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Contact:
Kate Kelly, Sen. Arlen Specter: 202-224-9020;
Tess Mullen, Rep. Altmire: 202-225-2565
Matt Dinkel, Rep. Doyle: 202-225-2135
Alecia Sirk, Office of Mayor Ravenstahl: 412-255-2484, cell: 412-287-7808
Kevin Evanto, Office of the County Executive: 412-350-3171
Neil Cotiaux, FHLBank: 412-288-2851, cell: 412-335-9488;
Deborah Moore Ellsworth, YMCA of Greater Pittsburgh: 412-227-6431;

Specter, Altmire, Doyle, Onorato and Ravenstahl Announce $3.3 Million for 6o4 Units of New or Improved Affordable Housing in and around Greater Pittsburgh

Pittsburgh, PA, April 7, 2008 - U.S. Sen. Arlen Specter (R-PA) and Congressmen Jason Altmire (PA-4) and Mike Doyle (PA-14), along with Pittsburgh Mayor Luke Ravenstahl and Allegheny County Chief Executive Dan Onorato, gathered in the city’s Hill District today to announce the awarding of $3.3 million in affordable housing grants.

The grants, from the Federal Home Loan Bank of Pittsburgh’s (FHLBank) Affordable Housing Program, will help fund the construction or rehabilitation of 604 units of much-needed housing in the area. FHLBank, based in Downtown Pittsburgh, is a congressionally chartered wholesale bank that uses private capital in pursuit of its mission of affordable housing and community and economic development.

The site of today’s announcement, the 85-year-old Centre Avenue YMCA, is one of the eleven projects receiving funding. The “Y” is adding 20 rooms for low-income area residents and renovating 77 existing units of transitional housing. It is also making upgrades to plumbing, electrical, heating and sprinkler systems.

“I applaud FHLBank Pittsburgh for their commitment to affordable housing and community development,” Sen. Specter said. “It’s fundamental to have a roof over one’s head and this funding will greatly benefit Pittsburgh’s low-income residents.”

“This $3.3 million investment in affordable housing could not come at a better time for Allegheny County,” Congressman Altmire said. “With rising costs and a slowing economy, there is a growing need for affordable housing in our area. Transforming facilities currently in disrepair into quality housing will benefit future residents and our region as a whole.”

“Clean, safe, affordable housing is an essential building block of healthy neighborhoods, and the need to add to the existing stock remains critical,” remarked Congressman Doyle. “The Centre Avenue Y’s renovation project will not only accomplish this, but also help it remain a vital anchor in the Hill District. We’re pleased that funds are being made available today to help reach this objective.”

Also attending today’s announcement were John R. Price, president and CEO of FHLBank; area homebuilders, REALTORS©, developers and nonprofit leaders; and representatives of five local banks that worked with project sponsors to apply for and deliver the grants: Citizens Bank of Pennsylvania, ESB Bank, F&M Bank, Mars National Bank and West Union Bank.

Regional benefits, varied stakeholders

The $3.104 million in Affordable Housing Program (AHP) grants brings the total amount of AHP grants to $23.4 million across southwestern Pennsylvania since 1990, helping to fund a total of 4,500 units of affordable housing within 142 projects. Approximately $17.8 million of this regional total funded 80 projects containing 3,500 units of affordable housing across Pittsburgh and Allegheny County. In addition to AHP funding, two grants totaling $215,000 were also awarded today through FHLBank’s Homeowner Rehabilitation Program.

“For years, FHLBank Pittsburgh has created affordable housing solutions for low-income individuals and families right in our own backyard,” said Mayor Ravenstahl. “At a time of reduced federal funding and escalating need, it’s good to know that Pittsburgh is home to one of the twelve FHLBank offices nationwide, and that it pumps millions of dollars each year into the neediest parts of our region.”

“The Federal Home Loan Bank’s Affordable Housing Program provides critical grants and ensures continued investment in low- and moderate-income housing. In today’s uncertain real estate market, FHLBank is a vital partner in regional housing and community development,” stated Allegheny County Chief Executive Onorato.

The eleven projects funded today are being pursued by more than one dozen sponsors working in different parts of the region. They will assist a wide variety of clients including the homeless, the elderly, other very-low and low-income individuals and those with mental and physical disabilities.

