CINCINNATI, OH - Federal Home Loan Bank of Cincinnati President David Hehman today announced Affordable Housing Program grants of $14.8 million and American Dream Homeownership Challenge grants of $900,000. Together, the $15.7 million in grants will help create 1,132 units of affordable housing projects benefiting low and very-low income residents of Kentucky, Ohio and Tennessee. The grants also include more than $2.3 million to help rehab housing vacant due to foreclosure.
"Communities are being devastated by the impact of foreclosed, vacant properties that are blighting our neighborhoods," Mr. Hehman said. "We made an effort this year to work with our members and housing partners to preserve communities by returning these abandoned properties to occupancy."
The grants include $14.8 million in funds awarded under the Affordable Housing Program (AHP) to help create 1,063 units of affordable housing and $900,000 in American Dream Homeownership Challenge funds to help bring homeownership to minorities and those with special needs. Funds will be awarded to 36 member financial institutions in the FHLBank Cincinnati's district of Kentucky, Ohio and Tennessee.
Each year, the FHLBank Cincinnati sets aside 10 percent of net earnings for the congressionally established AHP, which helps create affordable housing for very low, low and moderate-income residents. In 2008, the FHLBank Cincinnati awarded grants totaling $27.4 million to provide 2,027 units of affordable housing. The FHLBank has contributed $295 million toward the creation of more than 46,000 units of lower-income housing through its Affordable Housing Program since 1990.
In addition, American Dream is a voluntary program, outside of the FHLBank's affordable housing obligation. This year, nearly $2.5 million in American Dream grants were awarded in three rounds to help minorities and those with special needs achieve homeownership. Since the program was created in 2003, more than $9.9 million has been awarded to help 1,177 households.
Source: GlobeNewswire.com