Affordable Housing Program Awardees

January 26, 2012

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

FHLBNY Awards $269,354 in Affordable Housing Grants in New Rochelle and Ossining

Two projects will create 46 homes for very low-income seniors and families

New Rochelle, New York – The Federal Home Loan Bank of New York announced today the awards of a $221,354 grant to Westhab, Inc. to help finance the Shiloh Senior Housing project, which will create 40 affordable apartments for very low-income seniors in New Rochelle; and a $48,000 grant to IFCA to help finance the Spring Street project, which will turn a vacant apartment building into six affordable homes for very low-income families in Ossining. Home Loan Bank members M&T Bank and Signature Bank (Nasdaq: SBNY) submitted the applications for the funding.

“Safe, decent and affordable housing is vital not only to the stability of our economy, but our communities and families, as well,” said Alfred DelliBovi, president and CEO of the Federal Home Loan Bank of New York. “The Federal Home Loan Bank of New York is proud to offer this funding to continue to support those who strengthen the foundation of this cornerstone of the American Dream. We thank all of our partners – the local lenders, the housing groups and our elected officials – for their continued support of the Affordable Housing Program, and their work towards revitalizing our country’s housing sector.”

“Westhab has such a strong track record of providing affordable housing for residents of Westchester County. We’re proud to help them obtain this Federal Home Loan Bank grant to help fund construction of 40 senior citizen apartments in New Rochelle,” said M&T Bank Regional President Paula Mandell.

“Signature Bank is pleased to participate as a member bank in the Federal Home Loan Bank of New York’s Affordable Housing Program. The program brings necessary financial resources to various communities in need by filling an important gap in the financing of key projects. This process aids the completion of many critical projects, and Signature Bank is proud to make them possible through its participation, which extends over the past five years,” said Joseph J. DePaolo, president and chief executive officer at Signature Bank.

The $221,354 grant for the Shiloh Senior Housing project will help fund the construction of 40 apartments for very low-income senior citizens. The sponsor will offer a range of on- and off-site supportive services such as health care screenings and vaccinations, financial education seminars, transportation, and Meals-on-Wheels. Additional financing will be provided by the U.S. Department of Housing and Urban Development Section 202 Program, the New York State Housing Finance Agency Low Income Housing Tax Credits, and City of New Rochelle HOME funds. M&T Bank submitted the application for the AHP funding for this project.

The $48,000 grant for the Spring Street project will help fund the rehabilitation and subsequent construction of a vacant apartment building which will, upon rehabilitation, provide six units of affordable for very low-income families. One unit will be set aside specifically for a homeless family. Additional financing will be provided by grants from the New York State Homes and Community Renewal HOME program, the Westchester County Community Development Block Grant program, Lead Safe Westchester, and the Leviticus Fund. Signature Bank submitted the application for the AHP funding for this project.

The grants are part of $33.6 million in Affordable Housing Program subsidies that the Federal Home Loan Bank of New York will award as its 2011 AHP grant round. In total, these grants will help to finance 57 housing projects which will create or preserve 2,837 units of affordable housing, including more than 2,200 units of very low-income housing, in New Jersey, New York, Maryland and Pennsylvania. The Federal Home Loan Banks have distributed $4.3 billion in AHP funds since 1990. At the Federal Home Loan Bank of New York, the AHP has supported more than 1,300 projects with grants of more than $425 million, creating nearly 59,000 units of affordable housing and generating an estimated $8.2 billion in total development costs. For more information on today’s grants, please click here.

The Federal Home Loan Bank System’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, 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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