Federal Home Loan Bank of Chicago Awards $9.8 Million in Affordable Housing Grants

CHICAGO, Dec. 6 /PRNewswire/ — The Federal Home Loan Bank of Chicago has awarded approximately $9.8 million to help finance almost 2,200 affordable housing units located primarily in Illinois and Wisconsin through its Affordable Housing Program (AHP) competitive grant process. The Bank awarded more than $10.5 million in its first round of grants earlier this year, bringing the 2007 total to approximately $20.3 million.


“The Affordable Housing Program is an enduring initiative that is 100 percent committed to community development,” said Mike Thomas, President and CEO at the Federal Home Loan Bank of Chicago. “We’re proud of this program, which is now in its 17th year of helping people live with dignity in our district.”


Each year, the Federal Home Loan Bank of Chicago allocates 10% of its prior year’s earnings for affordable housing projects in the competitive grants program and the Downpayment Plus(R) Program. Since beginning its Affordable Housing Program in 1990, the Federal Home Loan Bank of Chicago has awarded approximately $222 million in grants through its Competitive AHP program to support almost 52,000 units of affordable housing. In addition, the Bank has provided more than $57 million through the Downpayment Plus Program to help more than 14,000 families purchase homes.


“This program helps both individuals and entire communities,” said Eldridge Edgecombe, Senior Vice President and Community Investment Officer. “It’s a win-win for all involved.”


Non-profit groups, for-profit developers, and public entities apply for the Competitive AHP grants through one of the Bank’s member institutions, comprising more than 850 commercial banks, savings institutions, credit unions, and insurance companies in Illinois and Wisconsin.


This most recent round of AHP funding will help to create or rehabilitate 2,187 housing units, of which half will be reserved for very-low income households earning less than 50% of the median income for the area where they are located. Many projects will help first-time homebuyers, seniors, and people with disabilities.


For more information on specific awards and details of the AHP programs, visit the Federal Home Loan Bank of Chicago website at http://www.fhlbc.com/.


The Federal Home Loan Bank of Chicago is a wholesale bank and government sponsored enterprise with approximately $89 billion in assets that provides housing finance to more than 850 member commercial banks, savings institutions, credit unions, and insurance companies located in the 7th Federal Home Loan Bank District of Illinois and Wisconsin.


The Federal Home Loan Bank System, which includes 12 Federal Home Loan Banks, is celebrating its 75th anniversary in 2007. The U.S. Congress created the System in 1932 to promote housing finance, but the Banks are wholly owned by their member institutions. “Downpayment Plus” is a registered trademark of the Federal Home Loan Bank of Chicago.


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Source: Federal Home Loan Bank of Chicago


CONTACT: Nancy Schachman of Federal Home Loan Bank of Chicago,
+1-312-552-1740,
nschachman@fhlbc.com


Web site: http://www.fhlbc.com/