In ten years in operation, HDC issues $500 million in obligations to finance the development of 12,100 units in 36 multi-family housing developments.

Similarly, HDC issues some $500 million in obligations to refinance over 28,000 units of Mitchell-Lama housing in 81 developments throughout the city.

HDC provides the city with nearly a half billion dollars in assistance during the fiscal crisis.

July 1980:
HDC is able to successfully market $108,975,000 in Multi-unit Mortgage Bonds.

FY 1981:
HUD asks HDC to structure a financing program to provide construction loans for the GNMA pipeline. HDC sells $122.8 million in bonds in January and March of 1981 and uses the proceeds to make construction loans to twenty projects containing 2,167 units.

The state increases HDC's bonding authority to $1.3 billion.

FY 1982:
The nation experiences record high interest rates and a deep recession, producing budgetary constraints at all levels of government; two major traders in government securities collapse. Nevertheless, HDC is still very productive.

HDC issues over $240 million of bonds and notes to finance 4,200 units of FHA-insured Section 8 assisted housing in 41 projects, including the largest insured multi-family housing bond offering ($173 million) ever known to have been issued in U.S.

HDC is able to permanently financed $35 million of notes reluctantly held by four NYC Pension Funds since 1975.

The state further increases HDC's bonding authority to $1.65 billion.

FY 1983:
For the second consecutive year, HDC is the leading issuer of tax-exempt debt to finance the construction of low-income multi-family housing in the nation. HDC issues the largest single multi-family housing bond issue for the year ($138.6 million) as well as the largest total amount of such debt issues over the course of the year (more than $217 million) compared to all other state housing finance agencies with multi-family programs. These issues provide construction and permanent financing for almost 3,000 units of Section 8-subsidized, FHA-insured housing.

Nov 1983:
Successful $125 million note sale in November 1983 leads to public housing "turnkey" construction loan program on a loan-to-lender basis.

FY 1984:
The federal government begins a wholesale retreat from its historic commitment to the production of low- and moderate-income housing. As a result, HDC develops and implements a program encompassing two bond issues, $138.6 million in April and $79.14 million in September, to finance virtually the entire FHA-insured, Section 8 pipeline in New York City.

HDC successfully completes two major assisted housing programs designed for 100% occupancy by low-income households.

HDC issues two multi-family notes totaling $252 million for builders of public housing "turnkey" projects; upon completion of construction, over 4,500 units of housing for low-income families in 29 developments are ready for purchase by NYCHA. HDC's action prevents the recapture of Federal contract funds needed to purchase and support this essential segment of the City's housing supply.

HDC creates the 80/20 Program with the authorization of a $68 million bond issue to finance Carnegie Park (462 total units) on the Upper East Side of Manhattan.

HDC creates the MAC (Municipal Assistance Corporation) program where $100 million of surplus revenue generated by MAC is used to provide annual interest reduction or operating subsidies. The MAC program is the city's first rental production program for low-, moderate- and middle-income families since the fiscal crisis.

September 1984:
HDC issues $19,210,000 in construction loan notes to provide construction financing for Newport Gardens (240 units) in Brownsville, Brooklyn. The financing of Newport Gardens concludes HDC's highly successful FHA-insured Section 8 program through which over 10,000 units of 100% low-income housing in 93 developments are constructed or rehabilitated.

FY 1985:
HDC emerges as the most active and innovative multi-family housing finance agency in the nation. During the year, HDC achieves a record number of financings, accomplishing the sale of nine individual bond issues during the fiscal year. Using the proceeds from these bond sales, HDC provides financing for approximately 4,000 rental units, including almost 1,100 residential units for low- and moderate-income families in an era when funding for affordable newly constructed or rehabilitated housing is limited.

HDC begins participating in HPD's Participation Loan Program (PLP), resulting in the moderate rehabilitation of approximately 2,700 apartments in New York City.

In conjunction with HPD, HDC finances several major sites in Manhattan's West Side Urban Renewal Area, including five 80/20 projects on Columbus Avenue.

HDC issues bonds totaling $96,021,640 to finance a mixed-use building on the campus of The Society of the New York Hospital; over 75% of the residential units are reserved at below market rents for nurses and hospital staff. The 32-year fixed rate transaction marks the Corporation's first use of bond insurance (provided by MBIA).

