SAN FRANCISCO, June 26, 2024 (GLOBE NEWSWIRE) -- The Federal Home Loan Bank of San Francisco (FHLBank San Francisco) today announced $9.4 million in affordable housing grants to Nevada-based housing developers through its Affordable Housing Program (AHP) Nevada Targeted Fund, the only fund of its kind in the United States. The 2024 grant cycle represents a 94% increase in funding over last year and is a clear demonstration of the Bank’s commitment to deliver on its mission to solve the critical shortage of affordable housing in the state. The grants are being awarded to nine much-needed projects across Nevada and will create or rehabilitate over 600 units of affordable housing throughout the state.
“The lack of affordable housing supply is one of the most challenging issues our country faces today, and this shortage is particularly acute in Nevada,” said Alanna McCargo, president and CEO FHLBank San Francisco. “Nevada faces a unique set of challenges as one of the least populated states with a diverse array of communities from urban, rural and tribal communities that are all in dire need of affordable housing. We are pleased to be able to nearly double the amount of targeted grant funding this year and deploy resources to nine projects across the state that will have a meaningful impact on mitigating the affordable housing crisis.”
This year marks the second year for the Nevada Targeted Fund, which was developed in collaboration with U.S. Senator Catherine Cortez Masto of Nevada to innovate meaningful solutions to encourage and fund needed affordable housing projects. According to the National Low Income Housing Coalition, Nevada tops the national list as the state with 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.
To tackle this persistent housing affordability issue, in 2022 FHLBank San Francisco granted $500,000 to the Nevada Housing Coalition (NHC) to build capacity, expand affordable housing development capabilities, and better position developers in the state to secure and deploy affordable housing dollars. NHC organizes collaborative sessions among Nevada stakeholders that want to learn about supportive housing and other shared policy and advocacy issues. It also holds community meetings and listening sessions across the state, including in rural and tribal areas, to ensure a broad range of voices and housing needs are captured and included in programming. Given the success of the first year, in 2023 the Bank’s board of directors approved an additional $350,000 grant for NHC to continue their capacity building and educational efforts.
“For the past six years, I’ve been fighting to lower housing costs and help build more homes for hardworking Nevadans—including for our Tribal and rural communities,” said Senator Cortez Masto. “This funding is just part of my commitment to working with the Federal Home Loan Bank system to deliver for the Silver State. While there is more work to do, I know these resources I secured will help families, seniors, and Native American families statewide.”
Six members sponsored projects that received an award from the Nevada Targeted Fund in 2024. Great Basin Federal Credit Union, a new member, won their first ever AHP award from the Nevada Targeted Fund for Sunwood Housing in Lovelock, Nevada, a rehab of an existing USDA project. United Business Bank, City National, and Western Alliance Bank won their first Nevada Targeted Fund Award this year. Previous winners Clearinghouse Community Development Financial Institution and Wells Fargo National Bank West also earned awards this year. FHLBank San Francisco launched the AHP Nevada Targeted Fund, in 2023 and awarded $4.8 million to six affordable housing projects to create and revitalize 260 units of affordable housing for Nevadans.
The 2024 AHP Nevada Targeted Fund grants will fund the following projects in urban, rural and tribal communities:
- Fallon, Nevada; new construction of homes on tribal land in the Fallon Paiute Shoshone Indian Colony, in collaboration with Clearinghouse CDFI and Fallon Paiute Shoshone Tribe.
- Fallon, Nevada; rehabilitation of Fallon Senior Housing, in collaboration with Clearinghouse CDFI and American Covenant Senior Housing Foundation Inc.
- Fallon, Nevada; rehabilitation of Northern Family Housing, in collaboration with Clearinghouse CDFI and American Covenant Senior Housing Foundation Inc.
- Las Vegas, Nevada; new construction of Tropicana Trails permanent supportive housing development, in collaboration with United Business Bank and HELP of Southern Nevada.
- Laughlin, Nevada; new construction of Laughlin Senior Apartments, in collaboration with City National Bank and Wisconsin Partnership for Housing Development.
- Lovelock, Nevada; rehabilitation of Sunwood Housing, an affordable housing development, in collaboration with Great Basin Federal Credit Union and American Covenant Senior Housing Foundation Inc.
- North Las Vegas, Nevada; new construction of Old Rose Gardens senior housing, in collaboration with Wells Fargo National Bank West and Southern Nevada Regional Housing Authority.
- Reno, Nevada; new construction of The Empowerment Center II transitional housing, in collaboration with Western Alliance Bank and The Empowerment Center.
- Wadsworth, Nevada; new construction of Pyramid Lake Paiute Tribe family homes in, in collaboration with United Business Bank and Pyramid Lake Housing Authority.
“The affordability crisis, whether in urban or rural Nevada, impacts all of our families, friends, and neighbors,” said Jennifer Denoo, president and CEO of Great Basin Federal Credit Union (FCU). “As a proud and active member of FHLBank San Francisco, Great Basin FCU is honored to receive this AHP award and partner with American Covenant Senior Housing on the rehabilitation of the Sunwood Housing community.”
AHP General Fund and Nevada Targeted Fund 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.
Providing resources for affordable housing is a core element of FHLBank San Francisco’s mission, with a firm commitment to deploy at least 10% – and up to 15% – of its net income from the prior year to fund affordable housing and related community investment programs. Grants are awarded in partnership with the Bank’s member financial institutions. In addition to the Nevada Targeted Fund awards, FHLBank San Francisco awarded over $28 million in grants in the 2023 AHP General Fund competition for projects throughout California and Arizona. The Bank will announce its full scope of the 2024 Affordable Housing Grants in early July. Since 1990, FHLBank San Francisco has contributed over $1.20 billion in AHP General Fund and Nevada Targeted Fund grants, making them the largest privately-owned source of affordable housing funding in their three-state region.
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.
