Affordable Housing Program Awardees

January 20, 2010

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

Federal Home Loan Bank of New York Awards $1.1 Million Affordable Housing Grant in Buffalo, Orchard Park and Chautauqua County

Three projects will create or rehabilitate more than 100 affordable homes.

Buffalo, New York — The Federal Home Loan Bank of New York announced today the award of a $300,125 affordable housing grant to the Diocese of Buffalo, NY to help finance the construction of Holy Family Senior Housing, which will provide 35 units of affordable housing for seniors in Buffalo; the award of a $494,000 affordable housing grant to Pathstone, Inc. to help finance the rehabilitation costs of the Pines at Murphy Road project, which will provide 52 units of affordable housing for seniors in Orchard Park; and the award of a $331,560 affordable housing grant to the Chautauqua Home Rehabilitation and Improvement Corporation to help finance the rehabilitation costs of the Chautauqua Housing Rehabilitation project, which will renovate 30 low-income family homes across Chautauqua County. Home Loan Bank members M&T Bank and First Niagara Bank submitted the applications for the funding.

In 2009, the Federal Home Loan Banks marked the 20th anniversary of the 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, the AHP has supported nearly 1,200 projects with grants totaling more than $330 million, creating more than 48,000 units of affordable housing and generating nearly $6 billion in total development costs.

“M&T Bank has a long history of supporting the construction and rehabilitation of quality, affordable housing in the communities we serve. Working through the Federal Home Loan Bank of New York is another way to provide an important source of capital to complete these investments in our communities,” said Bradley J. Dossinger, vice president and regional community reinvestment manager in Western New York for M&T Bank, which submitted the funding application forHoly Family Senior Housing and Chautauqua Housing Rehabilitation Project.

“First Niagara, as a community stakeholder, is proud to partner with the Federal Home Loan Bank of New York to provide funding to Pathstone, Inc. for the development of safe and affordable senior housing in Orchard Park,” said Leisha Gordon, Vice President of Community Reinvestment at First Niagara Bank, which submitted the funding application for the Pines at Murphy Road. “Pathstone, Inc. has demonstrated an expertise in developing quality affordable housing and we are delighted to support their efforts.”

“For the past two decades, the Affordable Housing Program has been one of the nation’s most successful housing initiatives because of the partnership between the Home Loan Bank, our members, community organizations and elected officials,” said Alfred A. DelliBovi, president and CEO of the Federal Home Loan Bank of New York. “As we celebrate the start of a new decade, we look forward to continuing this partnership and helping to build stronger communities across the Empire State for years to come."

The $300,125 grant will be used to help fund construction costs for the Holy Family Senior Housing project, which will involve the renovation and conversion of a former elementary school into affordable rental housing for seniors 55 years of age or older. The project is designed to provide housing for the frail elderly and contain three handicapped-accessible units per floor. 

The $494,000 grant will be used to help fund rehabilitation costs for The Pines at Murphy Road project, which consists of the rehabilitation and conversion of an existing building into 52 one-bedroom apartments for senior citizens.  Eight units will be set aside for frail elderly residents, with supportive services provided by Catholic Charities.  Residents will be provided a wide range of services including case management, medical screenings, social and recreational activities, and referrals to additional services.

The $331,560 grant will be used to help fund rehabilitation costs for the Chautauqua Housing Rehabilitation project, which will renovate 30 homes which are occupied by very low-income families that lack the financial resources to make necessary repairs. The housing stock targeted for the program will be limited to single-family, owner-occupied units.  Priority will be given to dwelling units that are in violation of local housing codes and where health and safety issues are present. 

Additional financing for the Holy Family Senior Housing project will be provided by the New York State Division of Housing and Community Renewal, Low Income Housing Tax Credits, and City of Buffalo HOME funds.

Additional financing for The Pines at Murphy Road will be provided by tax credit equity from Key Community Development Corporation, the New York State Housing Trust Fund Corporation, and funds from Pathstone Development Corporation.

Additional financing for the Chautauqua Housing Rehabilitation project will be provided by Weatherization Assistance Program funding and the Affordable Housing Corporation.

These grants are part of a total of $16 million in AHP subsidies that the Federal Home Loan Bank of New York has awarded in conjunction with the approval of the second competitive application round of 2009. The grants announced today will help to finance the creation of 37 housing projects that will generate 1,901 units of affordable housing in New Jersey, New York, Maryland and Pennsylvania. In August 2009, the Federal Home Loan Bank of New York awarded grants for the first application round of 2009 totaling $16 million to fund 39 housing projects that will generate 1,545 units of affordable housing. For more information on these grants, please click here.

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.

M&T Bank
M&T Bank Corporation, founded in 1856, is one of the top 20 bank holding companies in the nation, with more than 750 branch offices in New York, Pennsylvania, Delaware, Maryland, Washington D.C., Virginia and West Virginia. More information is available at www.mtb.com.

First Niagara Financial Group
First Niagara Financial Group, Inc. through its wholly owned subsidiary First Niagara Bank, had assets of $14.1 billion and deposits of $9.9 billion at September 30, 2009.  First Niagara Bank is a community–oriented bank providing financial services to individuals, families and businesses through 171 branches and five Regional market Centers across Upstate New York and Western Pennsylvania.  In July 2009, First Niagara announced its plans to acquire Harleysville National Corporation and its$ 5.6 billion in assets and 83 branches in the Philadelphia area, subject to regulatory and Harleysville shareholder approval.  For more information, visit www.fnfg.com.

Federal Home Loan Bank of New York
The Federal Home Loan Bank of New York is a Congressionally chartered, $110 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 330 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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