NEW YORK, NY - Alfred A. DelliBovi, president and CEO of the Federal Home Loan Bank of New York, announced that the Bank has awarded $35.5 million in subsidies to fund 48 affordable housing initiatives throughout New Jersey, New York, Puerto Rico, the U.S. Virgin Islands, Florida, Maryland and Pennsylvania. These awards are funded through the Bank's Affordable Housing Program ("AHP"), and will result in the creation or rehabilitation of 3,072 affordable housing units, including nearly 2,300 units dedicated to very low-income housing and more than 3,000 units of affordable rental housing. The awards will not only help provide housing, but also drive community development: it is anticipated that more than $607 million in development costs will be generated from these initiatives.
"This year marks the 25th anniversary of the creation of the Affordable Housing Program," said Alfred A. DelliBovi, president and CEO of the Federal Home Loan Bank of New York. "In that time, the Home Loan Bank has been honored to partner with both our members and scores of terrific non-profit housing organizations across the region to help build affordable homes. Thanks to the hard work of these community institutions, as well as the support the Program continues to receive from Congress, the AHP has become one of the most successful housing programs in the nation."
The $35.5 million announced today are funds drawn from the Bank's earnings. As mandated by Congress, the Bank forgoes 10 percent of its earnings each year to support these neighborhood housing and economic development initiatives.
For more information on today's grants, please visit www.fhlbny.com/2013AHPOffering
The Federal Home Loan Bank of New York's AHP provides member-lenders with direct subsidies which are passed on to income-qualified households through sponsoring local nonprofit organizations. 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 a competitive application process. Each competing project must be sponsored by a financial organization that is a member of the Bank in partnership with a community-based sponsoring organization.
The AHP was created by Congress in 1989, and the Federal Home Loan Banks have distributed more than $4.8 billion in AHP funds since grants began in 1990. At the Federal Home Loan Bank of New York, the AHP has supported 1,386 projects with nearly $475 million in grants, helping to create or preserve nearly 60,250 units of affordable housing and generating an estimated $8.5 billion in total development costs.
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.