$67 Million Renovation Upgrades 328 Apartments in Queens While Keeping the Homes Affordable For 30 Years
Everyday, Freddie Mac works to keep homeownership and rental housing affordable, and recently was recognized at a ribbon cutting ceremony for working with many public and private companies to fund renovations for 328 affordable apartment units in the Far Rockaway neighborhoods of Queens, N.Y.
The apartments, Oceanside, Oceanview and Heyson Gardens, needed a major renovation with a $67 million price tag. Freddie Mac guaranteed payment on $41 million of New York City Housing Development Corporation-issued bonds used to finance these renovations and recapitalize the properties to ensure that the apartments’ rents will be affordable to low-income residents for another 30 years. The apartments are rented to families earning up to 60 percent of the Area Median Income, or no more than $36,120 for an individual or $51,540 for a family of four.
The total financing included over $20 million in Low Income Housing Tax Credit equity, and the interest rates on the bonds were subsidized by the U.S. Department of Treasury’s New Issue Bond Program, in which Freddie Mac played a leading role in the conception and implementation of the program.
“Nationally, Freddie Mac was one of the largest participants in the New Issue Bond Program, and we are proud to be a leading player in the preservation of 328 units of affordable housing for the residents of Far Rockaway,” says Shaun Smith, Freddie Mac’s senior director of Targeted Affordable Production.
“The 328 families that call these properties home are the reason that the preservation of our affordable housing stock is so vital,” said New York City Housing and Preservation Department Commissioner RuthAnne Visnauskas. “This collaborative effort secured the financing and resources that helped make critical repairs and upgrades that improved living conditions for these families, and which will also ensure that Oceanview, Oceanside and Heyson Gardens remain affordable for years to come.”
Visnauskas added, “My thanks to New York City Housing Development Corporation, U.S. Department of Housing and Urban Development, the Arker Companies, Wells Fargo, Freddie Mac and to our local elected officials for their commitment to this project.”