Affordable Housing Program Awardees

October 16, 2012

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

FHLBNY Awards $1.09 Million in Affordable Housing Grants in Canandaigua and Horseheads

Two projects will create or rehabilitate nearly 100 affordable homes

Canandaigua, New York – The Federal Home Loan Bank of New York announced today the award of a $530,000 grant to Pathstone, Inc. to help finance the Thompson Apartments Renovations project, which will rehabilitate 42 units of housing for moderate-, low- and very low-income seniors in Canandaigua; and a $560,000 grant to Providence Housing Development Corp. to help fund the Biltmore Crossing project, which will construct 56 new affordable housing units in Horseheads. Home Loan Bank members The Canandaigua NB & Trust Company and M&T Bank submitted the applications for the funding.

“Housing is a cornerstone of our economy, a key driver of economic development and job growth, and the foundation of strong families and vibrant communities,” 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 support affordable housing initiatives across our region and beyond. 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. When we strive to ensure that all have access to affordable housing, we strengthen the fabric of our society.”

“As a community bank, we can help promote neighborhood development by finding additional ways to finance the construction and rehabilitation of safe and affordable housing. By partnering with the Federal Home Loan Bank, M&T Bank was able to bring additional financing to the Providence Housing Development Corporation to construct 56 affordable housing units in Horseheads,” said Peter Newman, regional president of M&T Bank for the Southern Region of New York.

The Thompson Apartments Renovation project involves the rehabilitation of 42 units of housing for moderate-, low- and very low-income seniors. The project site is ideal for seniors, located in an area that includes a retail corridor, restaurants and the public library within walking distance. A public bus stops within the Thompson complex. The Affordable Housing Program subsidy will be used to partially finance hard construction costs. Additional financing will be provided by the Community Development Block Grant funds, NeighborWorks America, and a New York State Weatherization grant. The Canandaigua NB & Trust Company submitted the application for this project.

The Biltmore Crossing Apartments project involves the new construction of 56 affordable housing units. Thirty-four units will be set aside for very low-income families; 15 of the units will be set aside for low-income families; and seven of the units will be rented at the market rate. Four of the units will be fully accessible to the mobility impaired or hearing and visually impaired individuals. The Affordable Housing Program subsidy will be used to partially finance construction costs. Additional funding will be provided by Low Income Housing Tax Credits, a subsidy loan from the New York State Housing Trust Fund Corporation, deferred development fees and a conventional construction loan. M&T Bank submitted the application for this project.

The grants are part of $26.4 million in Affordable Housing Program subsidies that the Federal Home Loan Bank of New York will award as its 2012 AHP grant round. In total, these grants will help to finance 37 affordable housing initiatives which will create or preserve 2,679 units of affordable housing, including more than 2,000 units of very low-income housing, in New Jersey, New York and Pennsylvania. The Federal Home Loan Banks have distributed more than $4.6 billion in AHP funds since 1990. At the Federal Home Loan Bank of New York, the AHP has supported 1,355 projects with nearly $450 million in grants, helping to create or preserve nearly 58,000 units of affordable housing and generating an estimated $8.1 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.

M&T Bank
M&T is a financial holding company headquartered in Buffalo, New York. M&T’s principal banking subsidiary, M&T Bank, operates banking offices in New York, Pennsylvania, Maryland, Virginia, West Virginia, Delaware and the District of Columbia. Trust-related services are provided by M&T’s Wilmington Trust-affiliated companies and by M&T Bank.

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.