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NJHMFA logo

2023  
ANNUAL REPORT 

Investing in People, Changing Lives.

teacher with students

INVESTING IN OUR TEACHERS

one nurse female

INVESTING IN OUR NURSES

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INVESTING IN OUR FAMILIES

male first responder

INVESTING IN OUR FIRST RESPONDERS

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INVESTING IN OUR SENIORS

2023

New Jersey Housing and Mortgage Finance Agency (NJHMFA) has catalyzed an unprecedented level of affordable housing production across the state of New Jersey. This work helps New Jersey communities fulfill their housing goals and obligations and offers residents new, high-quality homes affordable to them in the communities they love. The great strides made in 2023 are the culmination of the Agency’s work in its first four decades of operation. In this, the Agency’s 40th year, we pause to reflect on the progress made and to sharpen our focus on the
work ahead. 

The Agency in 2023 surpassed its record investment in New Jersey. NJHMFA committed over $1.5 billion in new construction financing to support multifamily production. Every penny supported jobs, homes, and market activity totaling over
$5 billion. Direct gubernatorial and legislative support empowered and shaped programs that propelled the industry out of the COVID-19 slump. In a tough market, we were the engine moving New Jersey affordable housing development forward.

The Agency also put $1 billion dollars to work helping New Jersey families buy their first home in 2023. Our loans went to lower income, more diverse homebuyers across the state than conventional banks, and we grew 20% while the industry ground to a halt in the worst market for new homebuyers in history. We weren’t the lender of last resort; we were the best game in town.

Over $2.5 billion in direct investment in our residents and communities speaks
for itself.

NJHMFA responded to the complexities of a rapidly changing housing landscape
by making strategic investments, deploying innovative financing tools, and implementing bold new policies that kept the industry strong and significantly enhanced the well-being of low- and moderate-income families and communities across the state.

These programs and initiatives honor the steadfast support and leadership of the
late Lieutenant Governor, Sheila Y. Oliver. She amplified the voices of underserved populations and secured unprecedented investments in safe, affordable, and
high-quality housing throughout the state. Her legacy inspires us to press forward with optimism, purpose, and an unwavering commitment to the realization of her vision for affordable housing in every community.

Our Division of Multifamily & Supportive Housing and Lending financed 31 projects through the Low-Income Housing Tax Credit (LIHTC) program, the Conduit Bond Program, and other Agency funding streams. These totaled $801 million in financing commitments, of which $663.1 million supported projects that combined NJHMFA funds and equity from the sale of LIHTC. These projects will expand New Jersey’s supply of affordable housing through the construction or rehabilitation of over 2,000 affordable apartments. 242 special needs beds were financed by NJHMFA’s Special Needs Housing Trust Fund (SNHTF), helping to address the unique needs of residents with disabilities, residents experiencing homelessness, and other vulnerable populations.

NJHMFA also committed another $104.1 million of Affordable Housing Production Fund (AHPF) dollars in 2023, putting the Agency on course to allocate entirety of the original $305 million in program funds by the first quarter of FY2025. The AHPF has supported the construction of an estimated 3,200 new affordable homes, catering to families, seniors, and residents with special needs. It has spurred over $1.3 billion in development and fostered statewide progress amid one of the most challenging construction markets in decades. Through a set aside program within the
AHPF programs.

NJHMFA also saved an additional 24 COVID-19 impacted projects by allocating $66.2 million to ensure that 1,674 in-development units, including 345 special needs beds, are completed and occupied in the months ahead. Forging ahead, NJHMFA introduced two additional multifamily programs in October 2023. The first is the Workforce Housing Program, which will allocate $50 million to create deed-restricted apartments for middle-income workers near mass transit and plentiful job opportunities. The second is the Urban Preservation Program, which will allocate $80 million to preserve existing affordable units that are at risk of deterioration or nearing the expiration of their affordability protections. These historic investments in the State’s housing infrastructure are poised to benefit New Jerseyans for generations.

Each new home transforms someone’s life, but 2023 showed how impactful NJHMFA projects can be in other aspects of family and community life, as well. This past summer, hundreds of new NJHMFA-financed affordable rental homes became available in Paterson, but two award-winning projects stand out: Hinchliffe Residences and Barclay Place. At Hinchliffe, NJHMFA financing enabled 75 low- and moderate-income seniors to live next to the newly revitalized historical landmark, Hinchliffe Stadium, in central Paterson. Additionally, Barclay Place, became the first Hospital Partnership Subsidy Program property to welcome residents home. Barclay Place provides 56 affordable apartments just a block away from St. Joseph’s University Medical Center. These projects demonstrate the unique impact NJHMFA programs can have. NJHMFA uses the tools at its disposal to cultivate housing that is more than shelter- it supports health, well-being, and a high-quality of life for residents and fosters revitalization, environmental stewardship, and intergenerational connections for the host community.

