Affordable Housing Program Awardees

October 16, 2012

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

FHLBNY Awards $970,000 in Affordable Housing Grants in Somerset, Manalapan and Asbury Park

Three initiatives will create more than 145 affordable homes

Somerset, New Jersey – The Federal Home Loan Bank of New York announced today the award of a $630,000 grant to Rockland Housing Action Coalition to help finance the Independence Crossing project, which will create 64 units of affordable housing for very low-income seniors in Somerset; a $300,000 grant to TRF Development Partners to help finance the Wood Avenue Apartments project, which will bring 80 units of affordable housing for low- and very low-income families to Manalapan; and a $40,000 grant to Coastal Habitat for Humanity to help finance the Asbury Park Westside Redevelopment project, which will build two homes for very-low incomes families in Asbury Park. Home Loan Bank members Citibank, N.A., Liberty Bell Bank and Manasquan Savings 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.”

“We are extremely pleased to continue our relationship with Coastal Habitat for Humanity, the City of Asbury Park and the Federal Home Loan Bank of New York,” said Manasquan Savings Bank president, James S. Vaccaro. “As a community bank, we are dedicated to improving the vitality of our surrounding towns and that includes funding for construction and revitalization of our low-income households.” In March of this year, Manasquan Savings Bank financed the construction of an Asbury Park home with Coastal Habitat for Humanity.

The $630,000 grant for the Independence Crossing project will help fund the construction of 64 units of affordable housing for low-income seniors. The new units, five of which will provide supportive housing, will be made available to persons 55 and older. A full array of supportive services will be available to the residents on-site, including case management, on-site educational and training classes, and on-site senior-focused recreational activities. Additional financing will be provided by Low Income Housing Tax Credits, the New Jersey Housing and Mortgage Finance Agency and a conventional construction loan. Citibank, N.A. submitted the application for this project.

The $300,000 grant for the Wood Avenue Apartments project will help fund the construction of 80 affordable housing units for low- and very low-income families. The development will not only help meet Manalapan’s affordable housing obligation, it will also satisfy Monmouth County’s mission of providing much-needed new affordable rental housing to lower income families. Additional funding will be provided by Low Income Housing Tax Credits from the New Jersey Housing and Mortgage Finance Agency, a first mortgage from the New Jersey Housing and Mortgage Finance Agency, Manalapan Affordable Housing Trust Fund monies, Monmouth County HOME funds, JP Morgan Chase and deferred developer fees.

The $40,000 grant for the Asbury Park Westside Redevelopment project will help fund the construction of two homes for very low-income families. Each prospective homeowner family is required to participate in the construction of their homes to satisfy their “sweat equity” requirement. In addition to sweat equity, each family will undergo homebuyer counseling through Habitat’s Family Selection Committee. A Neighborhood Stabilization Program grant along with other sponsor fundraising will provide the balance of funding, which allow the sponsor to provide permanent financing at 0% over 30 years. Manasquan Savings Bank will provide construction financing.

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 visit 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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