Affordable Housing Program Awardees

July 7, 2010

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

Federal Home Loan Bank of New York Awards $829,000 in Affordable Housing Grants in Ithaca and Waverly

Two projects will create 83 units of affordable housing

Ithaca, New York – The Federal Home Loan Bank of New York announced today the award of a $550,000 affordable housing grant to Ithaca Neighborhood Housing Services Inc. and their partner, PathStone Development Corp, to help finance the construction of the Women’s Community Building Redevelopment, which will provide 52 units of affordable housing for very low-income households; and the award of a $279,000 affordable housing grant to Arbor Development to help finance the construction of Muldoon Gardens, which will provide 31 units of affordable housing for very low-income senior citizens. Home Loan Bank members Tompkins Trust Company and Maple City Savings Bank submitted the applications for the funding.

“The grants announced today by the Federal Home Loan Bank of New York reflect how well the Affordable Housing Program works,” said Congressman Maurice Hinchey (NY, 22). “These grants will help rehabilitate and transform existing structures into more than 80 affordable homes that will serve to revitalize the Ithaca and Waverly communities.”

“Tompkins Trust Company is excited as a member of the Federal Home Loan bank to bring this type of grant back to the Community,” said Greg Hartz, the president of Tompkins Trust Company, which submitted the funding application for the Women’s Community Building Redevelopment project. “Our relationship with Ithaca Neighborhood Housing Services and Pathstone in this project will bring more much needed affordable housing to Ithaca.”

“The Federal Home Loan Bank of New York has been proud to partner with our members for more than 20 years to help make affordable housing a reality in New Jersey, New York, Puerto Rico, the U.S. Virgin Islands and beyond,” said Alfred A. DelliBovi, president and CEO of the FHLBNY. “We are grateful to our elected officials for their leadership and support in Congress, which allows us to offer this program to the housing groups that are strengthening communities across the region.”

The $550,000 grant for the Women’s Community Building Redevelopment will be used to help fund the construction of 52 apartment units for very low-income households.  The project is designed to serve a mix of small families and individuals.  The project includes the demolition of an underutilized two-story commercial building and the creation of a new complex.

“We’re thrilled to receive this award, bringing us one step closer to making this new construction project a reality. The Tompkins Trust Company and the Federal Home Loan Bank are great partners. Together we are working to help address the housing needs of Tompkins County residents,” noted Paul Mazzarella, Executive Director of Ithaca Neighborhood Housing Services.

The $279,000 grant for Muldoon Gardens will be used to help fund the conversion of a former school into 31 units of housing for very low-income seniors.  Each resident will be given a garden plot to develop.  The project will increase the supply of affordable housing in the area and rehabilitate a vacant structure that is tied to local revitalization plans.  Maple City Savings Bank submitted the application for the funding of the project.

Ithaca Neighborhood Housing and PathStone have applied for additional financing for the Women’s Community Building project from the Low Income Housing Tax Credits, the New York State Division of Housing and Community Renewal, the Housing Trust Fund, City of Ithaca HOME and Housing Development Action Grant funds and NeighborWorks America.  Additional financing for Muldoon Gardens will be provided by the New York State Division of Housing and Community Renewal, Housing Trust Fund, Low Income Housing Tax Credits, HOME funds and Historic Tax Credits.

These grants are part of a total of $29.7 million in AHP subsidies that the Federal Home Loan Bank of New York will award in conjunction with the approval of the first competitive application round of 2010.  In total, these grants will help to finance the creation of 54 housing projects that will generate 2,917 units of affordable housing in New Jersey, New York, Connecticut, Delaware, Maryland and Pennsylvania. Last year, the Federal Home Loan Bank System celebrated the 20th Anniversary of its Affordable Housing Program. In June 2010, the program was recognized by the National Housing Conference as its “Housing Person of the Year”. The Federal Home Loan Banks have distributed nearly $4 billion in AHP funds since 1990.  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, $107 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.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
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.