Governor Rendell Says Families in SW PA Will Benefit From $85 Million Towards Down...

Governor Rendell Says Families in SW PA Will Benefit From $85 Million Towards
Down Payment Help; Affordable Housing; New Jobs

STEELTON, Pa., June 10 /PRNewswire-USNewswire/ -- The foreclosed Wood Street
Commons in downtown Pittsburgh; abandoned homes in Butler County; and
foreclosed properties in Fayette County and other areas within Southwestern
Pennsylvania will be turned into nearly 1,500 units of affordable housing with
the award of more than $85 million in federal economic recovery funds,
Governor Edward G. Rendell said today.

The new investment is part of a statewide announcement totaling more than $380
million that the Governor made today at a former school that is being
converted into apartments in Steelton, Dauphin County. He said the statewide
projects will provide jobs for some 3,000 workers, help at least 1,000
families with new home down payment assistance, and find affordable housing
for 5,000 families.

"This is great news for families who have been hit hard by the foreclosure
crisis in Pennsylvania, as the investments we are announcing today will help
provide affordable housing for tens of thousands of Pennsylvanians," said
Governor Rendell. "This is clear evidence that President Obama's stimulus bill
and Congress' efforts to address the impact of this housing emergency are
making a real difference in Pennsylvania.

"It's also a great day for families who need help coming up with a down
payment for a new home. This creative, new program represents the spirit of
partnership and innovation the President challenged us to employ when he
signed the stimulus bill."

Governor Rendell said the Keystone First Program, an innovative down payment
assistance program from the Pennsylvania Housing Finance Agency, will provide
up to $6,000 in down payment help to at least 1,000 first time homebuyers.

"It's much harder to get a mortgage today than it was a year ago," the
Governor said. "Most banks are looking for 20 percent down, or even more. The
result is stable families looking for their first home can't come up with
money up front to purchase a home. That changes with the stimulus-funded First
Time Homebuyer Tax Rebate program."

Winn Development, a Boston-based national affordable-housing development
company, will be working to help convert the Felton Building in Steelton to
apartments. It will be the company's 10th project in Pennsylvania.

"Winn Development commends the commonwealth and PHFA for being among the first
states to implement the stimulus program in this way," said Cheryl Stulpin, a
vice president with the company. "What they are doing is going to have a big
impact on the people and communities of the commonwealth."

Governor Rendell said the funding for the 99 projects that will make
affordable housing more prevalent in the state comes from the Neighborhood
Stabilization and Low Income Housing Tax programs.

Neighborhood Stabilization will provide $57 million to help rehabilitate
properties that were subject to foreclosure as a result of subprime mortgage
lending practices. NSP funding -- authorized by the federal Housing and
Economic Recovery Act of 2008 and administered by the Pennsylvania Department
of Community and Economic Development -- will assist 650 families through 28
projects undertaken by local governments across Pennsylvania. The funds will
allow local governments and their partners to acquire, rehabilitate and resell
foreclosed properties, and to redevelop vacant and blighted sites.

The Low Income Housing Tax Credit program will provide $320 million in
stimulus funding to help put more than 3,580 families in affordable rental
housing units. The funding will be made available by the Pennsylvania Housing
Finance Agency, which will allow more than 3,580 families to move into
affordable rental housing units.

"With all of this money, people in Easton, Williamsport, Lebanon, Uniontown,
Erie, and elsewhere will soon have safe, affordable places to raise families,
get back on their feet and, most importantly, someplace to call home,"
Governor Rendell said.

For more information on the Pennsylvania Housing Finance Agency, visit
www.phfa.org.

For information on the Neighborhood Stabilization Program and other programs
administered by DCED, visit www.NewPA.com or call 1-866-466-3972.

The Rendell administration is committed to creating a first-rate public
education system, protecting our most vulnerable citizens and continuing
economic investment to support our communities and businesses. To find out
more about Governor Rendell's initiatives and to sign up for his newsletter,
visit www.governor.state.pa.us.

EDITOR'S NOTE: The following projects have been approved (some of the PHFA
funding is subject to final board approval Thursday).

