NEW YORK – November 14, 2008 – (RealEstateRama) – New York State approved nearly $14.5 million in financing today to preserve 280 units of affordable housing on Long Island. The actions were taken by the boards of the New York State Housing Finance Agency (HFA) and its subsidiary, the New York State Affordable Housing Corporation (AHC).The approvals included $12.6 million in financing for major capital improvements at Adams Court in Hempstead and three AHC grants: a $1 million grant to the Community Development Corporation of Long Island to improve 167 homes in Nassau and Suffolk counties; a separate $500,000 grant to CDCLI to acquire and rehab 14 homes on Long Island; and a $450,000 grant to the Long Island Partnership Development Fund Corp. Inc. to improve 15 homes in the Town of Babylon.
“The financings we approved today demonstrate our commitment to preserve affordable housing on Long Island even in difficult economic times,” said Priscilla Almodovar, President and Chief Executive Officer of HFA and AHC. “It also reinforces the Paterson administration’s mission of making New York State a better place to live and work.”
Today’s actions were among $66.8 million in financings approved by HFA and AHC that will create or preserve 1,059 affordable housing units across the state.
Adams Court Apartments
HFA approved a $10 million mortgage and a $2.6 million second mortgage to finance the acquisition and renovation of Adams Court, a Section 8 rental apartment located at two sites in the Village of Hempstead, Nassau County. Adams Court consists of 84 units in seven two-story buildings located at the corner of S. Franklin Street and Grove Street and at the corner of Evans Avenue and Maple Avenue. The sites are located one-quarter of a mile apart.
The apartments will be rented to households with incomes up to $58,260 for a family of four. Tenants will remain in their apartments during the renovation. Improvements include new roofing, new security systems, upgraded hot water heaters and new high efficiency appliances.
The borrower will be Adams Court Housing Development Fund Corporation, which is controlled by Project 1 Realty LLC, whose members are Peter and Paul Alizio.
The project’s total cost is $16.4 million. In addition to HFA financing, the development’s existing Federal project-based Section 8 subsidy will continue. The project also will receive an annual allocation of $572,938 in Federal Low Income Housing Tax Credits, a real estate abatement from Nassau County; a $600,000 loan from the Nassau County Home Fund; and a loan to be determined from the Housing Trust Fund of the NYS Division of Housing and Community Renewal (DHCR).
Long Island Home Improvement Program
AHC approved a $1 million grant to CDCLI to finance improvements for 167 single-family homes in Nassau and Suffolk counties.
The AHC grant will be used to correct basic structural defects or foundation problems, such as roofs and electrical, heating and plumbing systems. Grant awards will be limited to households earning up to $87,002 for a family of four.
The total cost of the project is $1.67 million. In addition to the AHC grant, the project will receive $670,000 in weatherization funds provided by DHCR.
First-Time Home Buyer’s Assistance Program
AHC also approved a $500,000 grant to CDC to acquire and renovate 14 single-family homes in Nassau and Suffolk counties for first-time homebuyers.
Purchasers in the project will participate in CDC’s homebuyer education program, which consists of individual and group counseling, including a homebuyer readiness assessment. CDC will help homebuyers find a home on the open market, assess the work required, evaluate the costs, and assist in obtaining and selecting contractor bids. Grant awards will be limited to households earning up to $116,520 for a family of four.
The total cost of the project is $5.45 million. In addition to the AHC grant, the project will receive $108,000 provided by the Federal Home Loan Bank of New York.
Town of Babylon Home Improvement Program
AHC approved a $450,000 grant to the Long Island Partnership Housing Development Fund Corporation, Inc. to finance improvements for 15 single-family homes in the Town of Babylon.
The AHC grant will be used to correct basic structural defects, replace roofs, doors, windows, and siding, upgrade electrical, heating, and plumbing systems, and replace deficient water and septic systems. Grant awards will be limited to households earning up to $87,002 for a family of four.
The total cost of the project is $1.335 million. In addition to the AHC grant, the project will receive $700,000 in HOME funds and $185,000 in Community Development Block Grant (CDBG) funds provided by the Town of Babylon.
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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, a subsidiary of NYS Housing Finance Agency, was established in 1985 to promote homeownership by low- and moderate-income households by providing financial assistance approved by the State Legislature for the construction, acquisition, rehabilitation and improvement of owner-occupied housing.
Contact: Philip Lentz
Director of Communications
212-872-0679
plentz (at) nyhomes (dot) org
