Allentown will benefit from two new affordable housing projects in the coming years thanks to a multi-million dollar grant from a public interest-focused bank.
The city will receive a total of $2.7 million from the Federal Home Loan Bank of Pittsburgh, which will fund two affordable housing developments: one on 6th Street with eight family units to be constructed by the Allentown Housing Authority, and another on Gordon Street that will renovate an existing 20-unit development.
The Federal Home Loan Bank of Pittsburgh, alongside local partners Embassy Bank for the Lehigh Valley and American Bank, steered the funding toward the two projects. The bank also receives federal government funds which go toward affordable housing.
“Today, we celebrate the collective efforts in Allentown that are making a difference for our community,” said David G. Paulson, president and CEO of FHLBank Pittsburgh in a written statement.
The grants come as part of the bank’s “Blueprint Communities” program, which selects several communities across Pennsylvania, West Virginia and Delaware for an 18-month community revitalization program involving local leadership development and comprehensive planning.
In a press release, several local elected officials and leaders lauded the program and its projected benefits for Allentown.
“Allentown is in high demand. People want to be here to enjoy a safe, clean and healthy environment that gives them a chance to get ahead,” said Mayor Matt Tuerk in a written statement. “Building more housing protects that opportunity, and partnerships like this one help us do that.”
In a statement, U.S. Rep. Ryan Mackenzie, who represents the Lehigh Valley in Congress, touted his efforts in Washington to increase the availability of affordable housing, including advocating for expanding the existing low-income housing tax credit, and a proposal to introduce a new tax credit for homebuyers.
“Increasing the supply of high-quality affordable housing remains one of Allentown’s most critical needs,” he said.