2018 Annual Report
1 2018 Annual Report
2018 IN REVIEW
Board of directors 2018-2019
President and CEO
Clayton Fowler, Chair The Spinnaker Companies Robin M. Gallagher Webster Bank Scott Gerard Murtha Cullina Reyno Giallongo, Jr. First County Bank Charles F. Howell Bert Hunter CT Green Bank Barbara Kelly Citibank E. Phillip McKain Marjan Murray People’s Bank Margaret Powers Newtown Savings Bank Kathleen Romagnano Lisa A. Sanders TD Bank Luke Scott Madison Mott Al Shehadi Vital Healthcare Capital Michael Weinstock M&T Bank
In a changing landscape for affordable housing, HDF is proud to create options for hardworking families and individuals. In the past two years, we've also introduced two new downpayment assistance programs which will infuse $6 million in downpayment assistance for first time homebuyers in Connecticut and New York. These programs - Project Reinvest: Homeownership, and Connecticut Statewide Downpayment Assistance - are the result of longstanding collaborations with our partners at NeighborWorks America and the State of Connecticut, respectively. Such collaborations are key to addressing our affordable housing crisis on the local, state, and national levels. We've expanded our multifamily rental financing programs, with more than $3.7 million invested over the past two years in affordable rental housing in Connecticut. We're working with CT Green Bank and the MacArthur Foundation to invest $5 million in affordable multifamily rentals for energy efficiency and sustainability. Internally, we're reaping the benefits of several years of innovation, including investments in our staff, our technology, and our internal infrastructure. We have the capacity and resources to help more first time homebuyers and finance more affordable rentals than ever before - and we're doing it. Thanks are due to our partners, our supporters, our staff, and most importantly the hardworking families and individuals who are able to purchase homes with HDF's guidance. We couldn't do it without you. Onward to 2020!
Board Chair
Millport Apartments complex in New Canaan .
mul t i fami l y
Bankwell Connecticut Community Bank Darien Rowayton Bank First County Bank First Republic Bank M & T Bank Newtown Savings Bank Peoples United Bank Savings Bank of Danbury Signature Bank Union Savings Bank Webster Bank
Together with CT Green Bank and the MacArthur Foundation, HDF is bringing energy efficiency solutions to affordable multifamily housing. The $5 million program-related investment by the MacArthur Foundation will target funding towards three programs: energy opportunity assessments, audits, and project scope definitions, remediation of health and safety measures term financing to bridge gaps and increase affordability for affordable multifamily energy efficiency projects. HDF continues to promote energy efficiency in partnership with CT Green Bank and the MacArthur Foundation. FY2018 brought HDF several new projects including a joint venture with Capital for Change. HDF provided $850,000 in gap financing to bring energy efficient upgrades to the 'Plaza on the Green' affordable housing complex in Waterbury, CT. The property includes 157 units of housing and predominantly serves the low-income elderly population. Energy upgrades for the property include temperature limiting thermostats, the installation of new hot water heating system, and new LED lighting.
Multifamily Energy Efficiency Financing
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Since 1989, HDF has financed affordable housing projects in the state of Connecticut through our Multifamily Lending Program, investing over $44 million and adding more than 2,000 units of housing. Our programs finance the development of new affordable units, preserve existing units, and support the renovation of units to a more energy-efficient and sustainable standard. In FY2018, our multifamily lending program invested more than $2.3 million in affordable housing in Connecticut, supporting more 361 units of affordable housing.
Plaza on the Green in Waterbury, CT.
2 2018 Annual Report
Consortium lenders have banded together to finance affordable housing projects throughout CT.
MF Financing and Units: FY13 to Present
Multifamily Consortium
HDF supported the refinance of a property located at 40 South Main Street in Norwalk by providing $1,300,000 in loans to Human Services Council. Human Services Council is a Nonprofit organization based in Norwalk that provides alcohol and drug prevention programs, supportive housing, child advocacy, homelessness prevention, and medical and behavioral health care for children and adolescents. The property located at 40 South Main Street provides formerly homeless individuals with independent yet supportive housing. The property provides tenants with high quality housing that is centrally located, allowing residents easy access to public transportation. There are 44 studio units that come furnished with small kitchens and the property includes a comprehensive array of support services including an on-site social worker. HDF is proud to support a fellow nonprofit in their efforts to preserve safe and affordable housing for vulnerable Norwalk residents who need it most.
2017: Forty South Main Street - (right)
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40 South Main Street Norwalk, CT.
4 2018 Annual Report
Preservation & New Construction -ask
homeownership
Bankwell Chelsea Groton Bank Citibank Connecticut Community Bank Fairfield County Bank Farmington Bank Ion Bank Liberty Bank M&T Bank Newtown Savings Bank People’s United Bank Savings Bank of Danbury Signature Bank Union Savings Bank United Bank Webster Bank
HDF provides a variety of low- and 0%-interest homebuyer assistance loans to income-eligible first time homebuyers. Funded through the SmartMove Loan Pools and a variety of grants, these loan programs help make homeownership affordable by lowering the cost of financing. Since 1994, our residential lending programs have helped more than 2,600 first time homebuyers. In FY2018 we continued to offer a number of downpayment and closing cost assistance programs, giving our homebuyers more choice and lower costs.