February 1985:
HDC issues bonds in the amount of $163,118,204 to enable the construction of a 1,100-unit project called Northtown Phase II on Roosevelt Island.

May 1985:
HDC issues bonds totaling $124,999,215 to finance the construction of two 80/20 projects in Battery Park City.

August 1985:
HDC initiates its Moderate-Income Rental Housing Program with the issuance of $40,000,000 in bonds and the conveyance of surplus revenues ($100 million) generated by the Municipal Assistance Corporation (MAC) to the newly created Housing Assistance Corporation (HAC), a subsidiary of HDC.

FY 1986:
HDC issues bonds in the amount of $33,910,000 to finance the development of Roslingate, a 216-unit development in Manhattan, the first unsubsidized 80/20 project financed by HDC involving a privately-owned site.

During November and December 1985, HDC issues $97,000,000 in bonds to finance three significant new construction projects, a $17,675,000 bond issue to finance rehabilitation projects, and a $250,000,000 bond issue to provide funding for a broad range of new construction and rehabilitation projects.

HDC receives an Award of Merit from the National Housing Conference, which recognizes HDC's important role in the development of low- and moderate-income rental housing.

HDC is also honored by the Association of Local Housing Financed Agencies, which cites HDC's innovative Moderate Rehabilitation Initiative as a model program featuring the creative use of local resources and the complex synthesis of multiple security techniques.

1986 is a year of intensive construction activity in HDC's 80/20 program; 80/20 projects in the Upper West Side Urban Renewal Area are completed.
HDC designs an innovative construction financing program for the Charlotte Gardens development in the South Bronx, which experiences difficulties following the default of its general contractors (this involvement by HDC is a forerunner for the corporation's Development Services Program).

Congress passes the Tax Reform Act of 1986, severely limiting the activity of HDC and other similar agencies. In response, Mayor Edward I. Koch, with the support of Governor Mario Cuomo, commences an ambitious ten year program which will provide for the creation, preservation and upgrading of 250,000 units of housing for low-, moderate- and middle-income families in New York City.

The state creates the Housing New York Corporation (HNYC) as another subsidy of HDC to implement the Housing New York Program, a unique urban development initiative which leverages surplus revenues of the Battery Park City Authority to support low- and moderate-income housing.

FY 1987:
Since its inception, HDC has provided financing for 60,000 units of low-, moderate- and middle-income housing for New Yorkers.

To counteract the negative effects of the Tax Reform Act of 1986, HDC begins:

• The issuance of taxable and 501(c)3 tax-exempt bonds
• The utilization of the recently created Low-Income Housing Tax Credit
• The provision of secondary mortgage financing through HAC
• The inauguration of the Development Services Program through which HDC directly commits its own resources to assist the City in its efforts to produce low-, moderate- and middle-income housing.

In August, HDC closes the $158,466,700 construction loan for the long awaited Roosevelt Island, Northtown Phase II project, containing 1,107 units of housing, after years of delay. Unfortunately, there are several problems:

• During the delay, construction costs escalated and the Tax Reform Act eliminated the tax benefits that were crucial for the ability to raise equity.
• To close the mortgage financing gap, HDC issues its first federally taxable bond issue.
• To help restore certain of the lost tax incentives, HDC allocates Low-Income Housing Tax Credits to the project.

Several 80/20 projects financed by HDC (Carnegie Park, The Westmont, 600 Columbus Avenue, James Tower, The Key West, Columbus Green and The Ellington) are all completed on time and within budget.

The construction loan closed for Logan Plaza, the first non-Federally subsidized new construction project in Harlem in a generation.

In August, Self-Help Sheltered Extension, a unique project providing both housing and related facilities for the frail elderly, begins construction.

Three Moderate Income Rental Housing Projects in Brooklyn containing 135 units, complete financing arrangements and achieve construction loan closings in August and September. In lieu of annual rental subsidies which had been provided for Phase I projects, HAC provides nominal interest construction and permanent financing in conjunction with funds provided by the Community Preservation Corporation (a financing format modeled after the City's PLP).

