in 1989, provides member community lenders with direct subsidies, which are passed on to qualified households through a sponsoring local non-profit organization. AHP financing is combined with other funding sources to create housing for moderate-, low- and very-low-income families. Program awardees receive this funding through semi-annual competitive rounds. Each competing project must be sponsored by a financial organization that is a member of the Federal Home Loan Bank in partnership with a community-based sponsoring organization.

Liberty Bell Bank
Liberty Bell Bank is a New Jersey chartered commercial bank that maintains offices in Cherry Hill, Moorestown, and Marlton, New Jersey. A 4th branch location, in Mount Laurel, New Jersey, is scheduled to open in early 2009.

Federal Home Loan Bank of New York
The Federal Home Loan Bank of New York is a Congressionally chartered, $130 billion, wholesale Bank.  It is part of the Federal Home Loan Bank System, a national wholesale banking network of 12 regional, stockholder-owned banks.  The Federal Home Loan Bank of New York serves 307 community lenders in New Jersey, New York, Puerto Rico, and the U.S. Virgin Islands.  The mission of the Home Loan Bank is to advance housing opportunity and local community development by maximizing the capacity of community-based member-lenders to serve their markets.

Federal Home Loan Bank of New York
The Federal Home Loan Bank of New York is a Congressionally chartered, wholesale Bank. It is part of the Federal Home Loan Bank System, a national wholesale banking network of 12 regional, stockholder-owned banks. The FHLB of New York currently serves more than 340 financial institutions in New Jersey, New York, Puerto Rico, and the U.S. Virgin Islands. The mission of the Federal Home Loan Banks is to support the efforts of local members to help provide financing for America’s homebuyers.

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This report contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon our current expectations and speak only as of the date hereof. These statements may use forward-looking terms, such as "projected," "expects," "may," or their negatives or other variations on these terms. The Bank cautions that, by their nature, forward-looking statements involve risk or uncertainty and that actual results could differ materially from those expressed or implied in these forward-looking statements or could affect the extent to which a particular objective, projection, estimate, or prediction is realized. These forward-looking statements involve risks and uncertainties including, but not limited to, regulatory and accounting rule adjustments or requirements, changes in interest rates, changes in projected business volumes, changes in prepayment speeds on mortgage assets, the cost of our funding, changes in our membership profile, the withdrawal of one or more large members, competitive pressures, shifts in demand for our products, and general economic conditions. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.