Affordable Housing Program Awardees

January 26, 2012

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

FHLBNY Awards $1.7 Million in Affordable Housing Grants in Seneca Falls, Rome and Norwich

Three projects will preserve nearly 230 affordable homes

Seneca Falls, New York – The Federal Home Loan Bank of New York announced today the awards of a $950,000 grant to the Isla Housing and Development Corp. to help finance the Stanton Meadows Apartments project, which will rehabilitate a 118-unit development for moderate-to-very low-income families in Seneca Falls; a $500,000 grant to the Liberty Gardens Housing Development Fund, Inc. to help finance the Liberty Gardens Revitalization Phase I project, which will rehabilitate three buildings and construct six more to provide 78 apartments for very low-income seniors and families in Rome; and a $278,945 grant to the Chenango County ARC for the IRA Revitalization Program, which will renovate three group homes and five supportive housing projects which provide 33 units of housing for developmentally disabled individuals in Norwich. Home Loan Bank members First Niagara Bank, M&T Bank and NBT Bank 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.”

“This funding will help to sustain and preserve the Stanton Meadows Apartment project for years to come,” said Leisha Gordon, vice president of Community Reinvestment at First Niagara Bank. “The Federal Home Loan Bank of New York affords First Niagara an opportunity to develop successful partnerships with experienced non-profits such as Isla Housing and Development Corp. that are committed to the development and preservation of affordable housing.”

“The Liberty Gardens Revitalization project will be a significant community improvement in Rome. This $500,000 Federal Home Loan Bank grant, added to the construction financing M&T Bank is providing, will help rehabilitate 78 low-income apartments. The project is a good example of pulling together public and private sector financing for a community improvement,” said Allen Naples, regional president for M&T Bank in Syracuse and Central New York.

“NBT Bank is once again very pleased to be working closely with the Federal Home Loan Bank on a project that will have such a positive impact on those living in our local community,” NBT Bank Commercial Banking Relationship Manager Peter Mennis said. “Chenango County ARC continues play a critical role in Chenango County by providing support and vocational training for those in need. NBT Bank is very proud to partner with Chenango County ARC on projects such as these.”

The $950,000 grant for the Stanton Meadows Apartments will help fund the rehabilitation of a 118-unit development for moderate-to-very low-income families. The building was constructed in 1981 and underwent a moderate rehabilitation several years ago. A more substantial rehabilitation is needed in order to preserve the units as affordable housing in the rural community it serves. Additional financing will be provided by the assumption of the Rural Development Section 515 loan, Low Income Housing Tax Credits and the New York State Homes and Community Renewal program. First Niagara Bank submitted the application for the AHP funding for this project.

The $500,000 grant for the Liberty Gardens Revitalization project will help fund the redevelopment of a public housing project, which includes the substantial rehabilitation of three buildings and the construction of six new buildings. After completion, the development will contain a total of 78 apartments for very low-income families and senior citizens. The project goals are to preserve the existing affordable housing in a market area that is underserved; provide homes that are energy efficient; and meet the space needs of families. Additional financing will be provided by New York State Homes and Community Renewal Low Income Housing Tax Credits and the Weatherization Program, the New York State Housing Trust Fund, New York State Public Housing Modernization Funds, the Community Preservation Corporation, and the Rome Housing Authority. M&T Bank will provide a construction loan, and also submitted the application for the AHP funding for this project.

The $278,945 grant for the IRA Revitalization Program will help fund the renovation of three group homes and five supportive housing projects which provide housing for 33 developmentally disabled individuals. All of the housing units serve very low-income households. The project provides programs that meet the specific needs of the developmentally disabled in the areas of vocational rehabilitation, employment readiness training, residential services, supportive service coordination, and other services that allow the disabled the opportunity to meet their optimum level of independence. Additional financing will be provided by the New York Sate Home Local Program Administrator Program and NBT Bank, which also 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.

About First Niagara
First Niagara, through its wholly owned subsidiary, First Niagara Bank, N.A., is a multi-state community-oriented bank that currently has approximately $31 billion in assets, $19 billion in deposits, more than 330 branches and 5,000 employees providing financial services to individuals, families and businesses across upstate New York, Pennsylvania, Connecticut and Massachusetts. For more information, visit www.firstniagara.com.

NBT Bank
NBT Bank offers personal banking, asset management and business services through a network of 131 banking locations in four states. NBT Bank operates from 96 locations in upstate New York, northwestern Vermont and western Massachusetts. NBT’s Pennstar Bank division operates from 35 locations in northeastern Pennsylvania. NBT Bank and its parent company, NBT Bancorp Inc., are headquartered in Norwich, N.Y. NBT Bancorp Inc. had assets of $5.5 billion as of September 30, 2011, and is traded on the NASDAQ Global Select Market under the symbol NBTB.

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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