FOR IMMEDIATE RELEASEDeputy Mayor Doctoroff receives check representing the continuation of one of the largest public/private partnerships in the United States
June 10, 2002
Jeffrey Gannon, LISC (212) 455-1611
Mary Beth Guyther, Neighborhood Partnership HDFC, (212) 262-9575
Carol Abrams, HPD (212) 863-5176
Rhonda A. Lewis, Bridge Street Development Corporation (718) 573-6893
Brooklyn, New York, June 10, 2002- The New York Equity Fund (NYEF) today announced a new $150 million commitment for housing development in New York's low-income communities throughout Brooklyn, the Bronx and Upper Manhattan. The commitment will continue a long-standing partnership between NYEF, private corporations, the City of New York and non-profit community development groups that has so far resulted in over 16,000 affordable housing opportunities.
Michael Rubinger, President and Chief Executive Officer of the Local Initiatives Support Corporation (LISC), and Terri Y. Montague, President and Chief Operating Officer of Neighborhood Partnership HDFC, presented Deputy Mayor Daniel Doctoroff with a check for $150 million at a recently renovated apartment building on Greene Avenue in the Bedford-Stuyvesant section of Brooklyn. The renovation of the derelict, tax-foreclosed property was completed by the Bridge Street Development Corporation - a non-profit, faith based developer- with funds from the City of New York and equity invested by the NYEF. The Greene Avenue development is only one example of a citywide effort by HPD, NYEF and non-profit community development organizations to develop clean, safe and affordable housing on a citywide scale.
The New York Equity Fund was created by LISC and Neighborhood Partnership HDFC to facilitate private investment in low-income communities in New York City. In partnership with the City of New York's Department of Housing Preservation and Development (HPD), the NYEF assists corporations in utilizing the Federal low-income housing tax credit which in turn results in millions of dollars for the development of affordable housing. Companies such as Astoria Federal Savings, Bank of America, The Bank of New York, Citigroup, Deutsche Bank, Fannie Mae, Fleet Bank, Freddie Mac, HSBC Bank USA, and JP Morgan Chase, and several others, have invested over $1 billion towards this effort.
"The NYEF partnership and HPD will continue to work closely to increase affordable housing opportunities during one of the tightest real estate markets in recent memory," said Michael Rubinger. "The tax credit program is one of the best ways to help revitalize distressed communities in need of assistance and we will continue to work with the City to find innovative ways to attract private funds for affordable housing."
"This is a highly effective transfer of equity from the corporate world to low-income communities," said Jerilyn Perine, Commissioneer of HPD. "By turning around troubled buildings, we're having a direct impact on the lives of the tenants of those buildings and the people on the block."
"Neighborhood Partnership HDFC is pleased to be working with LISC and HPD to continue the important work of the New York Equity Fund," said Ms. Montague, who traveled to New York from Foundation headquarters in Columbia, Maryland, for the ceremony. "We are extremely proud of our connection to the Fund, and we believe it represents one of the best examples in the United States of the types of improvements that can be made in low-income communities when community leaders, private developers, committed investors, and different branches of government work together for a common goal."
"By aiding in the creation of high-quality, affordable housing, NYEF and HPD help BSDC realize its mission of making Bedford-Stuyvesant a place where families of all incomes are proud to call home," comment Rhonda Lewis. "This investment will make a tremendous difference to Bedford-Stuyvesant and other neighborhoods like it."
The NYC Department of Housing Preservation and Development's mission is to improve the availability, affordability and quality of housing in New York City through a variety of preservation, development and enforcement strategies. The department is the nation's largest municipal housing development agency. Since 1988, HPD has sponsored the construction or rehabilitation of over 200,000 rental and home ownership units throughout New York City.
Founded in 1988 as a joint venture between the Local Initiatives Support Corporation (LISC) and Neighborhood Partnership HDFC, the New York Equity Fund (NYEF) is a leading nonprofit syndicator of the low-income tax credit in New York City. NYEF organizes partnerships of leading corporations to invest in affordable rental housing developed by non-profit community development corporations (CDCs) and locally based entrepreneurs.
Local Initiatives Support Corporation (LISC) is the nation's leading community development support organization. LISC helps resident-led, community-based development organizations transform distressed communities and neighborhoods into healthy ones - good places to live, do business, work and raise families. By providing capital, project training and consultation, LISC supports the development of local leadership and the creation of affordable housing, commercial and community facilities, businesses and jobs. In New York City, LISC has helped local nonprofit developers create over 16,000 new homes and apartments and 1,000,000 square feet of commercial, industrial and retail space.
Neighborhood Partnership HDFC is celebrating 20 years of rebuilding America's low-income communities by helping provide affordable housing, safer streets and access to jobs and child care. Launched by Jim and Patty Rouse in 1982, Neighborhood Partnership HDFC works with partners and a network of 2,200 community-based organizations in 800 U.S. locations. By leveraging investments and donations from nonprofit, private sector and government partners, Neighborhood Partnership HDFC has committed more than $3.9 billion in equity, loans and grants to build and renovate more than 132,000 homes.
The Bridge Street Development Corporation (BSDC) was established in 1995 by the Bridge Street African Wesleyan Methodist Episcopal Church. BSDC fosters wealth creation by developing and upgrading residential housing for low and moderate income residents, revitalizing the commercial corridors and facilitating the formation of small businesses, and promoting financial and computer literacy. It also facilitates resident-driven initiatives that create the reality and perception of a safer and healthier community and instill community pride within its service area, community board #3 in the Bedford-Stuyvesant area of Brooklyn. BSDC has invested over $26 million in the development of housing and revitalization of the neighborhood.