BRIDGE Housing Unveils $20 Million Program to Rebuild California Communities.

Business Editors and Real Estate Writers

SAN FRANCISCO--(BUSINESS WIRE)--April 24, 2000

Bank of America Invests $10 million to address Housing, Retail

Services, Child Care and Infrastructure Building in Underserved

Communities

BRIDGE Housing Corporation, one of the largest non-profit developers of affordable housing in the country, today announced the creation of Bridging the Gap -- a $20 million program funded by $10 million from Bank of America and other investors -- that will be used as a catalyst to develop new mixed use developments in urban neighborhoods. With the launch of the statewide neighborhood revitalization initiative, BRIDGE Housing further expands its mission from building affordable housing to rebuilding communities.

Bridging the Gap serves as a model for implementing the most cutting-edge "smart growth" strategies, a tactic which is considered by most planning experts to be the key to successfully addressing California's current and future housing challenges. For this reason, Bridging the Gap has been endorsed by United States Senator Dianne Feinstein, California Treasurer Philip Angelides, and Oakland Mayor Jerry Brown, as well as business and community leaders. This uniquely creative program, which combines affordable housing with comprehensive access to neighborhood services and amenities, has been universally lauded as groundbreaking.

"Quality housing in the urban core and inner suburbs can and should be part of California's future growth patterns," explained California Treasurer Phil Angelides. "If California is going to meet its tremendous growth challenges in the years ahead, we can't afford to continue to sprawl, and we can't afford to continue to throw away our existing urban fabric."

"Bridging the Gap, and the private investment capital it represents, is the catalyst we need to make a large-scale impact. There is a positive spiral effect -- more quality and affordable housing for workers close to jobs, stable neighborhoods and a better trained and qualified workforce," according to BRIDGE President Carol Galante. "Our goal is to be the first to actually set in motion a program which implements smart growth on a large strategic scale."

Of the $20 million of capital BRIDGE seeks to raise, Bank of America has already invested $10 million through its new Catalyst Fund. Bank of America has been one of BRIDGE's greatest supporters having assisted with ten other projects. Wells Fargo Bank, Fannie Mae, and Washington Mutual have also made significant commitments to the program.

Connie Beck, President of Northern California Banking for Bank of America, said, "BRIDGE has been a marvelous return on Bank of America's investment, and we are delighted to be its partner in taking the development of housing to the next logical step: the uplifting of families and the revitalization of neighborhoods. I urge other institutions to join with Bank of America in launching this vitally important initiative."

According to Galante, "This $20 million of private capital is a down payment. It will leverage new development activity of over $400 million in dozens of new neighborhoods across the state. We are enormously excited to have the resources to make a difference and proud of the confidence Bank of America and others have placed in us."

"Many Oakland neighborhoods will benefit from this program. It's great that BRIDGE and Bank of America are helping to improve Oakland neighborhoods," said Oakland Mayor Jerry Brown.

"I don't think one size fits all when it comes to housing," stated Senator Feinstein. "One of the reasons that I think BRIDGE can play a role in the new millennium is because it is flexible in looking at different models of how to get something done. Bridging the Gap is a great example of BRIDGE's creativity."

BRIDGE was founded in 1983 by Bay Area business leaders to build high quality housing affordable to the backbone of the workforce. Since then, it has developed over 8,500 homes which house 20,000 people, making it the leading non-profit producer of affordable housing in California and a national model of successful non-profit housing development. BRIDGE is unique in its track record of bringing together partnerships to build not only housing but new shopping centers, parks, daycare centers, police and fire facilities, libraries, community spaces and job training centers.

BRIDGE has built numerous community assets including: the Town Center and Courtyards at Acorn in West Oakland, Richmond City Center in downtown Richmond and Marin City USA in Marin City. New efforts include the Gateway 101 Apartments and Homes in East Palo Alto just under construction and the North Beach Public Housing Revitalization effort in San Francisco.