Massachusetts Affordable Housing Gets $9.3 Million Boost

Thirteen Initiatives Throughout the State Receive Funding for 240 Rental
and Ownership Units

BOSTON, July 1 /PRNewswire/ — The Federal Home Loan Bank of Boston
(the Bank) awarded nearly $9.3 million in grants, loans, and rate subsidies
to fund 240 units of affordable rental and ownership housing in Boston,
Greenfield, Ipswich, Lawrence, Newton, Northampton, New Bedford, North
Chelmsford, Pittsfield, Roxbury, Spencer, Turners Falls, and Westfield. Of
that amount, more than $4.3 million is in the form of grants or subsidies.
In all, 28 initiatives received more than $17.5 million in grants, loans,
and rate subsidies as part of the Bank’s Affordable Housing Program (AHP)
to create or preserve 445 rental and ownership units for very low-, low-,
and moderate-income individuals and families.

Each year, the Bank commits 10 percent of its net profits to provide
grants and subsidized, below market-rate loans through the AHP. “The credit
crisis has made the need for affordable housing even greater,” said Michael
A. Jessee, the Bank’s president and chief executive officer. “Now more than
ever, working families, seniors, and special needs populations need decent
housing, and I’m proud that our contribution will help make that a reality
for more than 400 individuals and families.”

Representative Barney Frank (D-Newton) added, “I am proud that I was
able to follow the lead of the late Henry B. Gonzalez in the successful
fight to establish the Federal Home Loan Banks’ Affordable Housing Program.
It has worked so well that it is now the model for the affordable housing
program we are currently moving to establish.”

AHP funds are used to create or preserve affordable housing and help
pay construction, acquisition, or rehabilitation costs. Member financial
institutions work with local developers to apply for AHP funding, awarded
twice a year through a competitive scoring process. The application
deadline for the second round of this year’s AHP awards is September 12,
2008.

The mission of the Federal Home Loan Bank of Boston is to support the
residential-mortgage and community-development lending activities of its
members, which include over 450 financial institutions across New England.
To accomplish its mission, the Bank utilizes private-sector capital to
provide members and other qualified customers with reliable access to
low-cost wholesale funds, liquidity, a competitive outlet for the sale of
loans, special lending programs, technical assistance, and other products
and services.

Information on the awards follows, and is also available at
http://www.fhlbboston.com/ahp.

Location: Boston
Member: Bank of America Rhode Island, N.A.
Sponsor: Pine Street Inn, Inc.
Number and Type of Units: 37 rental
Amount and Type of Subsidy: $325,000 grant
38-42 Upton Street. Acquisition and extensive rehabilitation of three
historic brownstone row houses in the South End to provide
single-room-occupancy housing for 36 very low-income individuals. Thirty
units will be set aside for the formerly homeless, and one additional
manager’s unit will be targeted for an individual earning between 51 and 60
percent of the area median income. Green building features will enhance
energy efficiency while preserving the building’s historic elements. The
initiative will have an extensive social service component including
24-hour staffing. In addition to the AHP grant, Bank of America Rhode
Island, N.A. will provide a construction loan to the project. Additional
funding includes grants from the City of Boston HOME, Commonwealth of
Massachusetts HOME funds, Housing Innovation Funds, and Neighborhood
Housing Trust Funds.

Location: Greenfield
Member: Greenfield Co-Operative Bank
Sponsor: DIAL/SELF Teen Services
Number and Type of Units: 10 rental
Amount and Type of Subsidy: $400,000 grant
196 Federal Street. Rehabilitation of a historic Queen Anne home into
10 efficiency units for homeless at-risk youth. Six units will be reserved
for very low-income individuals and four units will be reserved for
individuals with incomes between 51 and 80 percent of the area median
income. This two-year transitional housing initiative is designed to help
youth, many of whom are aging out of the foster-care system and represent a
high percentage of persons living in emergency shelters in Massachusetts.
The sponsor will provide individualized services, including financial
planning and job matching. In addition to the AHP grant, Greenfield
Co-Operative Bank is providing construction financing and the permanent
debt. Additional funding includes the Massachusetts Housing Innovations and
Stabilization Funds and the Affordable Housing Trust Fund.

