ALBANY-The New York State Public Authorities Control Board has approved the issue of $54 million in fixed-rate bonds to finance the transfer of a statewide Mitchell-Lama housing loan portfolio from New York State Empire State Development's Urban Development Corp. to New York State Homes & Community Renewal. The 8,628 multifamily units are located in 35 separate housing developments across the state, and the shift is intended to facilitate rehabilitation of Mitchell-Lama housing units that are suffering from deferred maintenance.

“The transfer of this nearly 40-year old portfolio to the care of New York's main housing agency is being done responsibly and efficiently,” Gov. Andrew Cuomo says in a statement. “HCR is well-equipped to manage this important asset, and can now begin the task of preserving affordability and transforming aging Mitchell-Lama units back into safe homes that will continue to serve the needs of middle-class families and communities for generations to come.”

The transfer of the ESDC Mitchell-Lama housing portfolio to HCR is part of Cuomo's $1-billion House New York program, which he introduced in his State of the State address this past January. The program is intended to construct or preserve more than 14,300 affordable housing units over the next five years in both urban and rural areas across the state. Last week, Cuomo announced the availability of $91 million in low-interest loans through HCR for shovel-ready projects to build affordable housing across the state.

As part of the transfer, HCR has already identified the Mitchell-Lama developments within the portfolio that are most in need of rehabilitation. This is expected to help HCR in refinancing the projects and leveraging additional private and public funding for capital improvements and property upgrades, the governor's office said.