6 2018 Annual Report
SmartMove CT
Member banks purchase a stake in sustainable homeownership in our community by supporting the Smart Move program and providing first mortgage lending to HDF homebuyers.
Downpayment & Closing Cost Assistance
Counseling & Education
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HDF’s First Time Homebuyer Program (FTHB) is designed to help hardworking families buy a first home they can afford. Our one-on-one homebuyer counseling and homebuyer education classes are provided completely free of charge. Homebuyers work one-on-one with their homeownership advisor to develop an action plan, increase savings, reduce debt, and improve credit. Advisors also help clients to identify and apply for downpayment assistance opportunities. Since 2004, we've helped more than 12,000 first time homebuyers take the first steps on the path to homeownership. 5,900+ have gone through HDF one-on-one counseling and 1,700+ have completed homebuyer education. From 2016-2018, thanks to a new online application process, we oriented more than twice as many prospective homebuyers. We've also seen a steady increase in clients accessing our education and counseling products - both in real terms and as a proportion of those coming in the doors.
Smartmove Loan Pools
Citibank M&T Bank People’s United Bank Webster Bank
SmartMove NY
HDF IS DELIGHTED TO ANNOUNCE A NEW VENTURE TO PRESERVE AFFORDABLE HOUSING IN FAIRFIELD COUNTY. HDF has purchased and renovated a multi-family property located at 269 Hoyt Street in Darien, CT. The property includes 1 one-bedroom apartment, 2 two-bedroom apartments and offers parking for all three units. The apartments are reserved for households that earn 80% or less of Connecticut's State Median Income, and will provide much needed low-income housing options in an increasingly expensive rental market. HDF managed the apartment application process using a lottery selection system to choose potential tenants that meet the income - qualification requirements. HDF plans to complete the application process and fill the the units by the Fall of 2018.
The Statewide Downpayment Assistance Program was launched in September 2016 with a $3 million grant from CT DOH. The program offered 0% second mortgage loans of $15,000-25,000 to eligible homebuyers across the state. Funds can be used for downpayment and/or for closing costs. HDF is thrilled to report that we have completed the Statewide DAP Program program well ahead of schedule. This program has helped 180 low- and moderate- income households buy their first homes while also infusing almost $27 Million dollars in first mortgage funding into the market.
Thanks to a $3 million grant from NeighborWorks America, HDF launched Project Reinvest: Homeownership in the summer of 2017. The program offers 0% second mortgage loans of $10,500 to eligible homebuyers in Connecticut and New York with a recent expansion into Massachusetts! Assistance is available to first-time buyers making less than 100% AMI who are purchasing their primary residence. The program launched in the summer of 2017 and as of June 30th, 2018 HDF has closed 97 loans throughout HDF's service area totaling over $1 Million.
PROGRAM COMPLETED!
Expanding Affordable Housing in Darien
Hoyt Street Rentals
Statewide DAP with CT DEPARTMENT OF HOUSING
project reinvest with Neighborworks
($250+)
Supporters 2018
Citi Foundation First County Bank Foundation The Goodnow Fund M & T Bank NeighborWorks America People's United Community Foundation Webster Bank
11 hdfconnects.org/support
Benefit breakfast 2018
Leaders
Connecticut Housing Finance Authority Eversource Energy
All Our Kin Marie Alves Martin Anderson Michael Armstrong Benchmark Title Agency, LLC Leigh Bochicchio Mitch Bodner Bridgeport Neighborhood Trust Christopher Brighindi Frank Caico Carmody Torrance Sandak & Hennessey, LLP William Catanzaro Joseph Chelednik Connecticut Housing Finance Authority (CHFA) CT Green Bank Jerry Effren Fairfield County Community Foundation (FCCF) Farley Enterprises Ted Ferrarone Beth Ann Fetzer William Finger Claire Fishman Robin Gallagher Nicholas Gazetos Scott Gerard Norbert Grull Barbara Hickey Whit Holden Hoopes, Morganthaler, Rausch & Scaramozza, LLP Horizons NCC Charles Howell Human Services Council Zachary Hummel Bonnie Kern James Lane Liberty Bank Lighthouse Technology Partners Elizabeth Lopez Thomas Lutz William McAndrew Ryan McClay Melville Charitable Trust Cathleen Miller New Neighborhoods, Inc. Norwalk Community College Foundation Norwalk Grassroot Tennis & Education Norwalk Redevelopment Agency Kenneth Olson Robert Palermo Patriot Bank Margaret Powers Richard Redniss Debbie Robertson Cynthia Russell Valerie Saiz Jonathan Seredynski Stamford Downtown Special Services District Gabriel Stroie Supportive Housing The Ferguson Library The Housing Authority of the Town of Greenwich Kelly Trahan Uncommon Schools Union Savings Bank Chris Von Ancken Michael Weinstock Kenneth Willis Dave Zamary Andrew Zeitlin
Builders
Bank of America Bankwell Bank Liberty Bank TD Bank Wells Fargo Foundation
($500+)
On May 10, 2018, HDF held our 9th Annual Benefit Breakfast at the Hyatt Regency in Greenwich. 250 representatives from banks, housing developers, local government, nonprofits, and other community leaders across CT and NY enjoyed an update on HDF's impact and a keynote talk from Professor Ingrid Gould Ellen on "The Effects of Housing Instability on Educational Outcomes." After the breakfast, attendees met for an Education and Housing panel discussion to further explore the effects of housing instability on children's educational outcomes. Moderator Nancy von Euler (Horizons at New Canaan Country School) and panel participants Ingrid Gould Ellen, Matthew Quinones (Stamford Public Education Foundation), and Carrie Ramanauskas (Bridgeport Public Schools) illustrated the intersection of education and housing.
