Mar 24 2010
Habitat for Humanity of Saline County, Arkansas, was awarded a $78,598 Affordable Housing Program (AHP) grant from the Federal Home Loan Bank of Dallas (FHLB Dallas), through Bank of the Ozarks, to be used toward building seven new homes in Partnership Village.
Habitat workers gathered for a build day for a home in Partnership Village
Partnership Village is Habitat for Humanity of Saline County's (Habitat-Saline County's) first affordable housing community, located near downtown Benton, Arkansas. Once completed, the 12–acre site will contain 65 homes. Including the 2009 grant, Habitat-Saline County has received three AHP grants, totaling $167,602, for Partnership Village. Two of the grants have been issued through Bank of the Ozarks.
The grant will be used toward construction costs for seven homes for very low-income families in Partnership Village, two of which are already under construction. The two previous AHP grants have assisted Habitat-Saline County in building 15 homes in Partnership Village.
"The AHP grant has helped us keep the cost of the houses affordable for the families. The grant funds average out to about $10,000 per home, which helps cover infrastructure and construction costs. This in turn is then passed on to the families through an affordable 20 year, zero interest mortgage," said Karma Herzfeld, executive director of Habitat-Saline County.
Habitat uses volunteer labor and donations of money and materials to build homes for low-income families. The families contribute "sweat equity" by participating in the construction of their homes.
'The grants have allowed us to develop this land. The cost per lot has been more than we'd traditionally spend because there is a lot of infrastructure that has to be put in," Ms. Herzfeld said. The development has required that curbs, gutters, sidewalks, and other infrastructure be installed.
Bank of the Ozarks partnered with Habitat-Saline County on this year's grant, as well as a previous AHP grant for Partnership Village.
"Being a part of Partnership Village is something we are very proud of and another example of our continuing commitment to affordable housing," said Eric Gustafson, community development officer for Bank of the Ozarks. "Our contribution to helping these families achieve the dream of home ownership is not only rewarding, but it's our responsibility."
Two of the Habitat-Saline County homes currently under construction in Partnership Village are being funded by this latest AHP grant, Ms. Herzfeld said. The organization plans to complete all seven homes by the end of the year.
"All of the Habitat families have a need," Ms. Herzfeld said. "They are hard-working, low-income families. Both of these families (whose homes are currently under construction) happen to be single mothers and they're working really hard to support their families."
Each year, FHLB Dallas returns 10 percent of its profits in the form of AHP grants issued through its member financial institutions. In 2009, FHLB Dallas awarded $10.5 million in AHP grants to 48 affordable housing projects throughout its five-state District, including nearly $2.1 million in Arkansas, which will result in the creation or renovation of 270 affordable housing units within the state. In 2010 FHLB Dallas will offer up to $18.6 million in AHP grants.
Source: http://www.habitatsalinecountyar.org