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 $552,815 Affordable Housing Grant in Buffalo and Rochester

Three projects will create or rehabilitate more than 200 affordable housing units.

Buffalo, New York — The Federal Home Loan Bank of New York announced today the award of a $406,000 affordable housing grant to the Buffalo City Mission to help finance the renovation costs of the City Mission of Buffalo project, which will provide shelter for 182 homeless men; the award of a $76,000 affordable housing grant to Hope Buffalo, Inc. to help finance the rehabilitation costs of Cephas House, which will provide eight units of affordable housing for men re-entering society from incarceration; and the award of a $70,815 affordable housing grant to the Ibero-American Development Corporation to help finance the construction costs of the El Camino Estates, which will create 25 single-family homes which will be leased to very low-income households in Rochester. Home Loan Bank member M&T Bank submitted the applications for the funding.

“The Affordable Housing Program grants announced today will help provide more than 200 units of much-needed affordable housing for the people of Buffalo and Rochester," said Representative Louise M. Slaughter (NY-28). "More than $552,000 will go to help the Buffalo City Mission, the Cephas House in Buffalo and to develop El Camino Estates in Rochester, to provide new opportunities for Western New Yorkers in need. I'm so pleased for the support that has come to benefit affordable housing programs and developments in our community.”

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.

“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 $406,000 grant will be used to help fund rehabilitation costs for the City Mission of Buffalo project, which will renovate the Mission’s congregate shower and bath facilities for a housing facility that provides shelter for 182 for homeless men. The facility provides emergency and transitional housing. The Buffalo City Mission provides extensive supportive services to assist clients in resolving their homelessness and moving towards independence.  A full-time staff works to the break the cycle of alcohol and drug dependency, two major factors in homelessness, in addition to providing clients with case management services to maintain long-term independence.     

The $76,000 grant will be used to help fund rehabilitation costs for the Cephas House project, which consists of the acquisition and conversion of a former rectory into transitional housing for men re-entering society from incarceration. The project will consist of a total of eight units for very low-income tenants. Hope Buffalo, Inc. will provide a wide range of supportive services to residents including case management, independent living skills training, employment training, and referrals to additional agencies. These services are necessary to prevent recidivism. Two staff member will live on-site. 

The $70,815 grant will be used to help fund construction costs for the El Camino Estates project, which involves of the creation of 25 single-family homes which will be leased to very low-income households. The homes will be built on vacant lots selected as part of a neighborhood redevelopment effort. All 25 homes will provide homeownership opportunities to very low-income families through a lease-to-purchase program, to be implemented at the end of the 15-year tax credit compliance period. 

Additional funding for the City Mission of Buffalo project will be provided by charitable contributions and fundraising activities.

The New York State Homeless Housing Assistance Corporation will provide construction and permanent financing for Cephas House.

Additional financing for the El Camino Estates will be provided by Low Income Housing Tax Credits and the New York State Housing Trust Fund.

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.

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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