Allegheny County

Neighborhood Stabilization Program

-- The City of Pittsburgh and Allegheny County will receive $4,050,000 to
help bring Wood Street Commons out of foreclosure. The project will
include 254 units developed and 25 units demolished.

Pennsylvania Housing Finance Agency funding
-- 3rd East Hills will receive $10,814,186 for the development of 47
units.
-- Dad's House & Safe Haven will receive $399,687 for the
development of 15 units.
-- North Hills Highlands will receive $3,380,232 for the development of
60
units.
-- Oak Hill Apartments will receive $11,651,150 for the development of 86
units.
-- South Hills Retirement Residence will receive $2,240,642 for the
development of 106 units.
-- York Commons will receive $11,507,708 for the development of 102
units.
-- Crescent Apartments will receive $744,637 for the development of 27
units.

-- North Hills Highlands II will receive $1,578,290 for the development
of
37 units.

Pennsylvania Housing Finance Agency projects (tax credits only)
-- Fraser Hall will have 72 units developed.

-- Garfield Heights II will have 45 units developed

Armstrong County

Pennsylvania Housing Finance Agency funding

-- Valley View V will receive $1,053,575 for the development of 20 units.

Beaver County

Neighborhood Stabilization Program

-- Beaver County will receive $1,291,682 to build and/or renovate housing
for low-income residents in New Brighton and Ambridge boroughs. Nine
units will be developed, and five demolished.

Butler County

Neighborhood Stabilization Program

-- The Redevelopment Authority of Butler County will receive $500,000 to
buy eight abandoned/foreclosed properties; four of which will be
rehabbed and re-sold to income-eligible families. Four other
properties
will be razed and the property held for possible new housing.

Pennsylvania Housing Finance Agency funding
-- Madison Grove will receive $7,430,783 for the development of 50 units.

-- Historic Lafayette Apartments will receive $992,200 for the
development
of 62 units.

Cambria County

Neighborhood Stabilization Program

-- Cambria County will receive $3 million to develop 19 units and raze 10
others.

Clearfield County

Neighborhood Stabilization Program

-- Clearfield County will receive $714,318 to purchase and renovate nine
properties in Clearfield Borough and DuBois, and purchase and demolish
nine other properties.

Fayette County

Neighborhood Stabilization Program

-- The Redevelopment Authority of the County of Fayette will receive
$1,800,000 to buy 15 foreclosed properties and demolish 50 other
properties in Uniontown, Connellsville and Masontown. Twelve of the
foreclosed properties will be rehabbed and sold to income-eligible
households. Five homes will be constructed in Masontown on land
previously owned by the Authority.

Pennsylvania Housing Finance Agency funding

-- Uniontown Senior Housing will receive $2,782,421 for the development
of
36 units.

Indiana County

Neighborhood Stabilization Program

-- Indiana County will receive $2,576,973 for the development of 15
units,
including a 12-unit rental property in the Borough of Indiana, which
will then be rehabilitated and donated to a local community housing
development organization and rented to income-eligible households.

Pennsylvania Housing Finance Agency funding

-- TREK and Indiana County will receive $1,928,734 for the development of
40 units.

Somerset County

Pennsylvania Housing Finance Agency funding

-- Village at Somerset will receive $9,323,963 for the development of 100
units.

Westmoreland County

Neighborhood Stabilization Program
-- The City of New Kensington will receive $1,650,000 for the development
of 17 and demolish eight units in the city's Weed & Seed
neighborhood.

-- The County of Westmoreland intends to use its $2 million grant award
within Greensburg, Jeannette and Scottdale. A total of 13 units will
be
developed.

Pennsylvania Housing Finance Agency funding

-- New Salem Acres will receive $5,829,924 for the development of 150
units.

Pennsylvania Housing Finance Agency (tax credits only)

-- South Sixth Street Revitalization will have 18 units developed.

CONTACT:
Chuck Ardo
717-783-1116

Luke Webber (DCED)
717-783-1132

SOURCE Pennsylvania Office of the Governor

Chuck Ardo of the Pennsylvania Office of the Governor, +1-717-783-1116, or
Luke Webber of the Pennsylvania Department of Community & Economic
Development, +1-717-783-1132