Federal Home Loan Bank of NY awards $42M for affordable housing projects

The Federal Home Loan Bank of New York (FHLBNY) awarded nearly $42 million in subsidies to fund 42 affordable housing initiatives in several states.

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The awards, which went to initiatives in New Jersey, New York, Puerto Rico, the U.S. Virgin Islands, California, Connecticut, Florida, Pennsylvania, and Texas, will result in the creation, rehabilitation, or preservation of 2,693 units, including 1,945 units dedicated to very low-income housing. Further, the awards will drive community development, as more than $1.29 billion in housing investments will result from the development of these initiatives.

“Each year, our annual Affordable Housing Program awards stand as a reminder that our ability to execute on our foundational liquidity mission delivers more than just funding to our region’s local lenders and stability to our financial system, but real, tangible support for vital housing initiatives across our District and beyond,” José González, president and CEO of the FHLBNY, said. “That is because our AHP awards are funded directly through our earnings, and so as we continue to meet our members’ needs throughout the year, we also enhance our ability to meet the needs of the communities we all serve.”

The FHLBNY is part of the Federal Home Loan Bank System, a national wholesale banking network of 11 regional, stockholder-owned banks. The FHLBNY serves 335 financial institutions in New Jersey, New York, Puerto Rico, and the U.S. Virgin Islands.

The $41.98 million in grants are funded through FHLBNY’s Affordable Housing Program (AHP), which provides members with direct subsidies that are passed on to income-qualified households through sponsoring local community-based organizations. The AHP was created by Congress in 1989, and the 11 Federal Home Loan Banks have awarded more than $7.6 billion in AHP funds since the first awards in 1990.

As part of this recent award, the following New Jersey communities will benefit from the announced funds: Atlantic City, Englewood Cliffs, Forked River, Fort Lee, Gladstone, Jefferson, Mahwah, Midland Park, Newark, North Plainfield, Robbinsville, Skillman, Stirling, Toms River and Waldwick.

In New York, the funds will benefit The Bronx, Brooklyn, Franklin Square, Jamaica, Kingston, Manhattan, Olean, Queens, Roslyn Heights, Saratoga Springs, Syracuse, Troy and Williamsville.

Further, the communities of San Sebastian, Puerto Rico, and Christiansted and St. Thomas in the U.S. Virgin Islands will also receive grants. Finally, grants were also awarded for Burlingame, California; Bridgeport, Hartford, and Naugatuck, Connecticut; St. Petersburg, Florida; Philadelphia, Pennsylvania; and Austin, Texas.