NEW YORK, NY – October 29, 2010 – (RealEstateRama) — Thursday, October 28, 2010–New York State Homes and Community Renewal (HCR) today approved $287.8 million in financings and grants to build and rehabilitate 1,854 affordable homes, create jobs and stimulate local economies.
HCR consists of all 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.
The boards of the New York State Housing Finance Agency (HFA) and the New York State Affordable Housing Corporation (AHC) approved $271.8 million in financings, while the board of the Housing Trust Fund Corporation (HTFC) approved $16 million in grants and loans through the Community Development Block Grant Program (NYS CDBG), the Subprime Foreclosure Prevention Program, the Homes for Working Families Program and the Urban Initiatives Program.
Governor David A. Paterson said, “The awards approved today by HCR will benefit communities all across the State by creating new affordable housing opportunities, helping homeowners avoid foreclosure, supporting small business enterprises and generating new jobs. By taking advantage of the Federal government’s New Issue Bond Purchase Program, HCR was able to leverage very low interest rates with available State resources to provide much-needed affordable housing and help stabilize the State’s housing market. During this fiscal crisis, it is essential that government use its resources to provide the foundation for future growth and long-term prosperity and improve the quality of life for all New Yorkers.”
Brian E. Lawlor, Commissioner/CEO of HCR, said, “The staff of HCR has worked very hard to fulfill Governor Paterson’s directive to consolidate and merge the state’s housing agencies, and they should be commended for their efforts and success. Integration has allowed us to better coordinate our resources; today, for example, we approved bond financing from the Housing Finance Agency as well as low-interest loans from the Housing Trust Fund Corporation’s Homes for Working Families program for four multifamily affordable housing developments. This new business model saves time and money for the state as well as for our partners who help us to develop affordable housing and revitalize communities across the state.”
The awards and financing approved today include:
Statewide
HTFC approved:
–$991,575 to NeighborWorks America to implement a comprehensive foreclosure/default counseling training program that will provide housing counselors with the expertise to design, develop and implement effective foreclosure mitigation programs.
–$586,700 to the Empire Justice Center to develop and implement a training plan for lawyers to help homeowners at risk of losing their homes through foreclosure.
New York City
HFA approved:
–$65 million in financing to an entity sponsored by Glenwood Management Corp. to build a 25-story, 199-unit multifamily rental apartment at 330 W. 39th St. in Manhattan. Forty-two of the units will be set aside for low-income tenants making up to $35,650 for a family of three.
–$87 million in financing for an entity controlled by the Starrett Corp. to renovate Bay Park Towers Apartments, a 672-unit Mitchell Lama affordable rental housing project in Coney Island, Brooklyn. The 24-story development is currently 95% occupied.
–$11.5 million in financing for an entity controlled by the Allen A.M.E. Neighborhood Preservation and Development Corp. to build Allen by the Bay, a 66-unit affordable senior rental project on Loretta Road in Far Rockaway, Queens.
HTFC approved a $2.5 million loan from the Homes for Working Families Program for an entity controlled by Blue Sea Development Co. to help finance construction of Forest House Apartments. The 124-unit affordable rental apartment project will be located at 1071 Tinton Ave. in the Bronx. The development will also be financed with a $19.5 million construction loan provided by the New York City Housing Development Corp. The Mortgage Insurance Fund of the State of New York Mortgage Agency (SONYMA) will provide insurance for the permanent loan.
AHC approved two grants to Neighborhood Housing Services of Jamaica, Inc.:
–A $300,000 grant to finance the renovation of 30 homes in the Jamaica section of Queens. (The project previously received $45,000 in HOME funds and $75,000 in RESTORE funds approved by HTFC.)
–A $160,000 grant to acquire and renovate two two-family homes in the South Jamaica section of Queens. (The project previously received $150,000 in HOME funds approved by HTFC.)
Long Island
AHC approved:
–A $685,000 grant to the Long Island Housing Partnership to help finance the construction of 25 affordable condominium units in the Town of Islip, Suffolk County. The units will be part of a larger 252-unit condominium project.
–A $580,000 grant to Community Housing Innovations Inc. to acquire and rehab 16 affordable units in Nassau and Suffolk counties. (The project was previously received $400,000 in HOME funds approved by HTFC.)
Downstate Suburbs
HFA and HTFC approved:
–Financing to an entity controlled by L+M Development Partners to build Warburton Riverview Apartments–a 12-story, 92-unit affordable rental multifamily apartment building at 49 North Broadway in Yonkers, Westchester County. The project will receive $20.3 million in financing from HFA and a $2.5 million loan from the HTFC Homes for Working Families Program. SONYMA’s Mortgage Insurance Fund will provide mortgage insurance for the permanent loan.