The funded projects are as follows:

Centre Avenue YMCA Housing Program
Pittsburgh, PA

PNC Bank

Sponsor: YMCA of Greater Pittsburgh
Total units: 94
Total AHP grant: $500,000

YMCA of Greater Pittsburgh is modernizing its Centre Avenue YMCA Housing Program, located in the city’s Hill District, to provide upgraded, affordable single-room occupancy for residents who are homeless or earn less than 50 percent of the area median income. The “Y” currently provides housing for 75 adult males. Renovation work will result in a total of 94 units, including 20 new units, as well as new bathrooms, laundry facilities, common space and multi-purpose rooms. AHP funding will be spread across all 94 housing units. Originally constructed in 1923, the building’s age also requires that plumbing, heating and electrical systems be replaced. In addition, an elevator will be added to allow handicap accessibility to all floors. The renovation to create new living quarters will take the form of building out the second floor over the gymnasium. Other partners in this project include the McCune Foundation, RK Mellon Foundation and YMCA Capital Campaign contributors.

Crossroads Meadow
Ebensburg, PA

West Union Bank

Sponsor: Housing Services Alliance
Total units: 51
Total AHP grant: $204,000

This rural affordable housing project in Cambria County will consist of a total of ten one-story and two-story buildings on 3.58 acres. Six units will be dedicated to physically handicapped tenants. The development site is within one mile of a variety of community amenities.

East Braddock Housing
Braddock, PA

PNC Bank

Sponsor: Mon Valley Initiative
Total units: 17
Total AHP grant: $240,000

Blighted with abandoned single-family homes that present a hazard to neighbors as well as with overgrown lots, Corey Avenue in Braddock will receive a much-needed facelift through this project, part of The Mon Valley Initiative being spearheaded by twelve community development corporations that represent community stakeholders along the Monongahela River. East Braddock Housing will alter Corey Avenue by demolishing four of the worst structures and constructing five affordable housing units within two duplexes and a single-family home. These rental units will feature ample backyards. A vacant lot will also be modified to provide off-street parking. In addition, East Braddock Housing will rehabilitate a decrepit three-story structure in East Pittsburgh. All units encompassed by this project will be designed to serve households with incomes at or below 60 percent of the area’s median income.

East Hills Homes
Allegheny County, PA

PNC Bank

Sponsors: 3rd East Hills Limited Partnership, ACTION Housing, Telesis Corporation, Catarinella Construction
Total units: 38
Total AHP grant: $490,000

East Hills Homes consists of the development and sale of 38 units of housing. The style, scale and location of this project are intended to make a positive contribution to the overall East Hills revitalization effort. Ten single-family detached homes and 20 townhouses will be built along Bracey Drive; eight renovated townhomes will be completed along Park Hill Drive. An additional 45 rental units along Bracey are a separate part of the overall plan.

East Liberty Place-North
Pittsburgh, PA

Citizens Bank of Pennsylvania

Sponsor: Community Builders, Inc.
Total units: 54
Total AHP grant: $500,000

With 54 mixed-income rental units, six of them dedicated to the physically handicapped, East Liberty Place-North represents the redevelopment of part of the site of the former East Mall Apartments. This is a mixed-use facility with three floors of apartments above ground floor commercial space, management offices and a community activity area. Thirty-five of the 54 units at East Liberty Place-North are reserved for low-income households; 19 will serve households with incomes greater than 60 percent of the area median income. East Liberty is sprouting new retail activity as well as housing, and Community Builders, Inc., along with the Urban Redevelopment Authority of Pittsburgh, envisions this project as the western gateway to this zone of revived activity.

Energy and Comfort Enhancement Project
New Brighton, PA

ESB Bank

Sponsor: McGuire Memorial
Total units: 89
Total AHP grant: $110,000

Eighty-nine formerly homeless special needs individuals will benefit from improved living conditions at the Intermediate Care Facility of McGuire Memorial in New Brighton. These mentally and physically challenged individuals, ranging in age from seven to 65, are too infirm to live on their own or with their families. Included in this rehabilitation project are replacement of a leaking roof which has been causing structural damage, replacement of 20 rotting windows that have been held in place with duct tape, and repair of damage caused by water leaks.