This is what Affordable Housing in New Jersey looks like.

NJHMFA also understands that homeownership is critical to supporting a healthy future for our residents and life cycle for our communities. The Agency strives to empower individuals and families seeking homeownership opportunities to find their dream home and build their lives in a community they love.

Even in this difficult market, it’s working.

NJHMFA’s single-family programs are thriving. Our Down Payment Assistance (DPA) Program has empowered over 17,000 first-time homebuyers since 2017, helping 2,313 families achieve homeownership in 2023 alone — a 23.36% year-over-year increase. Recent expansion of the assistance available, including increasing the down payment assistance provided in high-cost counties and the legislatively enacted first-generation homebuyer program exemplify our commitment to broadening the Agency’s impact on individuals and families.

Our commitment to supporting homeownership in New Jersey extends past move in day. NJHMFA has distributed over $180 million in Federal HAF funds through the Emergency Rescue Mortgage Assistance (ERMA) program. These funds have helped 5,000 families save their homes. This is a significant contribution to wealth preservation and community stabilization. In 2023 alone, ERMA funds were awarded to 4,091 families, who received $125,287,176 in assistance.

In addition, NJHMFA launched the Foreclosure Intervention Program (FIP) to supplement New Jersey’s single-family housing supply through the rehabilitation of vacant and abandoned homes. This program invests new resources in communities across the State and creates more homeownership opportunities for New Jersey’s low- and moderate- income households.

As we commemorate 40 years at NJHMFA, we remain grateful for your continued support and valuable input as we persist in our mission to transform lives and communities through affordable housing. 



REMEMBERING LIEUTENANT GOVERNOR SHEILA Y. OLIVER 
(July 14, 1952 – August 1, 2023)

NJHMFA commemorates the life and career of Lieutenant Governor Sheila Y. Oliver, who, as the Commissioner of Community Affairs, also served as the Chair of the NJHMFA Board. Lieutenant Governor Oliver was a dedicated public servant, a passionate advocate for affordable housing, and a revered leader in the State.

Throughout her trailblazing career, Lieutenant Governor Oliver worked tirelessly to address the housing needs of New Jersey’s residents. Her unwavering commitment to social and economic justice was a driving force behind numerous successful programs and landmark policies that markedly improved the lives of countless individuals and communities across our State.

Lieutenant Governor Oliver’s invaluable contributions have left an indelible mark on the Agency. Her remarkable vision, commitment to social and economic justice, and dedication to affordable housing will be remembered by all those who had the privilege to work alongside her and will continue to serve as a guiding light as we venture into the future. Lieutenant Governor Oliver inspired generations of women to enter public service and left a lasting legacy of service-oriented leadership.

Lt. Governor Sheila Y. Oliver

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NEW JERSEY INVESTING IN PEOPLE, CHANGING LIVES.

Melanie R. Walter

Melanie R. Walter

Executive Director

Jacquelyn A. Suárez

Jacquelyn A. Suárez

Acting DCA Commissioner-NJHMFA Board Chair

 

AGENCY IMPACT 

40 Years of Impact — Historical Production  

Housing Infographic

NJHMFA

Beginning in the late 1960s, the New Jersey Housing Finance Agency (NJHFA) and the New Jersey Mortgage Finance Agency (NJMFA) embarked on a mission to champion affordable housing. Their joint efforts materialized into a
diverse array of housing solutions: homes for families seeking affordable rentals, independent living for people with disabilities, stable homes for seniors on fixed incomes, and innovative homebuyer assistance programs. The merger of these two specialized entities on January 17, 1984, marked a pivotal moment, giving rise to the New Jersey Housing and Mortgage Finance Agency (NJHMFA).

Four decades since that transformative merger, NJHMFA stands proudly at the forefront of housing development and policy in the state of New Jersey. As of 2023, approximately six percent of all New Jersey renters live in NJHMFA financed properties, and roughly nine percent of all low-to-moderate income renter families in New Jersey live in affordable properties financed through NJHMFA. That is a reflection of how pivotal NJHMFA is to creating the housing that we need for all New Jersey households, and particularly the state’s most vulnerable residents.

The Agency is at the vanguard of housing policy and production in New Jersey, offering numerous innovative financing and bond programs, life-changing mortgage support, and an efficient, objective, and productive Low-Income Housing Tax Credit allocation process. Our multifaceted approach to housing expands access to quality housing that is affordable for all New Jersey residents and that meets their unique needs.
 

