press release

363 New Units of Affordable Housing To Be Constructed In Manhattan, Brooklyn and the Bronx

-Targeting New Yorkers Earning from $ 25,000 up to $125,500 -

New York, NY, October 25, 2005
The New York City Housing Development Corporation (HDC), the nation’s number one issuer of bonds for multi-family affordable housing, held a meeting of its Members today to approve financing for 363 new units of affordable housing as part of Mayor Michael R. Bloomberg’s housing initiative The New Housing Marketplace: Creating Housing for the Next Generation. The Members approved the use of $44 million in tax exempt and taxable bond financing as well $7.1 million from HDC’s corporate reserves for four developments to be constructed in Manhattan, Brooklyn and the Bronx.

Three of the developments that received approval will be financed through HDC's middle-income program known as the New Housing Opportunities Program (New HOP). This program provides mortgages through the sale of taxable bonds. Additionally, a 1% second mortgage is provided through HDC's corporate reserves. Apartments created through this program are primarily rented to households earning up to 175% of AMI or $109,000 for a family of four. The three to receive this financing will be constructed in Manhattan and Brooklyn and will create 67 apartments. In total, the Members approved the sale of $11.5 million in taxable bonds and the use of $3.1 million of the Corporation’s reserves for these developments:

  • Little Larkspur – A 5-story elevator building to be located at 316 West 117th Street in the Morningside Heights neighborhood of upper Manhattan, containing a total of 22-units with apartment sizes ranging from one-bedroom to two-bedroom apartments. HDC is providing a $4.9 million loan from the sale of taxable bonds as well as a 1% second mortgage loan of $990,000 from its corporate reserves.

  • 116 West 116th Street – An 8-story, 21-unit development to be located in the Morningside Heights neighborhood of upper Manhattan with apartment sizes ranging from one-bedroom to two-bedroom apartments. HDC is providing a $2.9 million loan from the sale of taxable bonds and a 1% second mortgage loan of $945,000 from its corporate reserves.

  • 344 & 348 Bergen Street – A 24-unit development to be located in the Boerum Hill section of Brooklyn with apartment sizes ranging from studio to one and two-bedroom apartments. HDC is providing a $3.7 million loan from the sale of taxable bonds and a 1% second mortgage loan of $1.1 million from its corporate reserves.

    "The Members also approved financing for a development consisting of four multi-family buildings with a total of 296 apartments. Highbridge Apartments is to be constructed at 1345 Shakespeare Avenue and 1401, 1404 and 1450 Jesup Avenue in the Bronx and with apartment sizes ranging from studio, one, two and three bedroom apartments with twenty-two of the units designated for the formerly homeless. This development received Member approval to use a $32.5 million loan made from the sale of tax-exempt bonds and a 1% interest second mortgage loan in the amount of $4.1 million from HDC’s corporate reserves. Financing is made possible through HDC’s Low-Income Affordable Marketplace Program (LAMP). LAMP provides financing to developers for the creation of affordable apartments reserved for tenants earning no more than $17,000 for an individual and up to $37,680 for a family of four.

    The New York City Housing Development Corporation (HDC) is the nation's number one issuer of bonds for multi-family affordable housing. Established in 1971 as a public benefit corporation, HDC facilitates the creation of affordable housing throughout the five boroughs by providing below- market financing. Most of HDC's loans are financed through the issuance of tax-exempt or taxable bonds, as well as through mortgages made directly from its Corporate reserves.

    HDC has a seven-member governing body. Shaun Donovan, the Commissioner of the New York City Department of Housing Preservation and Development (HPD), is ex-officio Chairperson. Martha E. Stark, the Commissioner of the New York City Department of Finance (DOF), and Mark Page, the Director of the office of Management and Budget (OMB), also serve as ex-officio members. The Mayor and the Governor both appoint two members to HDC's governing body. Harry E. Gould, Jr. and Peter Madonia are Mayoral appointees, with Mr. Madonia serving as Vice Chairperson. Michael Kelly and Charles O. Moerdler were appointed by the Governor.


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