Homeowner Rehabilitation Program - Allegheny County

F&M Bank

Sponsor: ACTION Housing
Total units: 10
Total HRP grant: $100,000

Ten homes at various locations in Allegheny County will be the subject of substantial structural and aesthetic improvement. Each selected home must be owner-occupied. The maximum grant per household is $15,000. FHLBank Pittsburgh’s Homeowner Rehabilitation Program, a one-year pilot program, awarded grants for such projects to a total of eight across its district of Delaware, Pennsylvania and West Virginia.

Homeowner Rehabilitation Program - Clairton

F&M Bank

Sponsor: ACTION Housing, Community Economic Development Corporation of Clairton
Total units: 23
Total AHP grant: $115,000

Twenty-three homes located in Southside Clairton will be the subject of substantial structural and aesthetic improvement. Each selected home must be owner-occupied. The maximum grant per household is $15,000. Improvements will be made to homes in Clairton in a 20-block area bounded by St. Clair Avenue, Miller Avenue, Thompson Avenue and State Street. FHLBank Pittsburgh’s Homeowner Rehabilitation Program, a one-year pilot program, awarded grants for eight such projects across its district of Delaware, Pennsylvania and West Virginia.

The Upper Rooms
Pittsburgh, PA

PNC Bank

Sponsor: Reformed Presbyterian Woman’s Association
Total units: 26
Total AHP grant: $260,000

Upper Rooms is a mixed-use and mixed-income project on Pittsburgh’s North Side. The main structure is an apartment building with entry plaza, office, community room and laundry. Twenty-six of the 35 apartments are HUD-funded and reserved for persons with incomes at or below 50 percent of the area median income. The remaining nine, which are outside the scope of the AHP funding, are targeted to individuals above this income level. The project also includes a connector to the Reformed Presbyterian Home, a 100-bed skilled nursing home and personal care facility, making possible the delivery of a broad range of services to the apartment tenants. The corridor will also include a cafeteria, barber/beauty shop, library and lounge.

2008 Rehabilitation Project
100 Scattered sites/Western PA

Mars National Bank

Sponsor: Hosanna Industries, Inc.
Total units: 100
Total AHP grant: $300,000

This geographically ambitious initiative to rehabilitate aging housing stock will encompass 100 homes for low- and very-low-income families. Largely single-family dwellings in need of considerable upgrades, staff and volunteers associated with the faith-based housing ministry, Hosanna Industries, will rid structures of energy inefficient, high-maintenance materials. Hosanna will also work with residents to provide them with access to home maintenance and other counseling. Participating properties are located primarily across Allegheny and Butler counties.

York Commons
Pittsburgh, PA

PNC Bank

Sponsor: Presbyterian Senior Care; Affirmative Investments
Total units: 102
Total AHP grant: $500,000

York Commons represents a large-scale rehabilitation of a functionally obsolete apartment building for seniors in Lawrenceville. This building, Lambeth Apartments, has a nearly 50 percent vacancy rate. York Commons will combine 194 units into 102 larger units, programmable community space to support services for frail elderly, and greatly expanded accessibility and adaptability for the handicapped. A service coordinator will integrate York Commons residents to appropriate medical, dietary, financial and legal support services at the neighboring Caterbury Place assisted living facility.
A broad range of financial support

Chartered by Congress in 1932, FHLBank Pittsburgh, one of 12 regional Banks comprising the FHLBank System, delivers low-cost and at-cost loans as well as grants to the 331 financial institution members of its private cooperative so a steady stream of money is available to strengthen communities during all economic cycles. The Bank has made a record number of low-cost loans to community financial institutions in recent months in order to pump sufficient liquidity into local banking markets during a period of severe credit tightening. As of December 31, 2007, FHLBank had $101 billion in assets.

“From the Great Depression to today’s credit crunch, the need for truly affordable housing has been a constant,” said FHLBank President John Price. “This need was enormous when the Home Loan Bank System was created, and it is just as compelling today. As long as we remain adaptable, there is no end to the good we can do working with our elected officials, local financial institution members and community partners.”