The New York City Housing Development Corp. plans to issue more than $455 million in bonds and provide more than $115 million in additional financing to fund the new construction and preservation of 2,527 units of affordable housing in 13 developments across the five boroughs.
Its board of directors approved the funding on June 1.
This marks the latest issuance under the corporation's sustainable neighborhoods bonds, which HDC launched last year to align its missions of affordable housing and community development with rising market interest in socially beneficial investments.
The 13 developments will further advance Housing New York, Mayor Bill de Blasio's plan to create and preserve 200,000 affordable homes over 10 years.
Jamaica Estates in Queens with Artimus Construction will expand a program with the U.S. Treasury Department's Federal Financing Bank, as the first new construction project in the nation to participate, according to an HDC official.
The FFB program provides low-interest financing to projects funded by state and local agencies through a risk-sharing structure with the U.S. Department of Housing and Urban Development. HDC had previously piloted this program for preservation projects.
New construction projects also include Melrose Commons Supportive Housing in the Bronx, a collaboration with HUD, the city Housing and Preservation, the New York City Housing Authority and nonprofit partner The Bridge Inc., that will provide affordable housing and critical services to formerly homeless veterans.
The latest preservation efforts include five aging Section 8 projects comprising 20 buildings in Harlem that will be reorganized into one new development – called Tahl Propp Section 8 Preservation Portfolio -- to ensure physical rehabilitation and financial stability.
