Virginia to get nearly $7 million in funds for affordable housing

Published August 8, 2016 by Paula C. Squires

U.S. Sens. Mark R. Warner and Tim Kaine (both Democrats from Virginia,) have announced that 18 initiatives led by Virginia financial institutions and nonprofits will receive $6.6 million from the Federal Home Loan Bank of Atlanta’s Affordable Housing Program (AHP) to support affordable housing development in Virginia. 

“Affordable housing is one of the bedrocks of economic security and financial stability for American families,” Warner said in a statement. “These funds will provide valuable resources for existing housing networks in Virginia, which are already on the ground working to provide individuals with a place to live that is within their reach. This support will help revitalize local neighborhoods, create jobs, and encourage economic development within the Commonwealth.”

FHL-Bank Atlanta is one of the 11 regional banks in the Federal Home Loan Bank System. They provide commercial banks, credit unions, savings institutions, community development financial institutions, and insurance companies within seven southeastern states, including Virginia, with a reliable source of funding for affordable home mortgages and community lending. Altogether, the bank awarded $21.9 million to assist in the funding of 55 affordable housing projects in 16 states as part of its 2016 Affordable Housing Program (AHP). The projects represent $646.2 million in total housing development.

Some of the largest grant awards for Virginia and a description of the projects are listed below:

New Clay House II: Richmond
Member: Union Bank & Trust.
Sponsored by: Virginia Supportive Housing.
Grant: $500,00 for 80 rental units. Total development cost: $14.8 million.

AHP funds will go toward the renovation and expansion of an affordable housing development for formerly homeless individuals in Richmond. After the project is complete, at least 55 units will be reserved for formerly homeless individuals, and the remaining units will be reserved for individuals earning at or below 50 percent of the area median income.

Cypress Landing: Chesapeake
Member: TowneBank. Sponsored by Second Act Communities.

Grant: $500,000 for 50 rental units. Total development cost: $10,448,624.

AHP funds will go toward the construction of an apartment development containing 44 one-bedroom units and six two-bedroom units. The development will serve very low-income disabled and/or homeless veterans. Thirty-eight units will serve veterans who have incomes at or below 30 percent of the area median income, and the remaining 12 units will serve veterans who have incomes at or below 50 percent of the area median income.

King’s Arms: Hampton
Member: The Old Point National Bank of Phoebus. Sponsored by Hampton Redevelopment and Housing Authority.
Grant: $500,000 for 48 rental units. Total development cost: $9.4 million.

AHP funds will be used for the construction of a 48-unit affordable senior independent housing development consisting of garden style apartments. The development will include housing for elderly veterans.

Dale Homes Phase I: Portsmouth
Member: TowneBank. Sponsored by Portsmouth Redevelopment and Housing Authority.
Grant: $500,000 for 146 rental units. Total development cost: $22 million.

AHP funds will be used in connection with the acquisition and rehabilitation of an existing 146-unit public housing development known as Dale Homes Phase I and will be targeted to very low-income families. The project involves the conversion of public housing units under the Rental Assistance Demonstration program.

Sun Valley Landings: Dublin and Radford
Member: Union Bank & Trust. Sponsored by Community Housing Partners Corporation.
Grant: $246,333 for 42 rental units. Total development cost: $5.3 million.

AHP funds will be used for the acquisition and rehabilitation of a scattered site development of two properties. Sun Valley Landings will serve low-income households earning at or below 50 percent and 60 percent of the area median income.