Affordable Housing Program Awardees

August 4, 2009

Contact: Eric Amig - (212) 441-6807
Brian Finnegan - (212) 441-6877

Federal Home Loan Bank of New York Awards $350,000 Affordable Housing Grant in Niagara Falls

Court will provide 115 homes for low- and very low-income families.

Niagara Falls, New York — The Federal Home Loan Bank of New York announced today the award of a $350,000 affordable housing grant to the Niagara Falls Housing Authority to help finance the construction of Center Court, which will provide 115 townhomes for low- and very low-income families. M&T Bank, a Home Loan Bank member, submitted the application for the funding.

“Owning a home has always been part of the American Dream,” said Representative Louise Slaughter (NY-28). “Affordable housing for hardworking New York families is a top priority and I am proud of the steps the Federal Home Loan Bank of New York has taken to make housing more attainable and allow for the revitalization of neighborhoods during these difficult economic times.”

This year marks the 20th anniversary of the Federal Home Loan Banks’ Affordable Housing Program (AHP), which was created by Congress in 1989. Since the Program’s inception, the Federal Home Loan Banks have provided more than $3.6 billion to facilitate more than 15,000 affordable housing projects across the nation. These grants have created nearly 670,000 units of affordable housing. At the Federal Home Loan Bank of New York, AHP has supported more than 1,100 projects with grants totaling more than $320 million, creating more than 46,000 units of affordable housing and generating nearly $6 billion in total development costs.

“Niagara Falls is a community that is important to M&T Bank and we are pleased to partner with Representative Slaughter, the Federal Home Loan Bank of New York, and the Niagara Falls Housing Authority to help support a project that will provide affordable homes for many families,” said David Rutecki, administrative vice president of M&T Bank.

“For 20 years, the Home Loan Bank of New York has been given the tremendous opportunity to work hand-in-hand with New York’s esteemed elected officials, its locally-focused hometown banks and its terrific community organizations to bring safe, stable and affordable housing to the State,” said Alfred A. DelliBovi, president and CEO of the Home Loan Bank. “It is an opportunity, and a partnership, that we are most grateful for.”

The $350,000 grant will be used to help fund the construction of 115 townhomes for very low- and low-income families, which will be built on the former site of a 134-unit public housing complex that was demolished.  This is the first part of a revitalization plan for the public housing project and the surrounding neighborhood. The complex will feature on-site supportive services for the residents, including case management, primary health care services including vaccination and medical screenings, and services that provide residents with employment training programs, credit counseling, budgeting courses, and other financial education services. 

Additional funding will be provided by U. S. Department of Housing and Urban Development HOPE VI funds, City Casino funds, a Division of Housing and Community Renewal Homes for Working Families loan, and Low Income Housing Tax Credits. 

Today’s grant is part of a total of $16 million in AHP subsidies that the Federal Home Loan Bank of New York has announced in August. These grants will fund 39 housing projects that will generate 1,545 units of affordable housing in New Jersey, New York, Delaware and Pennsylvania. In January 2009, the Federal Home Loan Bank of New York awarded grants totaling $19.1 million to fund 51 housing projects that will generate 2,213 units of affordable housing and an anticipated $409.8 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, 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.

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.

M&T Bank
M&T is a bank holding company with $69.9 billion in assets, whose banking subsidiaries, M&T Bank and M&T Bank, National Association, operate more than 800 branch offices in New York, Pennsylvania, Maryland, Virginia, West Virginia, Delaware, New Jersey and the District of Columbia.

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.