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BOSTON — The Federal Home Loan Bank of Boston (the Bank) awarded more than $3.5 million to fund 161 units of affordable housing in five Maine communities. Of these, 135 will be rental and 26 will be ownership units. 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.”

“It should continue to be a national priority for all Americans to have access to safe, affordable housing,” said Senator Susan Collins (R-ME). “The initiatives supported by this funding from the Federal Home Loan Bank of Boston will assist many Mainers and will go a long way to help create a better standard of living in the communities to which they are being awarded.”

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:	Bangor, Maine
	Member:	Machias Savings Bank
	Sponsor:	Manna, Inc.
	Units:	38 rental units
	Subsidy:	$240,000 grant
	Manna Housing
	Acquisition and rehabilitation of a four-story brick building to create 10 emergency shelter beds, 28 single-room-occupancy (SRO) units, and nonresidential and commercial space. The 28 SRO units will be affordable for very low-income, homeless clients. The sponsor will provide job-placement, employment-training, and transportation services and form a residents’ council. Smart-growth features include reuse of a building, accessibility to public transportation, and a residential housing density of eight units per acre. Machias Savings Bank is providing a line of credit and permanent financing. Additional funding will include charitable donations through a capital campaign. Approved in Round One of the 2007 AHP.

	Location:	Canton, Maine
	Member:	Bangor Savings Bank
	Sponsor:	Greater Brunswick Housing Corporation
	Units:	26 ownership units
	Subsidy:	$400,000 grant
	Canton Village Center
	New construction of 25 single-family homes and substantial rehabilitation of a single-family home. Due to flooding that destroyed much of the town in December 2003, town leaders were forced to evacuate the fire station, town office, sewer plant, and 219 residents. The town is creating affordable housing in a new central village away from the flood plain with the support of federal and state officials, and the new construction will target four families earning less than 50 percent of area median income, 10 families between 51 and 60 percent, and 12 families between 61 and 80 percent of area median income. All home owners will receive first-time home-buyer counseling and be offered daycare services, training, and participation in a home-owners’ association. The initiative is accessible to public transportation, incorporates high-performance, energy-efficient elements, and contributes to community organizing activities. Including the AHP grant, Bangor Savings Bank will provide interim financing and provide end mortgages to qualified home buyers. Other funding sources include USDA/Rural Development program, the Maine State Housing Authority, a State of Maine Legislation Appropriation, and proceeds from the sale of homes. Approved in Round One of the 2007 AHP.

	Location:	Fort Kent, Maine
	Member:	Camden National Bank
	Sponsor:	Genesis Community Loan Fund
	Units:	18 rental units
	Subsidy:	$119,997 grant and subsidy, $120,000 advance
	Riverview Park Cooperative
	Acquisition and rehabilitation of an existing, investor-owned manufactured-home park that will be converted to a resident-owned cooperative. Twelve units will be occupied by households with incomes at or below 50 percent of area median income, six with incomes between 61 and 80 percent of area median income, and four units will be market rate. All residents will be offered financial planning, educational services, participation in the home-owners’ association, and legal authority for management. This initiative reuses previously developed land, is accessible to public transportation, and contributes to community organizing activities. Camden National Bank is providing a fee waiver and permanent financing funded by an AHP-subsidized advance. Other funding includes owner equity and loans and grants from USDA, CDBG, Genesis Community Loan Fund, and the Maine Department of Economic and Community Development. Approved in Round One of the 2007 AHP.

	Location:	Kennebunk, Maine
	Member:	Bangor Savings Bank
	Sponsor:	The Housing Partnership
	Units:	35 rental units
	Subsidy:	$580,228 grant and subsidy, $775,000 advance
	Bethesda House
	Modular construction of 35 rental townhouses. Twenty-one units will be affordable for very low-income families and 14 will be reserved for families earning less than 60 percent of the area median income. The sponsor will partner with community organizations to offer daycare services and employment training, homeownership and financial literacy training, and GED courses. The initiative is accessible to public transportation, links residents to the local crime watch, and encourages resident participation on the organization’s board of directors. Bangor Savings Bank is providing the construction financing as well as the permanent loan through the AHP-subsidized advance. Additional funding includes Low Income Housing Tax Credit equity, state HOME funds, a deferred developer fee, tax-increment financing, and charitable donations. Approved in Round One of the 2007 AHP.

	Location:	Kennebunk, Maine
	Member:	Kennebunk Savings Bank
	Sponsor:	Accessible Space, Inc.
	Units:	14 rental units
	Subsidy:	$400,000 grant
	Kennebunk Supportive Housing Development
	New construction of an independent living development that will be accessible and affordable for very low-income individuals with disabilities. The initiative will target 14 individuals with incomes at or below 50 percent of the area median income. An additional manager’s unit will be for an individual earning above 80 percent of the area median income. Residents will be provided managed healthcare, job and financial-literacy training, and the opportunity to participate on the residents’ council. Smart-growth features include accessibility to public transportation, a residential housing density that exceeds eight units per acre, and high-performance, energy-efficient features. Kennebunk Savings Bank will provide interim financing, including the AHP grant. Other sources of funds include HUD Amendment funds, a Maine State Housing Authority grant, and sponsor equity. Approved in Round One of the 2007 AHP.

	Location:	Saco, Maine
	Member:	Gorham Savings Bank
	Sponsor:	Avesta Housing
	Units:	30 rental units
	Subsidy:	$468,734 grant and subsidy, $470,000 advance
	Cascade Brook
	New construction of 30 rental units for seniors. Eighteen units will be occupied by households with incomes at or below 50 percent of area median income and 12 units will be earmarked for households earning between 61 and 80 percent of area median income. All residents will be offered transportation services, financial literacy training, managed healthcare, and participation on the residents’ council. This initiative also incorporates high-performance, energy-efficient elements and contributes to community organizing activities. Gorham Savings Bank will provide permanent financing funded by a subsidized advance. Other funding includes Low Income Housing Tax Credit equity, a deferred developer fee loan, and deferred debt from the Maine State Housing Authority. Approved in Round One of the 2007 AHP.