Location: Ipswich
Member: Institution for Savings in Newburyport and its Vicinity
Sponsor: YMCA of the North Shore
Number and Type of Units: 48 rental
Amount and Type of Subsidy: $790,987 grant, $1.25 million advance
Powder House Village. Construction of 48 new units on land adjacent to
an existing YMCA facility. Sixteen units will be reserved for very
low-income households and 32 units for households earning between 51 and 60
percent of the area median income. Residents will provide input into
property management and benefit from daycare; after-school, weekend, and
summer youth programs; and self-sufficiency programs and training. The
initiative will be funded by Low Income Housing Tax Credits, local and
state HOME funds, Affordable Housing Trust funds, Massachusetts Housing
Partnership, and sponsor equity. In addition to the AHP grant, the
Institution for Savings in Newburyport and its Vicinity will provide a
construction loan and permanent financing through the AHP-subsidized
advance.

Location: Lawrence
Member: Pentucket Five Cents Savings Bank
Sponsor: Bread and Roses Housing, Inc.
Number and Type of Units: 4 ownership
Amount and Type of Subsidy: $99,996 grant
Bread & Roses Housing 8. Construction of two duplexes on land donated
by the Lawrence Housing Authority that will create four homeownership units
for very low-income families. Each three-bedroom home will meet
high-performance, energy-efficient standards. All families will receive
homeownership counseling and be offered education and daycare services.
Pentucket Five Cents Savings Bank will provide 80 percent of the permanent
financing, Bread and Roses will provide approximately 20 percent of the
permanent financing, and other funding will come from the City of Lawrence,
the Stevens Foundation, and the McCarthy Memorial Trust Fund.

Location: Newton
Member: Brookline Bank
Sponsor: Riverside Community Mental Health & Retardation Center, Inc.
Number and Type of Units: 8 rental
Amount and Type of Subsidy: $119,359 grant and subsidy, $239,521 advance
173 Tremont Street. Acquisition and rehabilitation of an existing
building to provide eight units of energy-efficient housing for very
low-income individuals with special needs. The sponsor will provide
employment training, employment, transportation services, and other
supportive services to encourage resident involvement in the community. In
addition, 24-hour staff will be available to facilitate interaction, ensure
safety, and support skill training and reinforcement. Brookline Bank will
provide long-term financing with the AHP-subsidized advance.

Location: New Bedford
Member: Citizens-Union Savings Bank
Sponsor: Community Action for Better Housing
Number and Type of Units: 8 rental
Amount and Type of Subsidy: $207,342 grant and subsidy, $225,000 advance
Penniman Street Homes. Acquisition and minor renovation of a foreclosed
three-family property with seven single-room-occupancy units to preserve an
existing transitional housing program serving disabled, homeless, very
low-income adults. Residents will be referred from a homeless shelter
operated by Market Ministries, and the program will provide financial
planning, ESL, and GED classes, and a residents’ council. This initiative
adheres to smart-growth principles, including land reuse, access to public
transportation, and energy-efficiency, and will contribute to public safety
through a crime watch. Rockland Trust Company will provide the
AHP-subsidized advance to reduce the mortgage to a sustainable debt service
level.

Location: North Chelmsford
Member: Enterprise Bank and Trust Company
Sponsor: Chelmsford Housing Authority
Number and Type of Units: 37 rental
Amount and Type of Subsidy: $573,851 grant and subsidy, $1.38 million
advance
CHOICE Center. Construction of 32 one-bedroom and five two-bedroom
apartments for seniors on a campus created by the Chelmsford Housing
Authority. Twenty-four units will be reserved for households who earn less
than 50 percent of area median income and the remaining 13 units will be
for households earning between 51 and 60 percent of area median income.
This housing model will address the needs of low-income elders who need
assistance to continue living independently. All residents will benefit
from transportation, elder daycare, and managed healthcare. The initiative
will be funded with Low Income Housing Tax Credits and Massachusetts
Department of Housing and Community Development funds. In addition to the
AHP grant, Enterprise Bank and Trust Company will provide a construction
loan and permanent financing through the AHP-subsidized advance.

Location: Northampton
Member: Florence Savings Bank
Sponsor: Pioneer Valley Habitat for Humanity
Number and Type of Units: 2 ownership
Amount and Type of Subsidy: $59,567 grant
Garfield Avenue - Phase 1. Construction of two townhomes on donated,
formerly brownfield land to create ownership opportunities for very
low-income, first-time home buyers. This initiative represents the first
phase of a six-unit subdivision. The sponsor is partnering with Smith
Vocational High School for construction, and the new home owners will
provide sweat equity and receive employment and
ownership/financial-literacy counseling, and micro-business lending. The
“green” townhomes will include photovoltaic panels with funding from the
Massachusetts Technology Collaborative Green Building Program. In addition
to the AHP grant, Florence Savings Bank will provide a construction line of
credit.