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AFFORDABLE 
 MULTIFAMILY HOUSING


NJHMFA’s Low Income Housing Tax Credit Program

foundation construction

 BUILDING

 

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STRONG

New Jersey Housing & Mortgage Finance Agency

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COMMUNITIES 

 

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2023 9% LOW INCOME HOUSING TAX CREDIT
GRAND OPENINGS

Red Rock Preserve

 

 

 

Village at Harmony Garden

 

 

 

Red Rock Preserve

Branchburg | 50 units 

This affordable four-building development caters to families, with plenty of two- and three-bedroom apartments, spacious floor plans, and a playground for children. Rents start at only $440, allowing low- and moderate-income residents to afford living in Branchburg. Red Rock Preserve’s quiet, suburban setting locates tenants right next to natural beauty while simultaneously connecting them to jobs, schools, shops, and other neighborhood amenities through Route 202. In addition to $8.5 million in equity generated from the sale of 9% LIHTC, NJHMFA committed an additional $400,000 in Affordable Housing Gap Subsidy funds to help the project cross the finish line following pandemic-related disruptions.

Village at Harmony Garden 

Glassboro | 65 units

The Village at Harmony Green represents a stunning example of forward-facing redevelopment, as Glassboro’s Ellis Manor public housing complex was transformed from a dilapidated, 1960s-era development into 65 one-story cottage-style apartments. Residents benefit from state-of-the-art amenities, a new community garden, and a nearly 3,000-square-foot community building. With 52 units reserved for seniors aged 55+ and 17 units reserved for residents with developmental disabilities, the project addresses the unique housing needs of several vulnerable populations. NJHMFA helped turn these plans into reality through $1.3 million in low-interest loans from the Special Needs Housing Trust Fund and the generation of $13.6 million in equity from the sale of 9% LIHTC.

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Freedom Village at Hamilton Woods Housing Infographic

Freedom Village
at Hamilton Woods  

Hamilton Township | 72 units

Hamilton’s newest supportive housing development,
Freedom Village at Hamilton Woods, emphasizes inclusivity
and accessibility as 16 of its affordable units are reserved for
people with developmental disabilities or mental illnesses.
This development offers a mix of one, two, and three-bedroom apartments with rents as low as $882. Freedom Village helps address a crucial need for affordable and supportive housing in a town where more than eight percent of residents have a disability. Conveniently sited in Hamilton’s “Center City” district, residents have next-door access to a clinic, library, and YMCA, as well as shopping and dining options within walking distance. In addition, on-site social service coordinators are provided for residents through Catholic Charities. It is the latest development by Project Freedom, a leading supportive housing developer in the State, and its second in Hamilton. Thanks to nearly $14 million in equity generated through the sale of 9% LIHTC and an additional $1.2 million in funding from NJHMFA’s Special Needs Housing Trust Fund, dozens of Hamiltonians have the safe, livable, accessible, and affordable homes they deserve.

2023 4% LOW INCOME HOUSING TAX CREDIT
GRAND OPENINGS

Hinchliffe Residences Housing Infographic

Hinchliffe Residences  

Paterson | 75 units

The Residences at Hinchliffe Stadium is an award-winning redevelopment project, which transformed a vacant lot into a mixed-use building with 75 affordable apartments for
Paterson’s 55+ community and is located right across from newly revitalized Hinchliffe Stadium. The Residences at Hinchliffe formed a critical component of the State’s largest ever historical preservation project, in which the blighted Hinchliffe Stadium, one of the nation’s few surviving Negro League stadiums, was restored to its former glory. The redevelopment project took place in the heart of Paterson, offering a high quality to the inhabitants of the Residences. Beyond easy access to the Stadium and Great Falls National Park, the surrounding neighborhood is rich in amenities like shops, restaurants, and recreation facilities for residents to enjoy. NJHMFA provided $10.3 million in equity through the sale of 4% LIHTC, a sum that was critical to the realization of this project.

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Barclay Place building image

Barclay Place  

Paterson | 56 units

Stemming from the recognition that access to quality housing is critical to maintaining good health, the Hospital Partnership Subsidy Program (HPSP) works together with hospitals to provide affordable housing in conjunction with accessible healthcare. NJHMFA matches funding contributions from participating hospitals to provide affordable rental apartments for low- and moderate-income families, as well as supportive apartments providing wraparound services for residents with special needs. The past few years have made it abundantly clear that housing and healthcare are intertwined. Investing in affordable and supportive housing is a proven public health strategy that helps keep residents out of emergency rooms, jails, and homeless shelters.