Visionaries
Neighbors (cont.)
Partners
($1,000+)
($5,000+)
Jennifer & David Barnard Charitable Fund CironeFriedberg LLP Charles Eaton Fairfield County Bank Ginsburg Development Companies Hunt Capital Partners, LLC Bruce and Linda Koe Laurel Road Bank Kim Morque Newtown Savings Bank Signature Bank Union Savings Bank
Building and Land Technology (BLT) / Harbor Point Federal Home Loan Bank of Boston First County Bank Edward Gormbley Savings Bank of Danbury Shipman & Goodwin Spinnaker Real Estate Partners, LLC United Bank Wofsey, Rosen, Kweskin & Kuriansky, LLP Stephan Woodward
10 2016-2017 Annual Report
Neighbors
American European Insurance Co. CironeFriedberg LLP Citibank Connecticut Community Bank Diamond Properties, LLC EMJ Construction Consultants Griffith E. Harris Insurance Services Heritage Housing, Inc. Guy Mazzola National Equity Fund Kathleen Romagnano Al Shehadi The Housing Authority of the Town of Greenwich Bruce Beinfield Charter Oak Communities CT Green Bank Donald Gustafson Juanita T. James Martin Morgado Women's Institute For Housing and Economic Development David Zieff
($10,000+)
($500,000+)
Icons
Friends
2017
Net Equity
$23,029
$43,372
Board Designated
$13,814,050
$9,751,331
Undesignated
$2,312,145
$2,527,026
Temporarily Restricted
$1,651,901
$3,234,088
Permanently Restricted
$1,020,675
$1,274,355
Total Net Assets
$18,821,800
$16,830,172
Total Liabilities and Net Assets
$60,000,034
$56,088,049
Cash and Cash Equivalents
$8,840,550
$7,482,692
Unrestricted Investments
$620,706
$1,409,479
Loans Receivable, Net
$33,610,713
$29,629,723
Leasehold, Furnishings, & Equipment
$489,020
$531,855
Permanent Loan Funds
$1,938,755
Grants, Contracts, & Other Receivables
$786,285
$794,409
Investment in Custodial Receipts
$1,310,476
$1,315,503
Investments for Deferred Compensation
$298,494
$256,688
Other Assets
$49,100
$57,886
Agency Assets
$14,043,790
$14,545,083
Total Assets
$60,000,34
2018
Net Assets
Assets
Financing Expenses
Financing Revenues
Net Financing Revenues
$1,001,034
$1,211,252
Contributions, Grants & Other Support
$4,118,371
$4,751,245
Total Net Revenues, Contributions, and Other Support
$5,119,405
$5,962,497
Interest Expense
$424.073
$407,388
Provision for Loan Losses
$511,254
$291,430
Total Financing Expenses
$935,327
$698,818
Expenses
2018 financials
Revenues
Statement of Financial Position
Notes Payable
$24,730,181
$21,606,512
Refundable Advances on Grants
$2,058,489
$2,938,495
Accrual Expenses and Other Liabilities
$1,185,454
$890,970
Deferred Compensation
$197,528
$288,140
Agency Liabilities
$13,023,115
$13,270,728
Total Liabilities
$39,257,877
$41,178,234
Liabilities
Total Program Services
$1,940,122
$2,146,209
Total Administrative Costs
$1,174,295
$1,047,639
Total Expenses
$3,127,777
$3,204,277
Change in Net Assets
$1,991,628
$2,758,220
Interest on Loans
$1,303,151
$1,292,779
Investment Income, Net
$95,934
$61,652
Contracts and Fees
$537,276
$555,639
Total Financing Revenue
$1,936,361
$1,910,070
Statement of Activities