TOMS RIVER, NJ- The Federal Home Loan Bank of New York announced today the award of a $442,500 grant to Project Freedom, Inc. to help finance the Freedom Village at Toms River project, which will construct a 72-unit affordable rental housing community on 10 acres of land in Toms River. Investors Bank, a member of the Federal Home Loan Bank of New York, submitted the application for the funding.
"Although the economy has shown some signs of improvement, I know that people in South Jersey are still struggling," said Congressman Runyan (NJ-3). "Federal affordable housing programs play a critical role in helping families get back on their feet. The Affordable Housing Program has been very successful in supporting housing initiatives across New Jersey, and I applaud the Federal Home Loan Bank of New York and Investors Bank for their decision to invest in much-needed affordable rental housing in Toms River."
"We support the Affordable Housing Program's development of rental housing in Toms River because we are focused on making a positive difference in the communities we serve in Southern New Jersey and across the Garden State," said Investors Bank President and CEO Kevin Cummings. "Investors recently completed the acquisition of Roma Bank, and we are continuing Roma's tradition of helping individual and families live in safe, affordable and well built homes. Our belief is that a good home is key to living a more fulfilled life."
"This year marks the 25th anniversary of the creation of the Affordable Housing Program," said Alfred A. DelliBovi, president and CEO of the Federal Home Loan Bank of New York. "In that time, the Home Loan Bank has been honored to partner with both our members and scores of terrific non-profit housing organizations across the region to help build affordable homes. Thanks to the hard work of these community institutions, as well as the support the Program continues to receive from Congress, the AHP has become one of the most successful housing programs in the nation."
Freedom Village at Toms River will consist of a 72-unit affordable housing rental community on 10 acres of land. The surrounding area is mixed zoning with both residential units and businesses. The units will be available to low- and very low-income households, and will be totally self-sufficient. The building will include green features and conform to New Jersey Energy Star V-3 requirements. Additional financing will be provided by the National Equity Fund, Federal Low Income Housing Tax Credits, the New Jersey Mortgage and Housing Finance Agency Fund for Restoration of Multifamily Housing, the Sandy Special Needs Housing Fund Community Development Block Grant Program, TD Bank, and Toms River Affordable Housing funds.
The grant is part of $35.5 million in Affordable Housing Program ("AHP") subsidies that the Federal Home Loan Bank of New York will award as its 2013 AHP grant round. In total, these grants will help finance 48 affordable housing initiatives which will create or preserve 3,072 units of affordable housing, including more than 2,200 units of very low-income housing, in New Jersey, New York, Puerto Rico, the U.S. Virgin Islands, Florida, Maryland and Pennsylvania. The 12 Federal Home Loan Banks have distributed more than $4.8 billion in AHP funds since 1990. At the Federal Home Loan Bank of New York, the AHP has supported 1,386 projects with nearly $475 million in grants, helping to create or preserve 60,250 units of affordable housing and generating an estimated $8.5 billion in total development costs.
The Federal Home Loan Bank System's Affordable Housing Program, created in 1989, provides member community lenders with direct subsidies, which are passed on to qualified households through a sponsoring local non-profit organization. AHP financing is combined with other funding sources to create housing for moderate-, low- and very-low-income families. Program awardees receive this funding through semi-annual competitive rounds. Each competing project must be sponsored by a financial organization that is a member of the Federal Home Loan Bank in partnership with a community-based sponsoring organization.