ANCHORAGE, AK -- 04/18/08 --
Alaska Housing Finance Corporation (AHFC)
received approval from its board of directors in late March to proceed with
issuing term-loan financing commitments for multi-family housing proposals
in two Alaska communities. The commitments are enabling both projects to
move forward with their proposed operations.
The first consists of $1.2 million in two loans to the New Stuyahok
Traditional Council for the development of 12 units of new teacher housing
in New Stuyahok, located about 50 miles northeast of Dillingham in
Southwest Alaska.
The second consists of a loan of just under $2 million to a private
investor for the purchase of an existing complex of 36 family apartment
units in Palmer.
The financing commitments for both multi-family housing investments consist
of 30-year loans with fixed monthly payments.
The housing units being built this summer in New Stuyahok will be rented to
teachers, and a lease with the Southwest Region School District will be
used to repay the mortgage loans.
In addition to the loans, the New Stuyahok council and school district were
awarded grants under the state/federal teacher housing grant program
administered by AHFC. The grants are necessary to bridge the gap between
the high cost of construction in remote Alaska and the amount of
supportable financing for the twelve units.
Timely approval of the loan by AHFC's board was essential for the
contractor to get the building materials aboard the barge to arrive in New
Stuyahok in time for this year's construction season. The new teacher
housing is scheduled to open later this year, in conjunction with the
community's new public school building.
Regarding the Palmer multi-family housing loan, AHFC financing requires the
investor to ensure that the apartment complex meets Alaska Building Energy
Efficiency Standard (BEES) and that the housing units pass a required
health and safety inspection.
Dan Fauske, Executive Director/CEO of AHFC, said that both projects are
consistent with AHFC's mission to provide Alaskans access to safe, quality,
and affordable housing. He said he is particularly pleased about the
teacher housing for New Stuyahok.
Fauske has lived in Alaska's rural areas and knows firsthand how difficult
the challenge is for communities to recruit and retain teachers. AHFC's
teacher housing program, which started just five years ago, has been very
successful in helping local school districts meet the challenge, Fauske
said.
He also noted that the Mat-Su Borough's population has been the fastest
growing in the state and families will need safe, quality rental housing.
AHFC's long-term financing commitment of the 36-unit complex helps meet
this need.
AHFC is a self-supporting public corporation with offices in 16 communities
statewide. It provides statewide financing for multi-family complexes,
congregate facilities, and single-family homes, with special loans for
first-time home buyers, low- and moderate-income borrowers, veterans,
teachers, nurses, public safety officers, and those living in rural areas
of the state. AHFC also provides energy and weatherization programs,
low-income rental assistance in 17 communities, and special programs for
the homeless. Since 1986, AHFC has contributed more than $1.5 billion to
Alaska's state budget revenues through cash transfers, capital projects and
debt service payments.
For more information about the multi-family housing loans discussed in this
news release, or for more information on AHFC, contact Corporate
Communications Officer Sherrie Simmonds at 907-330-8447 or
ssimmond@ahfc.state.ak.us.
Contact:
Sherrie Simmonds
Corporate Communications Officer
907-330-8447
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