Affordable Housing Program Awardees

February 2, 2015

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

FHLBNY Awards a $412,500 Affordable Housing Grant in Kingston

Lace Mill project will create 55 units of affordable housing

Kingston, New York – The Federal Home Loan Bank of New York announced today the award of a $412,500 grant to the Rural Ulster Preservation Company to help finance the Lace Mill project, which will create 55 units of affordable housing for low- and very low-income households. Ulster Savings Bank, a member of the Federal Home Loan Bank of New York, submitted the application for the funding.

“The Rural Ulster Preservation Company plays a vital role in our communities, creating access to affordable homes and revitalizing historic neighborhoods,” said Congressman Chris Gibson (NY-19). “I am delighted this grant will be used to support the Lace Mill project. My staff and I are grateful to Ulster Savings and the Federal Home Loan Bank of New York for their support of RUPCO’s good work in the Hudson Valley.”

“For the past 25 years, the Federal Home Loan Bank of New York and our members have used Affordable Housing Program grants to support affordable housing initiatives across our region,” said José R. González, president and CEO of the Federal Home Loan Bank of New York. “In that time, we have been honored to partner with many outstanding housing organizations to help provide quality housing for those who need it most. Through the hard work of those organizations, and with the continued support of Congress, the Affordable Housing Program remains one of the most successful housing programs in the nation and a source of pride for our cooperative.”

“Ulster Savings Bank is proud to support the efforts of the Federal Home Loan Bank of New York and the Rural Ulster Preservation Company in providing affordable housing. As a local financial institution, Ulster Savings is committed to supporting the vitality of the community and its citizens,” said Lisa M. Cathie, President and CEO of Ulster Savings Bank.

The Lace Mill project involves the creation of 55 units of affordable housing for low- and very low-income households. The project site is a building that had been used as a warehouse and for industrial purposes and has been largely underutilized for the past two decades. The restoration of this building will benefit the community by removing blight, providing needed housing and acting as a catalyst for economic rejuvenation. The project sponsor envisions a historical and energy-efficient restoration of the structure to accommodate artists’ housing, drawing residents from the growing artistic community in the surrounding area. The grant will be used to partially finance construction costs for the residential units. Additional financing will be provided by Low Income Housing Tax Credits, Historic Tax Credits, the New York State Housing Finance Agency, NeighborWorks America, Community Development Block Grants and charitable contributions.

The grant is part of $22.1 million in Affordable Housing Program (“AHP”) subsidies that the Federal Home Loan Bank of New York will award as its 2014 AHP grant round. In total, these grants will help finance 28 affordable housing initiatives in New Jersey, New York, Connecticut, Maryland, Ohio and Pennsylvania which will create or preserve 2,387 units of affordable housing, including more than 1,400 units of very low-income housing and more than 2,300 units of rental housing. The 12 Federal Home Loan Banks have distributed more than $5.1 billion in AHP funds since the first awards were granted in 1990. At the Federal Home Loan Bank of New York, the AHP has supported 1,376 projects with more than $450 million in grants, helping to create or preserve nearly 60,000 units of affordable housing and generating an estimated $8.4 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 by Congress 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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