–Financing for an entity controlled by Wilder Balter Partners and the Housing Action Council Inc. to build Roundtop Commons Apartments’a 92-unit affordable rental apartment complex located on Route 9A between Trinity Avenue and Crugers Station Road in the Town of Cortlandt in Westchester County. The project will receive $18.55 million in financing from HFA and a $2.5 million loan from the HTFC Homes for Working Families Program. SONYMA’s Mortgage Insurance Fund will provide mortgage insurance for the permanent loan.
–Financing for construction of Spring Valley Apartments, a 55-unit affordable multifamily rental apartment building at 70-94 Main Street in Spring Valley, Rockland County. The borrower is an entity controlled by CPC Resources Inc., a subsidiary of the Community Preservation Corporation, and the Rockland Action Housing Coalition, LLC. The project will receive $11.33 million in financing from HFA and a $1.89 million loan from the HTFC Homes for Working Families Program. The SONYMA Mortgage Insurance Fund will provide mortgage insurance for the permanent loan.
–Financing for an entity controlled by Warwick Properties, Inc. to build Liberty Green III Apartments, an 83-unit senior rental apartment complex at Three Liberty Court in the Village of Warwick in Orange County. The project will receive $11.86 million in financing from HFA and a $1.79 million loan from the HTFC Homes for Working Families Program. The SONYMA Mortgage Insurance Fund will provide mortgage insurance for the permanent loan.
HFA approved $11.3 million in financing for the construction of the 25 State Street Apartments, a 50-unit affordable rental development in the Village of Ossining in Westchester County. The borrower is an entity controlled by Peter Fine and Marc Altheim, principals of Atlantic Development Group, LLC. SONYMA’s Mortgage Insurance Fund will provide mortgage insurance for the permanent loan.
AHC approved a $720,000 grant to the Westchester County Department of Planning to build 18 single-family affordable homes on Cottage Street in the City of Rye. The project is designed to help address the county’s court-mandated obligations to create affordable housing.
Capital Region
AHC approved a $300,000 grant to the City of Troy to improve 50 single-family and 50 two-family homes in the south section of the city in Rensselaer County.
HTFC approved:
–A $100,000 NYS CDBG award to Schoharie County to assist Clifford Hay Trucking, Inc., a local trucking company that is seeking to reconstruct its business following a major fire in February. The NYS CDBG award will leverage more than $187,000 in private funds and lead to the retention of five full-time equivalent jobs.
–A $200,000 NYS CDBG award to the City of Mechanicville to establish the Mechanicville Microenterprise Program, which will help revitalize Mechanicville’s Main Street by helping start-ups and existing micro-businesses that have limited access to capital through traditional lending channels. The award will create at least 16 new full-time equivalent jobs.
–A $50,000 planning grant from the Sustainable Neighborhood Demonstration Program to TAP, Inc. to help develop revitalization plans for the South Troy and North Central neighborhoods in the City of Troy. The proposals will identify distressed and abandoned properties that can be rehabilitated and propose intervention plans.
North Country
AHC approved a $280,000 grant to Neighbors of Watertown to acquire and renovate eight housing units in Jefferson County.
HTFC approved a $100,000 NYS CDBG award to the Town of Plattsburgh in Clinton County to help expand Haley Lumber and Building Supply, a woman-owned business. The CDBG funds will leverage $150,000 in private financing and help create five full-time equivalent jobs.
Central New York
AHC approved a $177,300 grant to the Village of Herkimer to rehab 14 housing units in the village.
HTFC approved:
–A $200,000 NYS CDBG award to the City of Oneonta in Otsego County to establish the Oneonta Microenterprise Program, which helps start-ups and existing micro-businesses in the city that have limited access to capital through traditional lending channels. The award will help create 14 new full-time equivalent jobs.
–A $225,000 NYS CDBG award to Oneida County to help in the expansion of Bonide Products Inc., which produces weed, insect, and vegetative disease control products as well as repellents and home pest control products. The NYS CDBG funds will leverage more than $3.4 million in private financing. The award will help create 15 new full-time equivalent jobs.
–A $315,000 NYS CDBG award to Oneida County to assist in the start-up of McDonough Hardwoods, which will be a hardwood sawmill facility. The new company is being created by the principal of McDonough Lumber Co. Inc., which was devastated by a fire two years ago. The NYS CDG award will leverage more than $4.1 million in private investment and create 21 new full-time equivalent jobs.
