NYS HCR Approves $342 Million in Financings and Grants for Affordable Housing and Economic Development

NEW YORK, NY (12/13/2010)(readMedia)-- New York State Homes and Community Renewal (HCR) recently approved $342 million in financings and grants to build and preserve 541 affordable housing units, create jobs and stimulate local economies around the state.

HCR consists of the major housing and community renewal agencies of New York State, which were recently merged and integrated under a single management structure. By aligning similar programs, HCR has reduced paperwork, red tape and duplicative efforts, increasing the efficiency of the State's housing programs while reducing costs.

Governor David A. Paterson said, "By working closely with public, private, and grassroots partners, we are making resources available to move communities forward with much-needed revitalization and housing opportunities. Supporting the ability of more New Yorkers to access quality housing, own a home, or secure a job in a thriving community is key to turning our economy around and enhancing the quality of life throughout New York."

Brian E. Lawlor, Commissioner/CEO of HCR, said, "These awards reflect the integrated agency's business model by building partnerships, leveraging a variety of program resources, and employing new investment strategies to better meet the affordable housing and community renewal needs of New York. This combination of financings and grants is coming together to connect neighborhoods with jobs, increase and improve affordable multifamily rental housing options in New York City, renovate homes to preserve affordable housing upstate, and-ultimately-create more vibrant communities across New York."

The awards include nearly $339 in financings from the New York State Housing Finance Agency (HFA), and the New York State Affordable Housing Corporation (AHC). The board of the Housing Trust Fund Corporation (HTFC) approved $2.75 million in grants through the Community Development Block Grant Program. In addition, the HTFC board approved community planning awards totaling $678,360 for 24 counties, towns, villages and cities across the state.

The awards and financings approved are listed by region:

New York City

HFA approved:

• $77 million in financing to an entity controlled by Two Trees Management Co. to build Clinton Park Apartments, a 222-unit multifamily rental apartment building at 770 Eleventh Ave., Manhattan. Forty-four of the units will be set aside for tenants with household incomes up to $39,600 for a family of four.

• $94.6 million in financing to an entity controlled by the Estate of Stanley Stahl to build the 388 Bridge Street Apartments, a 234-unit multifamily rental apartment building located in downtown Brooklyn. Forty-seven of the units will be set aside for tenants with household incomes up to $39,600 for a family of four.

• $22.2 million to finance the conversion of a building at 25 Washington St. in the DUMBO section of Brooklyn to a 106-unit multifamily rental apartment building. Twenty-one of the units will be set aside for tenants with household incomes up to $39,600 for a family of four.

• $99 million in financing to an entity controlled by The Dermot Company to build a 333-unit multifamily apartment building at 29 Flatbush Ave., Brooklyn. Sixty-seven of the units will be set aside for tenants with household incomes up to $39,600 for a family of four.

AHC approved a $650,000 grant to the Housing Partnership Development Corp. to help finance the construction of 10 two-family homes on the Rockaway Peninsula at Beach 63rd Avenue, Queens. Prospective homeowners can have a household income of up to $84,173 for a family of four.

Westchester County

HFA approved $41 million in financing to an entity controlled by the principals of Atlantic Development Group, LLC to build the La Porte Apartments, a 159-unit multifamily rental building at 203 Gramatan Avenue in the City of Mt. Vernon. The apartments will be reserved for households with incomes up to $62,820 for a family of four.

AHC approved two grants to help the county address court-mandated obligations to create affordable housing:

• $2.04 million grant to the Housing Action Council to help finance the construction of 51 condo units in two separate buildings on Palmer Avenue in the Village of Larchmont.

• $800,000 grant to help Westchester County through its Department of Planning acquire 20 foreclosed homes throughout the county, renovate them and sell them at affordable prices.

Capital Region

AHC approved:

• $160,000 grant to the Fulton County Community Heritage Corporation to renovate eight homes in Fulton County.

• $300,000 grant to the Albany County Rural Housing Alliance Inc. to renovate 16 single-family homes and two two-family homes in Albany County.

HTFC approved:

• $291,000 NYS CDBG award to Rensselaer County to assist in the expansion of Etransmedia, a technology-based company that provides software and information to physician practices. The award will leverage more than $500,000 in private investment and lead to the creation of 29 full-time equivalent jobs.

• $650,000 NYS CDBG award to the Town of Richmondville in Schoharie County to assist in the expansion of the Maranatha Physical Therapy and Sports Complex. The award will leverage nearly $2 million in private financing and lead to the creation of 44 full-time equivalent jobs.

