SAN FRANCISCO, July 10, 2024 (GLOBE NEWSWIRE) -- The Federal Home Loan Bank of San Francisco (FHLBank San Francisco) today announced $3.1 million in affordable housing grants to Arizona-based housing developers through its Affordable Housing Program (AHP) General Fund. FHLBank San Francisco is the largest privately-owned source of affordable housing funding in its three-state area and collectively with the other Federal Home Loan Banks is one of the largest privately-owned grant providers in the nation.
This year's significant grant cycle represents a 54% increase in Arizona funding over last year, demonstrating the Bank’s commitment to deliver on its mission to solve the critical shortage of affordable housing in the state. The 2024 selected grants are being awarded to three important projects within Arizona and will create 149 units of affordable housing in Tempe and Tucson.
"I am proud of the crucial investments FHLBank San Francisco is making in affordable housing across Arizona, California and Nevada – some of the most economically, geographically and culturally diverse states in America,” said Alanna McCargo, president and CEO of FHLBank San Francisco. “The affordable housing crisis affects countless families and individuals living in urban, populous cities, rural, tribal communities, and many places in between. We are pleased to be able to nearly double the amount of grant funding this year, in partnership with our members, to 59 critically needed projects across the region. They will have a meaningful impact on mitigating the affordable housing crisis, increasing the housing supply and providing much needed help for those in need.”
According to the National Low Income Housing Coalition, Arizona sits fourth on a national list that determines which states have the most extremely low-income households in the nation earning 0% to 30% of area median income who are severely cost burdened, meaning the household spends more than 50% of its income on housing costs, including utilities.
AHP grants help finance the development, preservation, and rehabilitation of single-family and multifamily housing for people in need, including the chronically unhoused, families, seniors, veterans, at-risk youth, people living with disabilities and mental health challenges or overcoming substance abuse. Grants are delivered through FHLBank San Francisco member institutions partnering with nonprofits and affordable housing developers to submit applications for grants for specific projects in an annual funding competition. AHP-funded projects represent a wide range of strategies and solutions, from historic preservation and adaptive reuse to new construction and rehabilitation.
U.S. Rep. Greg Stanton (AZ-04), which includes Tempe, weighed in on the impact the AHP funding will have on the community he serves:
“I hear all the time how the lack of affordable housing in Arizona is stretching family budgets and making it harder for employers to find workers,” Rep. Stanton said. “Building more affordable homes will take federal and local partnership and leverage private investments like those under FHLBank San Francisco. La Victoria Commons is part of Tempe’s innovative approach to address this crisis – empowering Arizonans to achieve their dreams of owning a home – and I’m excited to see this project grow.”
The 2024 AHP Arizona-based General Fund grants will fund the following projects within Arizona:
- Tempe, Ariz., new construction of La Victoria Commons (4% LIHTC) is one of two projects situated within a newly constructed five-story building, which will create 52 units of affordable housing for low-income families and individuals. This multifamily affordable housing development is being built in collaboration with Raza Development Fund, Inc and Copa Health, Inc.
- Tempe, Ariz., new construction of La Victoria Commons (9% LIHTC) is the second of two multifamily projects being built in collaboration with Raza Development Fund, Inc and Copa Health, Inc. This affordable housing project will achieve a National Green Building Standards certification.
- Tucson, Ariz., new construction of Pascua Yaqui Homes X, in collaboration with Western Alliance Bank and Pascua Yaqui Tribe, will construct 45 multifamily units to house elderly on the Pascua Yaqui Reservation.
Where AHP projects are developed, local economies also get a boost, as these projects create jobs, increase construction and consumer spending, and generate new tax revenues. Learn more about the communities, families, and individuals that have benefited from access to AHP-funded housing on the Bank’s website. To see the complete list of 2024 AHP grant winners, visit the Bank’s website.
About the Federal Home Loan Bank of San Francisco
The Federal Home Loan Bank of San Francisco is a member-driven cooperative helping local lenders in Arizona, California, and Nevada build strong communities, create opportunity, and change lives for the better. The tools and resources we provide to our member financial institutions — commercial banks, credit unions, industrial loan companies, savings institutions, insurance companies, and community development financial institutions —propel homeownership, finance quality affordable housing, drive economic vitality, and revitalize whole neighborhoods. Together with our members and other partners, we are making the communities we serve more vibrant, equitable, and resilient.