Location: Pittsfield
Member: Berkshire Bank
Sponsor: United Veterans of America, Inc.
Number and Type of Units: 39 rental
Amount and Type of Subsidy: $360,981 grant and subsidy, $351,000 advance
Berkshire Veterans’ Village. Creation of 39 units of supportive housing
for homeless veterans. Ten of the 39 units will be handicapped accessible
and the remainder will be adaptable. The five wood-frame buildings and
community center will be close to jobs, public transportation, educational
institutions, and veterans’ services. The site hopes to be a national model
and achieve LEED certification with green elements that include a biodiesel
cogeneration facility for heat and electricity and photovoltaic panels.
Supportive services will include employment training, family
self-sufficiency, and job placement. A residents’ association will be
actively involved in managing the property. Berkshire Bank will provide
construction financing and the permanent debt through the AHP-subsidized
advance. Grants and deferred loans from HUD and the Commonwealth of
Massachusetts will provide additional funding.

Location: Roxbury
Member: RBS Citizens, N.A.
Sponsor: Nueva Vida, Inc.
Number and Type of Units: 14 rental
Amount and Type of Subsidy: $567,387 grant, $800,000 advance
Nueva Esperanza. Demolition and construction of 14 studio apartments
for very low-income, homeless individuals recovering from substance abuse.
This property is adjacent to the sponsor’s parent organization, Nueva
Esperanza, which will provide supportive services including employment
training and managed health care. The property will be constructed and
managed to be energy and water efficient. RBS Citizens, N.A. is providing
construction financing and permanent debt through the AHP-subsidized
advance. The Massachusetts Affordable Housing Trust Fund and Housing
Innovations Fund plus HOME funding from the City of Boston will provide
additional funding.

Location: Spencer
Member: Chittenden Trust Company
Sponsor: South Middlesex Opportunity Council, Incorporated (SMOC)
Number and Type of Units: 23 rental
Amount and Type of Subsidy: $612,697 grant, $680,000 advance
Main Street - Spencer. Acquisition, preservation, rehabilitation, and
conversion of three adjacent two-story buildings to create permanent,
affordable, energy-efficient housing for the formerly homeless. The
facility will provide 18 single-room-occupancy units and shared kitchen,
baths, dining, and living areas, four two-bedroom units, and one studio
apartment. All 23 units will be reserved for very low-income individuals
recovering from substance abuse. The sponsor will provide a comprehensive
range of supportive services that address chronic homelessness. A live-in
house manager will facilitate group food preparation, house meetings, and
chores to help residents transition into permanent housing. In addition to
the AHP grant, Chittenden Trust Company will provide the permanent
financing with the AHP-subsidized advance.

Location: Turners Falls
Member: Greenfield Savings Bank
Sponsor: Pioneer Valley Habitat for Humanity
Number and Type of Units: 1 ownership
Amount and Type of Subsidy: $29,955 grant
Turners Falls - Phase 2/53 L Street. Construction of a single-family,
energy-efficient home on donated land for a very low-income, first-time
home buyer. This initiative is the second of two homes to be built on this
parcel. The home is being constructed in collaboration with Franklin County
Technical High School Construction Trades Program, with high school
students building the home during the week and Habitat volunteers
completing the less technical aspects on the weekend. Home buyers will
provide sweat equity and benefit from homeownership counseling and daycare
services. The home will also include photovoltaic panels with funding from
the Massachusetts Technology Collaborative Green Building Program.
Greenfield Savings Bank will provide the construction line of credit.

Location: Westfield
Member: Westfield Bank
Sponsor: DOMUS, Inc.
Number and Type of Units: 9 rental
Amount and Type of Subsidy: $200,000 grant
The Reed House Annex. Construction of a two-story, multifamily building
to provide housing for very low-income, special-needs individuals. The
initiative will create eight enhanced efficiency units and a one-bedroom
unit for an income-eligible resident who will work as an onsite manager.
The design will include community and program spaces, and residents will be
provided GED classes, training, employment, transportation, and a
residents’ council. The initiative will be funded by the Department of
Housing and Urban Development, Massachusetts Department of Housing and
Community Development, and MassHousing. In addition to the AHP grant,
Westfield Bank will be providing a construction loan.

CONTACT: Mark S. Zelermyer

617-292-9750

mark.zelermyer@fhlbboston.com

Real Estate Central

Massachusetts Affordable Housing Gets $9.3 Million Boost

Recent Posts

Categories

Archives

Meta