Since HPSP’s 2018 launch as a pilot program, it has attracted interest and acclaim from healthcare systems around the State and other housing developers around the country. July 2023 was an exciting moment for the program as its inaugural project, Barclay Place, opened its doors to residents. Developed in close collaboration with the New Jersey Community Development Corporation, New Jersey Community Capital, Thriven Design, the City of Paterson, and St. Joseph’s University Medical Center, this project provides 56 units of affordable and supportive housing in the heart of Paterson just a block away from St. Joseph’s University Medical Center. Residents benefit from on-site wraparound services and have convenient access to world-class medical care. The HPSP raised $9 million, half from NJHMFA and half from St. Joseph’s, complementing the $11.2 million in equity raised through the sale of 4% LIHTC.

In the months since the grand opening, Barclay Place has won and contributed to numerous awards for its innovative financing, benefit to public health, and contribution to meeting the housing needs of Paterson’s residents. Sources of recognition include New Jersey Future, NJBIZ, the Supportive Housing Association of New Jersey, and the Governor’s Conference on Housing and Economic Development. Beyond the awards and press coverage, Barclay has transformed lives. In the words of resident Cristina Tone, who had struggled for years to simultaneously find affordable housing and ensure her son received care for his chronic condition, “Barclay was the only affordable housing option we had available that could give us peace of mind and also save my son’s life … Coming home to this new place for him was an amazing surprise and a blessing for our family.” 

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HOSPITAL
PROGRAM FUTURE

Barclay Place

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Virtua BLDG_Rendering

Virtua

Health & Wellness Center

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Building on the momentum from Barclay Place, NJHMFA attended the groundbreaking of Virtua Health Redevelopment in November. This mixed-use
47-unit senior housing project in Camden represents the first HPSP development
in South Jersey. A ground-floor clinic will provide specialty medical care while 47 affordable senior apartments will occupy the floors above, including five set-aside units for people experiencing homelessness. In addition to several other Agency funding streams, the HPSP has provided $8.4 million in financing thanks to the combined effort of NJHMFA and Virtua Health. Looking ahead, four closed projects are in the pipeline and are positioned to shape the intersection of the affordable housing and healthcare industries for years to come.  

University-Hospital-Fairmount

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HOMEOWNERSHIP 

Builds Stonger Communities

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Kyle and Kiri homeowners

KYLE & KIRI

NJHMFA approved lenders utilized the Down Payment
Assistance Program to help first time homebuyers achieve
their dream of home ownership.

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Empowering First-Time Homebuyers

For decades, NJHMFA has served as a pillar of support for first-time homebuyers navigating the challenging landscape of homeownership. At the core of the Agency’s initiatives is the First-Time Homebuyer Mortgage Program, offering qualified New Jersey residents competitive 30-year, fixed-rate government-insured loans (e.g., FHA/VA/USDA loans) and conventional mortgage products. This program simplifies the home-buying process, making homeownership attainable for those who may otherwise face barriers to entering the housing market.

Acknowledging the significant upfront costs that often impede first-time homebuyers, NJHMFA created the Down Payment Assistance (DPA) Program. Offered in combination with the First-Time Homebuyer Mortgage Program, the DPA Program extends up to $15,000 as an interest-free, five-year forgivable second loan, with no monthly payments. This financial support alleviates the economic strains associated with home purchases, furthering NJHMFA’s commitment to fostering homeownership and to helping New Jerseyans build wealth. 

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In 2023, NJHMFA’s programs assisted 2,313 families, providing a total of $26,848,000 in down payment support for first-time homebuyers, and $1,967,322.00 in interest rate buydowns to reduce the new homeowners’ monthly payments and help them build equity faster.

Additionally, NJHMFA introduced the First-Generation Down Payment Assistance Program to address the specific challenges faced by first-generation homebuyers who cannot rely on generational wealth. This initiative offers $7,000 in down payment and closing cost assistance to first-generation homebuyers, augmenting the NJHMFA DPA award for first-time buyers. The combined assistance totals between $17,000 to $22,000, which is provided in the form of an interest-free, five-year forgivable second loan with no monthly payments. This strategic program not only eases the financial burden on first-time buyers, but it also furthers NJHMFA’s mission to develop a more equitable and just economy through the empowerment of first-generation homebuyers.

DPA pie chart

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ERMA

Emergency Rescue Mortgage Assistance 

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A Helping Hand for Homeowners in Need.



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In February of 2022, NJHMFA launched the ERMA program to provide mortgage reinstatement, property tax delinquency relief, and monthly mortgage payment assistance. The program is available for homeowners who have struggled to make timely payments due to a COVID-related hardship. After an initial ramp-up period, the Agency began funding this assistance through forgivable loans.

