Prudential helps to fund affordable housing projects.NEWARK, N.J.--(BUSINESS WIRE)--July 13, 1995--The Prudential Insurance Company of America is working to help provide affordable housing in inner city neighborhoods in New Jersey, especially Newark, and in 14 other urban areas throughout the nation. The Prudential has agreed to purchase up to $5 million in 15-year bonds issued by the Local Initiatives Managed Assets Corporation (LIMAC LIMAC Large Integrated Monolithic Array Computer ). Proceeds of the bonds will be used to purchase and help originate community development loans, primarily for affordable housing, in Newark and other urban communities in New Jersey, and in urban areas of Atlanta, Boston, Chicago, Dallas, Detroit, the District of Columbia District of Columbia, federal district (2000 pop. 572,059, a 5.7% decrease in population since the 1990 census), 69 sq mi (179 sq km), on the east bank of the Potomac River, coextensive with the city of Washington, D.C. (the capital of the United States). , Houston, Jacksonville, Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. , Minneapolis, Newark, Philadelphia, Phoenix, San Francisco San Francisco (săn frănsĭs`kō), city (1990 pop. 723,959), coextensive with San Francisco co., W Calif., on the tip of a peninsula between the Pacific Ocean and San Francisco Bay, which are connected by the strait known as the Golden , and Seattle. The financing was arranged through Prudential's Social Investment Program, through which Prudential funds projects with social benefits that do not meet standards for conventional financing. Last year, the Social Investment Program invested more than $30 million in community-based development Community-based development occurs when communities are responsible for planning, managing, and implementing developmental change with little, if any, intervention from governments, non-governmental organization, or other external actors. projects that strive to bring about positive change. According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Gabriella Coleman, vice president, Corporate Social Responsibility, and president of The Prudential Foundation, the main objective of the financing is to enable LIMAC to purchase loans from community development loan originators, thus enabling the originators to increase their lending activities and offer longer term loans. LIMAC was created in 1986 as an affiliate of the Local Initiatives Support Corporation (LISC LISC Local Initiatives Support Corporation (New York, NY) LISC Little Illini Soccer Club (Champaign-Urbana, Illinois) LISC Long Island Subaru Club LISC Laboratory for Intelligent Systems and Controls ), the nation's largest community development support organization. LIMAC's mission is to attract new capital to the community development field by creating a secondary market for affordable housing and community development loans. LIMAC pools loans, provides credit enhancements and converts loans into securities. These securities are then sold to institutional investors through private placements. Prudential purchased $2 million in LIMAC Series A bonds in 1988 and $4 million in LIMAC Series B bonds in 1991. In both cases, the funds were used to purchase loans from LISC and other community development financial institutions. Prudential's purchase of the LIMAC bonds is subject to the satisfaction of customary conditions. CONTACT: Prudential Insurance, Newark Karen Oliver-Howell, 201/802-8533 |
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