Central New York

AHC approved $600,000 to the Onondaga County Community Development Division for the acquisition and rehabilitation of 20 single-family homes in the county outside the City of Syracuse.

HTFC approved a $315,000 NYS CDBG award to the City of Oneida to help in the expansion of Oneida Molded Plastics, which produces television connector components for corporate customers. The award will leverage $585,000 in additional public and private financing and lead to the creation of 21 full-time equivalent jobs.

Southern Tier

AHC approved:

• $300,000 grant to Better Housing for Tompkins County to renovate 24 single-family homes in Tompkins County outside the City of Ithaca.

• $300,000 grant to the City of Elmira through its Department of Community Development to repair 25 homes in the city.

• $150,000 grant to M-ARK Project, Inc. to rehab 15 single-family homes in Delaware County in the Towns of Andes, Bovina, Middletown and Roxbury and the Villages of Margaretville and Fleischmanns.

HTFC approved:

• $750,000 NYS CDBG award to the Town of Conklin in Broome County to join with Empire State Development to help in the expansion of Silicon Solar, Inc., which makes and distributes residential solar products. The award will leverage $3.3 million in private investment and will result in the creation of 52 new full-time equivalent jobs.

• $330,000 NYS CDBG award to the Town of Stamford in Delaware County to help finance the Stamford Society Foundation Adult Care Facility. The award will help offset the costs of the purchase of furniture, fixtures and equipment and lead to the creation of 33 full-time equivalent jobs.

• $200,000 NYS CDBG award to Chenango County to establish the Chenango County Microenterprise Program. The grant will provide small grants to 18 start-ups and existing micro-businesses within the county that have limited or no access to capital. The award will create at least 10 new full-time equivalent jobs.

Western New York

HTFC approved a $216,000 NYS CDBG award to the City of Geneva to assist in the expansion of Zotos International, Inc., a hair care and styling products firm in Geneva. The award will leverage more than $4.1 million in private investment and more than $4.8 million in total investment and lead to the creation of 18 full-time equivalent jobs.

In addition, the State of New York Mortgage Agency's Mortgage Insurance Fund (MIF) approved commitments to insure six projects in New York City

The MIF promotes the preservation and revitalization of communities across New York by providing insurance on mortgage loans that encourage investment of capital by commercial and public lenders. The MIF approved commitments to insure:

• A $23,590,000 NYC Housing Development Corporation (HDC) permanent mortgage loan for the rehabilitation of 13 public housing developments located in Brooklyn, Bronx, Staten Island and Manhattan containing 14,476 low-income apartments. Mortgage insurance for the permanent loan allowed the New York City Housing Authority to access funds for critical capital improvements and long term HUD operating support for these properties through a federalization transaction that tapped American Recovery and Reinvestment Act funds, tax credit equity and HDC tax-exempt bond financing.

• An $18,430,000 HDC permanent mortgage loan for the rehabilitation of Good Neighbor Apartments, 114-132 East 104th Street, Manhattan, 118 low-income units.

• A $9,480,000 HDC permanent mortgage loan for the rehabilitation of Mother Zion Houses, 2640 Frederick Douglas Boulevard, Manhattan, New York County, containing 76 low income units. Certificate #10-1716.

• A $6,050,000 Low Income Investment Fund permanent mortgage loan for the construction of Sugar Hill Houses, 404-414 West 515th Street, Manhattan, containing 124 low- and moderate-income units.

• A $3,000,000 permanent loan for the construction of Richmond Hill Senior Apartments, 127-03 Jamaica Avenue, Richmond Hill, Queens County containing 65 low-income units.

• A $6,809,664 CPC permanent mortgage loan for the rehabilitation of 652-660 Southern Boulevard, 1037 and 1047 Avenue St. John, Bronx County.

The NYS Housing Finance Agency was created in 1960 to sell bonds to finance the construction and rehabilitation of multifamily affordable rental housing in New York State.

AHC, an HFA subsidiary, was established in 1985 to promote homeownership by low- and moderate-income households. Financial assistance approved annually by the New York State Legislature, combined with other private and public investment, is used for the construction, acquisition, rehabilitation and improvement of owner-occupied housing.

The Housing Trust Fund Corporation, an HFA subsidiary, was established in 1985. The mission of the Corporation is to create decent affordable housing for persons of low-income by providing loans and grants for the rehabilitation of existing housing or the construction of new housing under the Low-Income Housing Trust Fund Program.

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