News Release

June 30, 2010

Contact: Doug Robinson, 202-220-2360, drobinson@nw.org
Erin Angell Collins, 202-220-6317, ecollins@nw.org

NeighborWorks America Awards $35 Million in Affordable Housing Grants
to Housing Nonprofits
Grants will enable nonprofits to acquire, rehab and ‘green’ local properties

Washington, D.C. – Today NeighborWorks America announced that it has awarded $35 million to 117 local NeighborWorks organizations and two NeighborWorks-affiliated capital corporations – Community Housing Capital and NeighborWorks Capital -- to rehabilitate or finance the rehabilitation of affordable housing nationwide, including smaller and rural communities with affordable housing needs. 

The Capital Funding for the Rehabilitation of Affordable Housing (CFRAH) grants will enable local NeighborWorks organizations to develop or continue to fund:

• Revolving loan funds for rehabilitation lending for owner-occupied property;
• Rehab of residential rental housing currently owned by local NeighborWorks organizations;
• Rehab of residential rental housing that is newly acquired or will be acquired by local NeighborWorks organizations;
• Rehab of single family homes that will be acquired or have been recently acquired by local NeighborWorks organizations and will be sold to homeowners.

“We thank Congress for their ongoing support of affordable housing needs in our nation’s communities. Because of the grants announced today, thousands of rental and owner-occupied units will be rehabilitated, the majority through the use of state of the art green strategies, which will not only recreate a healthier home for families, but also support healthier communities,” said Ken Wade, CEO of NeighborWorks America.

The $35 million in CFRAH funding announced today will enable organizations like NeighborWorks Blackstone River Valley, in Woonsocket, Rhode Island, to upgrade and “green” all of the units of its oldest low-income housing tax credit (LIHTC) development, and also support other rehabilitation initiatives including the complete renovation of a vacant mill building into six units of affordable apartments for Community-Builders-In-Residence.

The grant funding will also help Primavera Foundation in Tucson, Arizona, to purchase and rehab up to10 bank or investor owned homes in South Tucson, which will then be sold to first-time homebuyers.  The rehab includes green components, such as solar/tankless water heaters, double-pane windows, Energy Star appliances, insulation, grey water hook-up to washing machines, energy efficient heating and cooling, and water saver toilets and faucets.

In addition to enabling organizations to acquire and rehab properties, the $35 million in grant funding will also jump start local economies, creating more than 1,100 local jobs.

• The grant dollars made available will create more than 1,100 local jobs.  
• For every dollar an additional $10 of investment will be generated.

About The Capital Funding for the Rehabilitation of Affordable Housing Grants

The $35 million in grants -- also known as The Capital Funding for the Rehabilitation of Affordable Housing grants -- were made possible through the Consolidated Appropriations Act of 2010 (P.L. 111-117), signed into law on December 16, 2009.  Just six months after the CFRAH funds were appropriated to NeighborWorks America, communities across our country are able to put the funds to immediate use.

Demand for these funds far exceeded the amount of funds available; eligible applicants requested over $73,000,000 in grant funds. A cap was placed on the amount of funds any one applicant could request; without this cap, the requested amount would have been much higher.

For more information about the capital grants please visit www.nw.org/cfrah, or contact Doug Robinson, 202-220-2360, drobinson@nw.org, or Erin Angell Collins, 202-220-6317, ecollins@nw.org.

About NeighborWorks America

NeighborWorks America creates opportunities for people to improve their lives and strengthen their communities by providing access to homeownership and to safe and affordable rental housing. Since 1991, we have assisted nearly 1.2 million low- to moderate-income families with their housing needs. Much of our success is achieved through our support of the NeighborWorks network ― more than 235 community development organizations working in more than 4,400 urban, suburban and rural communities in all 50 states, the District of Columbia and Puerto Rico. In the last five years, NeighborWorks organizations have generated more than $15 billion in reinvestment in these communities. NeighborWorks America is the nation’s leading trainer of community development and affordable housing professionals.