Park National Bank Receives Affordable Housing Program Awards

News provided by

Federal Home Loan Bank of Cincinnati

Jan 23, 2017, 12:59 ET

NEWARK, Ohio, Jan. 23, 2017 /PRNewswire/ -- The 2016 Affordable Housing Program (AHP) awards were approved recently by the FHLB Cincinnati's Board of Directors. Park National Bank will receive nearly $1.3 million in AHP subsidy to help produce 128 units of affordable housing for moderate-, low- and very low-income residents.

"Park National Bank has partnered with the FHLB for nearly two decades, and these are the largest AHP awards we have received. These projects are important as we continue to invest in the housing needs of the communities we serve," said Park National Bank CEO David L. Trautman. "We're grateful to be a part of the Affordable Housing Program because everyone involved demonstrates great commitment to the principles of community service."

The projects funded through Park National will benefit communities throughout Ohio including Cincinnati, Dayton, Upper Arlington, Piketon and Zanesville, Ohio. Information on all 2016 AHP recipients can be found on the FHLB Cincinnati website at fhlbcin.com.

"Over more than 25 years, our AHP has been steadily providing funds to make lasting change in our region by addressing the needs for affordable housing," said Andy Howell, FHLB Cincinnati, president and CEO. "The $621 million we have awarded since AHP's inception has made a tremendous impact due to the diversity, creativity and integrity of our lenders including Park National Bank, program sponsors and their clients and customers."

The largest award represents a $625,000 grant to help construct 97 multifamily rental units in Appalachian Pike County, Ohio, reserved for low-and very low-income tenants, 21 of whom have special needs. The grant will benefit Pike Metropolitan Housing Authority. The $9.8 million Vansant Commons project will be financed with equity from the sale of low-income housing tax credits, a permanent loan and cash contribution from Park National Bank, sponsor equity and loans, deferred developer fees, HDAP funds from OHFA, and the $625,000 AHP grant.

Other projects include:

A $250,000 grant to help construct 10 single-family homes in various Appalachian counties in Ohio for low- and very low-income, first-time homebuyers. The grant will benefit Habitat for Humanity of Southeast Ohio. The $750,000 Habitat project will be financed with permanent debt from Habitat, state/local government grants, Habitat fundraising, a cash contribution from Park National, donated land, and the $250,000 AHP grant.
A $200,000 grant help acquire and rehab eight single-family rental homes in Dayton, Ohio for very low-income households, seven of which have special needs and two of which will be coming out of homelessness. The grant will benefit Sanclare Properties. The $410,260 Kings Mill Plaza project will be financed with owner equity, a permanent loan and cash contribution provided by Park National and the $200,000 AHP grant.
A $110,000 grant to help rehab eight multifamily rental units in Upper Arlington, Ohio for very low-income tenants, seven of which have special needs. The grant will benefit the Community Housing Network, Inc. The $860,500 Northwest Boulevard project will be financed with a permanent loan and cash contribution from Park National, housing development grant funds funds from OHFA, deferred developer fees, and the $110,000 AHP grant.
An $87,490 grant to help construct two single-family homes and acquire and rehab three single-family homes in the Cincinnati area for low-income, first-time homebuyers. The grant will benefit Habitat for Humanity of Greater Cincinnati (HFHGC). The $470,544 Habitat project will be financed with permanent loans and fundraising from HFHGC, donated land, materials and professional labor, a cash contribution from Park National and HFHGC, and the $87,490 AHP grant. The project will provide housing in combination with a program offering services that assist residents to move toward better economic opportunities.

Each year FHLB 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. Since the first grants were awarded in 1990, FHLB Cincinnati has awarded more than $621 million to help create more than 78,500 units of affordable housing.

For more information on specific awards and details of AHP, visit the FHLB Cincinnati website at www.fhlbcin.com.

The Federal Home Loan Bank of Cincinnati is a $102 billion, triple-A rated regional wholesale bank providing financial services for residential housing and economic development to 692 member financial institutions located in the Fifth FHLB District of Kentucky, Ohio and Tennessee. The FHLB System, including 11 district FHLBs, was chartered in 1932 by the U.S. Congress to promote housing finance but is wholly owned by its member institution stockholders and does not use taxpayer dollars.

SOURCE Federal Home Loan Bank of Cincinnati