NJHMFA awarded 4,091 households over $125 million in emergency assistance during 2023. The program is expected to continue through 2026. Consistent with
US Treasury requirements, this program is targeted to low- and moderate-income homeowners. Eighty-six percent of the families that have received ERMA funds earn less than or equal to 100% of the Area Median Income (AMI). Sixty-four percent of families awarded assistance identify as “Socially Disadvantaged,” as defined by the United States Department of Treasury, underscoring NJHMFA’s persistent efforts to empower disadvantaged and underserved populations. 

ERMA logo

NEW JERSEY HOUSING POLICY AND LEGISLATION 

Historic housing investments in the FY2023 Budget

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New Jersey Governor signing documents

 

The FY 2024 budget, signed into law by Governor Murphy on June 30,
provided historic investments in affordable housing.

NJ Capitol Building

 

 

FY 2024 Budget
The FY 2024 budget made historic investments in affordable housing. NJHMFA received $40 million for the Down Payment Assistance Program, including the First-Generation Down Payment Assistance Program. Additionally, $230 million was allocated for the Affordable Housing Production Fund, including $50 million for the Workforce Housing Program and $80 million for the Urban Preservation Program. 

Workforce Housing Program
This program creates deed-restricted apartments catering to middle-class households earning between 80% and 120% AMI within mixed income projects. To be eligible, a development must be in a municipality with a high jobs-to-housing ratio or be within a half mile of transit service. Currently, 161 municipalities meet the minimum jobs-to-housing ratio necessary to be presumed eligible. Projects outside of those municipalities can still qualify if the property is located near publicly operated transit services.

Urban Preservation Program
Governor Murphy signed P.L.2023, c.77 into law on June 30, establishing the Urban Preservation Program, which was subsequently appropriated $80 million in the FY 2024 budget. This initiative aims to rehabilitate, renovate, and preserve affordable housing in designated Urban Preservation Municipalities. Program guidelines, adopted on October 19, designate 80 eligible municipalities.

Down Payment Assistance Program
This program has assisted over 10,000 borrowers with down payments and closing costs since 2017. The legislature expanded the program’s eligible uses to include interest rate buy-downs, and dedicated funding to support first-generation homebuyers. Following legislative enactment on June 30, 2023, and the adoption of program guidelines in September 2023, NJHMFA launched its First-Generation Homebuyer Program whereby qualified first-generation borrowers receive an additional $7,000 on top of the base DPA loan, promoting affordable homeownership and reducing disparities.

Foreclosure Intervention Program
Governor Murphy signed P.L.2023, c.76 into law on June 30, establishing the Foreclosure Intervention Program. This new initiative supports non-profits in the purchase and rehabilitation of vacant and abandoned properties for sale to first-time homebuyers making low or moderate incomes.  

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NJHMFA logo

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2023 Board Members

The NJHMFA Board has played a crucial role in supporting the Agency's work.
Their dedication and swift action have allowed NJHMFA to respond effectively to emerging
needs in the housing community. NJHMFA’s 2023 board members were:

ex officio, Chair, Acting Commissioner of the Department of Community Affairs of the State of New Jersey 

ex officio, Commissioner of the Department of Banking and Insurance of the State of New Jersey

ex officio, State Treasurer of the State of New Jersey

ex officio, Commissioner of the Department of Human Services of the State of New Jersey

ex officio, Attorney General of the State of New Jersey

 public member, of Wyckoff, New Jersey

public member, Vice President and Senior Business Banker, PNC Bank

Their contributions and expertise have been invaluable
in advancing the mission of NJHMFA and improving
the state of housing in New Jersey.

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Conclusion

Society increasingly recognizes the ready availability of quality affordable housing as foundational to individual and community success. NJHMFA exists to provide that housing. During 2023, the Agency made substantial progress in its mission. Through strategic investment and innovative financing, NJHMFA built upon its established programs and realized success in the creation of a robust multifamily pipeline through groundbreaking initiatives including the Affordable Housing Production Fund, statewide Workforce Housing Program, and the Urban Preservation Program. These endeavors, coupled with flourishing single-family programs, have significantly expanded affordable housing options for New Jersey residents. To honor the vision and legacy of Lieutenant Governor Sheila Y. Oliver, NJHMFA remains dedicated to shaping a more inclusive and accessible housing landscape for all New Jersey residents. As we express gratitude to our partners, stakeholders, and the communities we serve, we look forward to building upon these accomplishments, creating the affordable housing New Jersey residents need and deserve.

graphic of a person carrying a box