Back

BOSTON — The Federal Home Loan Bank of Boston (the Bank) awarded a $300,000 grant to fund the construction of 24 units of affordable rental housing in Windham. In all, 12 initiatives in New England received more than $14.5 million in grants, loans, and rate subsidies as part of the Bank's Affordable Housing Program (AHP) to create or preserve 361 rental and ownership units for very low-, low-, and moderate-income individuals and families.

The Bank sets aside 10 percent of its net profits each year to provide grants and subsidized, below market-rate loans through the AHP. "Members and their community partners turn to the AHP as an important resource for funding affordable housing," said Michael A. Jessee, the Bank's president and chief executive officer. "Together we're helping to increase the supply of affordable housing throughout New England."

"Maine has an affordable housing crisis, and the 24 affordable units this grant funds is a step toward meeting this challenge," U.S. Representative Tom Allen said. "I am also pleased that Congress approved funding I requested for road and sewer improvements in Windham necessary for this development. I remain a strong supporter of the Federal Home Loan Bank of Boston, and will continue to work in Congress to ensure that it remains strong and provides resources for more important projects like this one."

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 and final round of this year's AHP awards is September 30, 2005.

The Federal Home Loan Bank of Boston (www.fhlbboston.com) is a $45 billion, cooperatively owned wholesale bank for housing finance in the six New England states. Its mission is to support the residential-mortgage and community-development lending activities of its members, which include over 460 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 www.fhlbboston.com/ahp. For more information, see our backgrounder.

The Awards

	Location:	Windham, Maine
	Member:	Gorham Savings Bank
	Sponsor:	Avesta Housing
	Units:	24 rental units
	Subsidy:	$300,000 grant
	Little Falls Landing
	New construction of 24 one-bedroom rental units for very low-income elderly. The 1.15-acre site is a portion of an abandoned mill located in the Village of Little Falls in the Town of Windham, and the remainder of the site is being developed as condominiums. The design of the three-story structure, which invokes traditional New England architecture, encourages and supports independence, discourages isolation, and provides a safe and secure environment. Avesta will offer a wide range of supportive services, and residents will have access to nutritional, housekeeping, personal care, and health services, as well as affordable transportation and financial assistance. The property will be funded primarily through a capital advance from the HUD Section 202 program. Gorham Savings Bank is also providing a $3.0 million construction loan. AHP funds will be used for acquisition, construction, and rehabilitation. Approved in Round One of the 2005 AHP.