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BB&T FINANCIAL CORPORATION COMMITS $1 MILLION TO LOW-INCOME RENTAL HOUSING EQUITY FUND

 WILSON, N.C., Oct. 28 /PRNewswire/ -- John A. Allison, chairman and chief executive officer of BB&T Financial Corporation (NASDAQ-NMS: BBTF), today announced that BB&T has committed to invest $1 million in the North Carolina Equity Fund. The North Carolina Equity Fund, established in July, was formed by the North Carolina Affordable Housing Equity Corporation (NCAHEC), a nonprofit corporation, to assist with equity financing of low-income rental housing throughout North Carolina.
 In announcing BB&T's commitment, Allison said, "Our investment in North Carolina Equity Fund represents a continuation of our long-standing commitment to help provide affordable housing to the citizens of North and South Carolina." Allison added, "The fund will combine our investment with those of other participants in providing equity financing to nonprofit organizations committed to affordable housing. We believe that this approach will enhance the value of our investments in low-income housing." With this investment, BB&T increases its total commitment to low-income housing to approximately $3.5 million.
 On learning of BB&T's commitment, Edward N. Mann Jr., chairman of NCAHEC, said, "We are extremely delighted to have BB&T participate in the North Carolina Equity Fund. BB&T's $1 million commitment, combined with others, has allowed us to move closer to achieving our goal of raising $10 million to fund affordable housing in North Carolina."
 The funds will be used by the NCAHEC for the acquisition, construction and rehabilitation of low-income rental housing. Corporations and banks investing in the fund, may receive tax credits against their federal income taxes over a ten-year period under the federal Low-Income Housing Tax Credit program, which began in 1986. Housing financed under the program is available for rent to families earning at or below 60 percent of the area median income. Since its inception, the Low-Income Housing Tax Credit program has helped finance 12,000 homes in North Carolina.
 The North Carolina Equity Fund will be managed by the NCAHEC and the Enterprise Social Investment Corporation (ESIC). ESIC is a subsidiary of the Enterprise Foundation, a nationwide affordable Housing organization. The Enterprise Foundation based in Columbia, Md., raised $220 million in investments last year so that nonprofit organizations could develop low-income rental housing throughout the country.
 Based on an average estimated cost of $45,000 to build each rental unit in North Carolina, it is projected that the North Carolina Equity Fund will be able to finance the development of approximately 550 units. David Peet, Executive Director of NCAHEC, said he has already received applications from several nonprofit organizations in North Carolina that want to build low-income rental housing, and it is hoped that construction on at least one property in North Carolina should begin by the end of 1993.
 -0- 10/28/93
 /CONTACT: George Wilson, vice president, of BB&T Financial, 919-399-4309/
 (BBTF)


CO: BB&T Financial Corporation; North Carolina Affordable Housing
 Equity Corporation ST: North Carolina IN: FIN SU:


MM -- CH011 -- 7864 10/28/93 11:40 EDT
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Publication:PR Newswire
Date:Oct 28, 1993
Words:492
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