FOR IMMEDIATE RELEASE
August 2, 1999
Justin Blake, NYC Partnership
NYC Department of Housing Preservation and Development and the New York City Housing Partnership Announce Designation of Developers for 2,366 Affordable Homes
The New York City Housing Partnership and the New York City Department of Housing Preservation and Development (HPD) announced the designation of developers for the construction of more than 2,000 homes for sale to moderate and middle-income families under the Partnership New Homes and Neighborhood Builder Programs. The Partnership New Homes Program is New York City's largest new housing construction program.
The homes will be sold to families with annual incomes between $32,000 and $70,950. The New Homes and Neighborhood Builder Programs are designed to meet the growing need for affordable homeownership opportunities for New Yorkers.
"We encourage homeownership because it gives people the opportunity to build equity for the future and invest in their communities," said HPD Commissioner Richard T. Roberts.
Over $21 million in City funds have been committed to the latest development of new homes which will be located in 28 sites. The City is contributing the land and up to $10,000 per dwelling unit, and the State is contributing up to $15,000 per dwelling unit. Partnership projects generally consist of one, two, or three family homes and low-rise condominiums. All Partnership homes must be owner-occupied for the first 25 years or the subsidies are repayable. The City's investment will leverage $192 million in other public and private funding for affordable housing.
The completion of these homes will bring the total number of units completed under the New Homes and Neighborhood Builders programs to more than 17,000 since the programs' start in 1984. Over that period of time, the City has invested more than $161 million in the two programs, which, in turn, has leveraged more than $1.2 billion in other government and private financing.
Under the New Homes Program, established developers are identified to develop moderately-priced, owner-occupied, one to three-family homes and condominiums on selected sites in New York City. Through the Neighborhood Builder Program, small locally-based developers are selected to develop such housing and receive additional development assistance. Both programs use funds from the New York City Capital Budget and the New York State Affordable Housing Corporation.
The developers selected are responsible for obtaining private bank financing for the construction of the projects. At the construction loan closing, the sites are conveyed by the City to the NYC Partnership Housing Development Fund Company, Inc. ("HDFC") which will, in turn, contract with the developers to build and sell the homes. Marketing for these homes will begin in Fall, 2000, for occupancy in 2001.
New York City Housing Partnership President and CEO Veronica M. White added, "Each of these new affordably priced homes will give a family the opportunity to lay roots in their community. Homeownership is the cornerstone of neighborhood vitality."
HPD's mission is to promote quality housing and viable neighborhoods for New Yorkers. The department is the nation's largest municipal housing development agency. Since Fiscal Year 1994, the agency has completed the construction or rehabilitation of nearly 58,000 units of affordable housing.
The New York City Housing Partnership works to promote development of affordable housing, revitalization of neighborhoods, and expanded participation by local residents and entrepreneurs in the economic benefits of community development. The Housing Partnership was established in 1982 by the City's premier business and civic organization, the New York City Partnership.