–A $750,000 NYS CDBG award to Herkimer County to assist in the expansion of Remington Arms Co. Inc., one of the country’s oldest continuously operating manufacturers. The NYS CDBG award will leverage $3.65 million in private investment and create 100 full-time equivalent jobs.
Southern Tier
AHC approved:
–A $605,000 grant to Opportunities for Chenango, Inc. to acquire and renovate 22 housing units in Broome and Chenango counties.
–A $150,000 grant to the City of Binghamton’s Department of Planning, Housing and Community Development to acquire and renovate five housing units in Binghamton.
–A $400,000 grant to Ithaca Neighborhood Housing Services, Inc. to acquire and rehab 15 housing units in Tompkins County.
Western New York
HFA approved:
–$23.7 million in financing to an entity controlled by Conifer Realty, LLC to build Erie Harbor Apartments at 225-405 Mount Hope Avenue, a garden-style rental apartment complex in the City of Rochester. Of the 131 units, 27 will be set aside for tenants with incomes up to $30,000 for a family of three. SONYMA’s Mortgage Insurance Fund will provide mortgage insurance for the permanent loan. The project is adjacent to The Hamilton, a Mitchell Lama project that was renovated with HFA financing in 2008.
–$5.7 million in financing to renovate Wilcox Lane Apartments on Route 332 in the City of Canandaigua, Ontario County. The project is a 119-unit Mitchell Lama property originally built in 1972. The borrower is Wilcox Lane Senior Citizens Housing Co., Inc. The SONYMA Mortgage Insurance Fund will provide mortgage insurance for both the construction and permanent loan.
AHC approved:
–A $500,000 grant to the Town of Cheektowaga to renovate 20 housing units in the town.
–A $300,000 grant to Neighborhood Housing Services of South Buffalo, Inc. to renovate 20 housing units in the City of Buffalo.
–A $260,000 grant to the Center City Neighborhood Development Corp. to rehab 30 housing units in the City of Niagara Falls. (This project previously received $267,000 in HOME funds approved by HTFC.)
–A $300,000 grant to NeighborWorks Rochester Inc. to renovate 38 housing units in the city of Rochester.
–A $200,000 grant to Group 14621 Community Association, Inc. to rehab 25 housing units in the 14621 zip code in Monroe County.
HTFC approved:
–A $250,000 NYS CDBG award to the Town of Ontario in Wayne County to assist in the expansion of Harbec Plastics, Inc., a contract tool and die/general machine shop. The award will leverage $1 million in private financing and create 17 full-time equivalent jobs.
–A $100,000 NYS CDBG award to the City of North Tonawanda to help Evolation Yoga, LLC create a holistic healing center. The facility will also serve as the company’s corporate headquarters and a training center for yoga instructors. The NYS CDBG award will leverage $331,500 in private funds and create nine full-time equivalent jobs.
–A $200,000 Urban Initiatives Program grant to Community Services for the Developmentally Disabled, Inc. to renovate a 12-unit affordable rental apartment building on Delaware Avenue in the City of Buffalo.
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The following statements were provided in support of today’s awards and financings:
Assembly Majority Leader Ron Canestrari said, “The awards announced today will provide much-needed affordable housing opportunities for low- and middle-income families in New York, and help to create jobs and spur economic activity around the State. Clearly, the integration of the state’s housing agencies is already paying benefits, helping to increase the effectiveness of our housing programs and reducing unnecessary red tape.”
Senate Majority Conference Leader John L. Sampson said, “The funding approvals for these projects will benefit communities throughout the state by creating affordable housing, enhancing job creation, and helping struggling families stay in their homes during this tough economic period. I commend HCR for the work it continues to do to help New York move forward.”
Senator Liz Krueger, D-Manhattan, said, “Investing in the production and preservation of affordable housing is one of the most effective uses of government money in bad economic times. There is an economic multiplier effect by creating immediate construction jobs and long- term improvements in our housing infrastructure. In addition, the commitment of funds to help with foreclosure prevention could not come at a more crucial time for thousands of New Yorkers facing what may be illegal foreclosure actions throughout our State.”
Assembly Mitchell-Lama Housing Subcommittee Chair Linda B. Rosenthal said, “Affordable housing is essential to protecting the middle class and preventing families from relocating out of state. Too many New Yorkers spend a disproportionate percentage of their income on rent and housing expenses. I commend Housing and Community Renewal Commissioner (HCR) Brian Lawlor for recognizing this urgent need and making this vital commitment.”
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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.
Contact: Philip Lentz
212-872-0679
plentz (at) nyshcr (dot) org
Contact: James Plastiras
518-473-2526
JPlastiras (at) nyshcr (dot) org
