DALLAS, July 30, 2009 (GLOBE NEWSWIRE) -- Community Development Corporation of Brownsville (CDCB) was awarded $385,000 in three Affordable Housing Program (AHP) grants by the Federal Home Loan Bank of Dallas (FHLB Dallas). The grants will assist three separate affordable housing projects: Campo Real, Inwood II, and the Colonia Initiative. The projects were a collaborative effort made possible by three Texas banks: Frost Bank, Lone Star National Bank, and the International Bank of Commerce.
Of the $385,000 awarded, $175,000 was awarded to CDCB through the International Bank of Commerce in Brownsville for the Inwood II subdivision. The grant will provide assistance to 25 low- and very low-income families to purchase a newly constructed home. The Inwood II subdivision is located in what Mr. Mitchell, Executive Director of CDCB, calls a "donut-hole" of the city -- a rural area within the Brownsville city limits that is surrounded by an urban setting.
The subdivision consists of 152 single-family units that offer large floor plans for growing families. The homes in Inwood II are similar to those in Campo Real, another CDCB development south of Brownsville that received a portion of the AHP grant funds.
"CDCB wants to meet the needs and the desires of the people we serve," said Mr. Mitchell. "We offer sites throughout the county so that people can afford to live in the area they choose."
The International Bank of Commerce provided the funding for Inwood II, and is proud of its long-standing association with FHLB Dallas and CDCB. Lee Reed, Executive Vice President, said that through the collaborative efforts between FHLB Dallas, CDCB and the International Bank of Commerce, more than 100 low-income families have achieved homeownership.
"Our collective efforts have provided these families with homes that otherwise would not have been able to do so without our help," said Mr. Reed. "The most recent $175,000 AHP grant will help an additional 25 families with down payment assistance to purchase a home in the Inwood II subdivision. This, combined with the first-time homebuyer tax credit of up to $8,000, will provide the opportunity to achieve the American dream of homeownership."
Since 1996, CDCB has developed 13 subdivisions throughout the county. Mr. Mitchell has been with CDCB since the first project, and said FHLB Dallas has been involved in most of the developments CDCB has constructed.
"Without the funds from the Federal Home Loan Bank of Dallas, I can honestly say that hundreds of individuals and families would be without homeownership," said Mr. Mitchell. "The funds are the last step in getting these individuals into a home best suited for them and their families."
CDCB is a private, nonprofit community housing development organization that has provided safe, sanitary and affordable housing to the citizens of Cameron County since 1974. It is one of the largest nonprofit producers of single-family affordable housing in the state of Texas.
Each year, FHLB Dallas returns 10 percent of its profits in the form of AHP grants issued by its member financial institutions. So far in 2009, FHLB Dallas has awarded $5.4 million in AHP grants to 25 affordable housing projects through its five-state District, including almost $1.2 million in Texas, which will result in the creation or renovation of 178 affordable housing units in the state.
About the Federal Home Loan Bank of Dallas
The Federal Home Loan Bank of Dallas is one of 12 district banks in the FHLBank System created by Congress in 1932. FHLB Dallas, with total assets of $68.7 billion as of March 31, 2009, is a member-owned cooperative that supports housing and community development by providing competitively priced loans and other credit products to more than 900 members and associated institutions in Arkansas, Louisiana, Mississippi, New Mexico and Texas. For more information, visit the FHLB Dallas web site at fhlb.com.
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