1987 may be referred to as the "Year of the Grand Concourse." In August, HDC finalizes financing for an additional Phase II Moderate Income Rental Housing Program project, 2051 Grand Concourse along with five other pre-war buildings on the Concourse financed in combination with funds from the Federal Housing Development Action Grant and City Participation Loan Programs.

In October, HNYC issues nearly $210,000,000 of tax-exempt bonds to provide financing for the City's Construction Management Program. Two sites are chosen to receive HNYC funding (Central Harlem and South Bronx). Each site contains approximately 925 units in vacant City-owned buildings to be substantially rehabilitated for low-income families, including over 600 permanent apartments for the homeless.

HDC implements its Development Services Program by assuming the role of Project Manager for the Tibbett Gardens development, a planned middle-income condominium in the Kingsbridge section of the Bronx containing 750 condos for households earning up to $48,000 annually. HDC also inaugurates a Seed Money Loan Program through which HDC expects to provide 18 not-for-profit sponsors of transitional and permanent housing for the homeless with up to $3,000,000 in working capital to undertake pre-development activities. The Seed Money Loan Program is expected to generate over 2,700 units for homeless individuals.

FY 1988:
1988 marks the completion of HDC's evolution from its historic role as a primary provider of mortgage financing for mixed-income multifamily rental housing to its new role as a partner with the City in the entire array of development activities under the Mayor's $5.1 billion Ten Year Housing Plan.

The year also marks an official end to the pre-tax reform era as a "pipeline" of over 3,000 rental apartments are successfully completed.

HNYC funds construction starts on 59 vacant, abandoned buildings in the South Bronx and Harlem containing 1,600 apartments for homeless and other low- and moderate-income households. The City of New York, through HNYC, is subsidizing the full cost of development, demonstrating the depth of the City's commitment to affordable housing.

HDC drastically expands its funding commitment to the Development Services Program by authorizing $6 million more in loans to the Archdiocese of New York and the Phipps Community Development Corporation to cover start-up costs for the rehabilitation of another 1,200 apartments under the Construction Management Program.

HDC initiates the Construction Loan Program by providing interest free construction financing for 18 limited equity moderate-income coops in the South Bronx.

Since 1980, there has been a reduction of Federal housing assistance by over 70%.

City successfully blocks an attempt by Congress to impose the same restrictions on 501(c)3 bonds which have crippled the use of "private purpose" bonds for the production of rental housing.

FY 1989:
HDC provides financing for nearly 1,000 units of newly constructed and substantially rehabilitated affordable housing through its Moderate Income Rental Housing Program as well as HPD's Vacant Building Program.

Construction commences on eight of the City's Capital Budget Homeless Housing Program projects for which HDC provided Seed Money Loans.

HDC issues three series of bonds to finance two newly constructed Moderate Income Rental Housing projects and the largest substantial rehabilitation project in the City's Vacant Building Program.

HDC issues $10 million in refunding bonds to provide a portion of the financing for the 151-unit Upper Fifth Avenue Place Apartments. HAC provides a $9.2 million 40-year second mortgage to make construction feasible.

In March, HDC issues $12.4 million in refunding bonds to provide a portion of the financing for Queenswood Apartments, a 296-unit Moderate Income Rental Housing Program project in Corona, Queens. HAC provides a $179 million 40-year second mortgage to ensure long-term affordability. Queenswood is unique because it is the first mid-rise multi-family development to take advantage of the prefabricated building system developed by Forest City Residential Development, Inc., resulting in a ten month, instead of eighteen month, construction period.

HDC first participates in the Vacant Buildings Program of HPD. In October, the corporation issues $11.6 million in refunding bonds to provide construction and permanent financing for Sheridan Manor Apartments, the single largest project in the Vacant Building Program (450 units). This financing represents the first financing which combines these sources of credit enhancement, one from a conventional construction lender with expertise in that area, and the other from a public benefit corporation with a successful history of insuring permanent mortgage loans for assisted multifamily housing.

Construction commences on the first projects which HDC assisted through its Seed Money Loan Program. Once completed, the projects will provide housing for a total of over 2,700 needy homeless individuals and families residing in Brooklyn, the Bronx and Manhattan.