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BOSTON—The Federal Home Loan Bank of Boston (the Bank) awarded more than $3.5 million to fund 147 units of affordable housing in four Connecticut communities. All but one unit will be rental. In all, 23 initiatives throughout New England received more than $18 million in grants, loans, and rate subsidies as part of the Bank’s Affordable Housing Program (AHP) to create or preserve 629 rental and ownership units for very low-, low-, and moderate-income individuals and families.

Each year, the Bank sets aside 10 percent of its net profits to provide grants and subsidized, below market-rate loans through the AHP. “The AHP is one way we help our member banks help their communities secure safe, decent, and affordable housing,” said Michael A. Jessee, the Bank’s president and chief executive officer. “This round helps a wide range of households throughout New England, from the homeless and elderly to the disabled and those fleeing domestic violence. We are proud to help make a difference in the lives of these families.”

“I want to congratulate the nonprofit organizations and their industry partners for making such an important contribution to creating new housing opportunities for the people of Connecticut,” added Senator Chris Dodd (D-CT), chairman of the Banking, Housing, and Urban Affairs Committee. “These awards cover the spectrum from public housing, to elderly housing, to homeownership. I commend the Federal Home Loan of Boston for its good work in helping to finance these important projects.”

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 AHP awards is September 28, 2007.

The Federal Home Loan Bank of Boston (www.fhlbboston.com) is a 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:	Middletown, Connecticut
	Member:	Liberty Bank
	Sponsor:	Northern Middlesex Habitat for Humanity, Inc.
	Units:	1 ownership unit
	Subsidy:	$24,740 grant
	Pearl Street Project
	New construction of a three-bedroom, single-family residence to be sold to a very low-income, first-time home buyer. The home owner will be offered daycare services, a sweat equity provision, an after-school program, and financial literacy training. The property is located near public transportation, incorporates high-performance, energy-efficient design, and contributes to community organizing activities. In addition to the AHP direct subsidy, Liberty Bank is providing a line of credit and a grant. Other funding includes sponsor equity and a home-buyer down payment. Approved in Round One of the 2007 AHP.

	Location:	New Haven, Connecticut
	Member:	Bank of America Rhode Island, N.A.
	Sponsor:	Housing Authority of the City of New Haven (HANH)
	Units:	102 rental units
	Subsidy:	$375,000 grant
	Eastview Terrace Phase 1
	Demolition, rehabilitation, and new construction to redevelop an existing public-housing development. This initiative, the first of two phases that will result in 127 units, will rehabilitate and build 102 apartments for very low-income families and construct a new community center for residents. The sponsor will provide a residents’ council, a family self-sufficiency program, and job-placement services. The property is accessible to public transportation, incorporates high-performance, energy-efficient features, and offers residents civic opportunities. Bank of America Rhode Island, N.A. will provide construction and permanent financing, and additional financing includes Low Income Housing Tax Credit equity, the U.S. Department of Housing and Urban Development, state grants, and sponsor equity. Approved in Round One of the 2007 AHP.

	Location:	Seymour, Connecticut
	Member:	Naugatuck Valley Savings and Loan
	Sponsor:	16 Bank Street LLC
	Units:	8 rental units
	Subsidy:	$748,825 grant and subsidy, $750,000 advance
	16 Bank Street Apartments
	Acquisition and rehabilitation of an historic downtown building. The sponsor will create 12 units of elderly housing in this mixed-use initiative, eight of which will be affordable to low- and moderate-income households. The Seymour Housing Authority will manage the units, which will meet high-performance, energy-efficient standards. Residents will have easy access to public transportation and be provided managed healthcare, financial planning, education, and a residents’ council. Naugatuck Valley Savings and Loan will supply a construction loan and permanent financing. Approved in Round One of the 2007 AHP.

	Location:	Shelton, Connecticut
	Member:	Naugatuck Valley Savings and Loan
	Sponsor:	Area Congregations Together, Inc.
	Units:	36 rental units
	Subsidy:	$689,170 grant and subsidy, $950,000 advance
	Spooner House
	New construction of 36 units of transitional rental housing for chronically homeless families with incomes at or below 50 percent of area median income. All residents will be provided a family self-sufficiency program, financial-planning and job-match services, and the opportunity to participate on the residents’ council. This initiative reuses previously developed land, is accessible to public transportation, incorporates high-performance, energy-efficient elements, and contributes to community organizing activities. A food bank is also located within the property. Naugatuck Valley Savings and Loan is supplying construction financing and permanent financing funded with an AHP subsidized advance. Other funding includes HUD CDBG, a grant from the Connecticut Department of Social Services, and private donations. Approved in Round One of the 2007 AHP.