Funding Will Create, Preserve 78 Affordable Units in Vermont
Vermont Business Magazine Federal Home Loan Bank of Boston (FHLBank Boston) awarded nearly $19.6 million in grants, loans, and interest-rate subsidies to support 32 affordable housing initiatives in New England and beyond. These projects, funded in part through FHLBank Boston’s Affordable Housing Program (AHP), will create or preserve 929 rental and homeownership units for individuals and families earning up to 80% of the area median income. As part of this funding round, Vermont received $900,000 for 78 affordable units of rental and homeownership housing in Hinesburg, Randolph, and Vergennes.
The funds were awarded to projects through financial institutions in the region that are members of FHLBank Boston.
“Through the Affordable Housing Program, we have been able to partner with member financial institutions to support the development and preservation of more than 35,000 affordable homes throughout New England since the AHP was created more than three decades ago. I am proud that the AHP funding awarded this year will lead to more low-cost housing options for the elderly, homeless, people with disabilities, and other vulnerable populations in the communities our members serve,” said FHLBank Boston President and Chief Executive Officer Timothy J. Barrett.
All the grants and loans will be used to help pay construction, acquisition, or rehabilitation costs. Member financial institutions work with local developers to apply for funding, which is awarded through a competitive scoring process. The funds awarded in this round were provided to the following financial institutions in support of a wide range of initiatives in the following Vermont communities:
Vermont
Awards: $900,000 in grants
Number of Projects: 3
Number of Affordable Units: 78
Cities + Towns: Hinesburg, Randolph, Vergeness
Kelley's Field II
Location: Hinesburg
Member: Mascoma Bank
Sponsor: Evernorth, Inc., Cathedral Square Corporation
Affordable Units: 24 rental units
Subsidy: $600,000 grant
This initiative will include a service-enriched and mixed-income senior housing community of 24 newly constructed rental homes constructed on the same site adjacent to Kelley's Field I, a comparable 24-unit, service-enriched senior housing facility, owned and operated by Cathedral Square Corporation. The community will feature five units for homeless clients and be affordable for 15 households earning up to 50% AMI, seven at 60% AMI, and two units will be for households earning above 80% AMI. The previous project was a great success, strongly supported by the town, and currently has 111 people on the waitlist, indicating strong demand for affordable senior housing. Co-locating these two facilities will afford many operational efficiencies and expand residents' access to comprehensive services through the Support and Services at Home (SASH) and Cathedral Square's SHINES resident services program. Building construction will focus on energy efficiency, water conservation, and resident livability, including systems commissioning upon installation. Mascoma Bank will provide a permanent commercial mortgage and tax credit investment.
Habitat Homeownership - Randolph, VT
Location: Randolph
Member: Northfield Savings Bank
Sponsor: Central Vermont Habitat for Humanity
Affordable Units: 2 homeownership units
Subsidy: $50,000 grant
Central Vermont Habitat for Humanity will create two townhouse units, each with three bedrooms and 1 ½ bathrooms, for homebuyers with incomes at or below 60% AMI. The homes will be constructed to high performance energy standards. The roof will be oriented for maximum solar exposure if the homebuyers wish to pursue solar panels in the future. Each unit will be universally accessible based on needs of the homebuyers and will have a separate driveway, entrance, shed, and yard. Northfield Savings Bank will provide construction line of credit along with purchasing Vermont homeownership tax credits.
Little Creek
Location: Vergennes
Member: Northfield Savings Bank
Sponsor: Evernorth, Inc., Addison County Community Trust
Affordable Units: 52 rental units
Subsidy: $250,000 grant
This initiative involves acquisition and recapitalization of two Low Income Housing Tax Credit initiatives to rehabilitate 55 rental apartments. Three scattered properties -- two historic buildings on Main Street and Hillside Acres, which includes 39 units on 11 acres – will be combined. These 55 units consist of a mix of one-, two-, and three-bedroom apartments, 52 of which are affordable for households earning between 30% to 60% AMI. The three remaining units will be market rate. A small commercial space is also included. The properties will have two Rural Development rental assistance contracts subsidizing 39 units. This initiative will partner with the John Graham Shelter and the local continuum of care network, reserving 13 units for homeless households. The rehabilitation will preserve these units, upgrade the energy efficiency substantially, and enhance the quality of life for residents. A temporary relocation plan is in place to facilitate the improvements and ensure that all residents are able to return. Northfield Savings Bank will make an equity investment.
For details on each housing initiative, please go here.
About FHLBank Boston
The Federal Home Loan Bank of Boston is a cooperatively owned wholesale bank for housing finance in the six New England states. Its mission is to provide highly reliable wholesale funding and liquidity to its member financial institutions in New England. The Bank also develops and delivers competitively priced financial products, services, and expertise that support housing finance, community development, and economic growth, including programs targeted to lower-income households.
12.16.2022. BOSTON — Federal Home Loan Bank of Boston
