State Farm To Commit $25 Million For Low-Income Housing

NU Online News Service, April 14, 3:55 p.m. EDT

State Farm Insurance Cos. announced it will commit $25 million to the National Equity Fund (NEF) Inc. to help finance affordable housing in low-income communities for disadvantaged families and seniors.

NEF is a nonprofit syndicator of low-income housing tax credits (LIHTCs).

State Farm said its investment will support development projects that are expected to create 250 to 300 affordable rental homes with green features. The first project has been slated for Milwaukee, and additional projects will be identified in the months to come, the company noted.

The insurer said it has, in recent years, contributed more than $80 million in community development grants and loans to the Local Initiatives Support Corporation (LISC)--NEF's parent--to support restored commercial corridors, parks and recreational programs, after-school programs, and other initiatives in low-income areas.

"In any economic environment, affordable housing is critical," said Joe Hagan, NEF president and CEO. "But in today's climate, the implications of State Farm's investment are even more significant. It ensures that hundreds of at-risk families will be able to raise their children in safe, decent homes that contribute to a better quality of life in their neighborhoods and that low-income seniors can afford to age in place, in the communities where they have lived so much of their lives."