Federal Home Loan Bank of New York Awards $33.6 Million For 57 Affordable Housing Initiatives

-Combined projects will create or rehabilitate more than 2,800 affordable housing units throughout New Jersey, New York, Maryland and Pennsylvania-

NEW YORK, Jan. 26, 2012 /PRNewswire-USNewswire/ -- Alfred A. DelliBovi, President and CEO of the Federal Home Loan Bank of New York, announced that the Bank has awarded $33.6 million in subsidies to fund 57 affordable housing initiatives throughout New Jersey, New York, Maryland and Pennsylvania. These awards are funded through the Bank's Affordable Housing Program ("AHP"), and will result in the creation or rehabilitation of 2,837 affordable housing units, including more than 2,200 units dedicated to very low-income housing and nearly 2,700 units of affordable rental housing. The awards will not only help provide housing, but also drive community development: it is anticipated that more than $486 million in development costs will be generated from the development of these initiatives.

"Safe, decent and affordable housing is vital not only to the stability of our economy, but our communities and families, as well," said Mr. DelliBovi.  "The Federal Home Loan Bank of New York is proud to offer this funding to continue to support those who strengthen the foundation of this cornerstone of the American Dream.  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, and their work towards revitalizing our country's housing sector."

For more information on today's grants, please visit www.fhlbny.com/news/pressrelease.htm.

The $33.6 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. 

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 Federal Home Loan Banks have distributed $4.3 billion in AHP funds since 1990.  At the Federal Home Loan Bank of New York, the AHP has supported more than 1,300 projects with grants of more than $425 million, creating nearly 59,000 units of affordable housing and generating an estimated $8.2 billion in total development costs. 

The New Jersey communities of Allendale, Atlantic City, Bayonne, Brick, Camden, Jersey City, Millstone Township, Newark, Orange, Somerset, Trenton, Vineland, Weehawken and Woolwich will benefit from the funds announced today.

The New York communities of Albany, Brooklyn, Buffalo, Canandaigua, Clarkson, East Patchogue, Henrietta, Kirkville, Ithaca, Mt. Vernon, New York, New Rochelle, Niagara Falls, North Tonawanda, Norwich, Ossining, Rochester, Rome, Seneca Falls, Syracuse and Webster will benefit from the funds announced today.

Baltimore, Maryland, and Philadelphia, Pennsylvania, will also benefit from the funds announced today.

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 Federal Home Loan Bank of New York serves 330 community lenders in New Jersey, New York, Puerto Rico, and the U.S. Virgin Islands. The mission of the Home Loan Bank is to advance housing opportunity and local community development by maximizing the capacity of community-based member-lenders to serve their markets.

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.

CONTACT: Eric Amig, +1-212-441-6807, or Brian Finnegan, +1-212-441-6877

SOURCE Federal Home Loan Bank of New York

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