MILWAUKEE, Aug 10, 2011 (BUSINESS WIRE) --
U.S. Bank, a financial and community leader in Milwaukee for more than
158 years, today announced several new initiatives to support the City
of Milwaukee in its Neighborhood Stabilization Program (NSP) efforts.
Mayor Tom Barrett said, "Foreclosed and vacant properties present
significant challenges for Milwaukee and other communities throughout
the country. It takes cooperative efforts including government, the
private sector, and residents to address the issues. I am pleased U.S.
Bank continues its partnerships to mitigate the negative impacts of
foreclosures, and I thank U.S. Bank for its continuing commitment."
Lisa Glover, U.S. Bank senior vice president and director of community
affairs said, "U.S. Bank is proud to be a longtime supporter of the
City's efforts to stabilize our neighborhoods. Many have been hit hard
by the housing crisis and we want to provide sustainable resources that
will help rebuild and revitalize our community."
U.S. Bank's housing stabilization initiatives include:
$1 million U.S. Bank Community Restoration Fund
U.S. Bank, in cooperation with the City of Milwaukee, will set up a $1
million U.S. Bank Community Restoration Fund to acquire and rehabilitate
foreclosed properties in the City's designated NSP zones. This revolving
loan fund will be made available to selected smaller neighborhood
developers working in neighborhoods such as Layton Boulevard, Sherman
Park, and Lindsay Heights, at 0%, providing a source of much needed
short term capital that they can quickly access.
Maria Prioletta, City of Milwaukee Redevelopment and Special Projects
Manager, said, "U.S. Bank's fund will provide short term financing to
smaller developers who are creditworthy and experienced, but often lack
the ability to gain financing quickly enough to purchase properties as
they come on the market. Now they will be able to purchase, rehab, and
sell the property sooner to qualified borrowers. The revolving aspect of
U.S. Bank's loan pool will allow the funds to be reinvested, ultimately
going above and beyond their $1 million commitment."
U.S. Bank is also playing a leadership role on the development of two
additional loan pools; one with the City of Milwaukee and one with
Select Milwaukee that will provide additional funding for home
revitalization efforts in Milwaukee's neighborhoods.
Single Family Mortgages
U.S. Bank will commit up to $15 million in mortgages to qualified
borrowers in the NSP zone over the next four years. One of the products
offered will be U.S. Bank's signature American Dream Program that allows
for lower down payments and an option to add funds for repairs.
Alderman Michael Murphy, whose 10th Aldermanic District includes some of
the Sherman Park neighborhood, said U.S. Bank is bringing its unique set
of tools to the table to help creatively solve the issue. "At the end of
the day, it's about stabilizing our neighborhoods and that is great news
Support to Non Profit Partners
Glover noted that the new programs are in addition to the work the Bank
is already doing to rebuild communities in collaboration with non profit
housing partners in Milwaukee. U.S. Bank has played a leadership role in
Take Root Milwaukee, a campaign started by Mayor Barrett to get
information out to the public about trusted tools and resources
available to purchase and sustain homeownership in Milwaukee. In 2011,
U.S. Bank will give more than $240,000 in grants to housing agencies
working within the City of Milwaukee, including a large regional grant
to Mercy Housing for support of programs such as Cleanslate which
provides property preservation services on foreclosed properties.
Raymond Schmidt, executive director of Select Milwaukee and a member of
Take Root Milwaukee, said, "We have one common agenda and that is to
turn our neighborhoods around. U.S. Bank has been on the ground and at
the table with many community leaders. They have focused on designing
solutions to rebuild our neighborhoods that can serve as a model for the
U.S. Bancorp (NYSE: USB), with $321 billion in assets as of June 30,
2011, is the parent company of U.S. Bank, the fifth-largest commercial
bank in the United States. The company operates 3,086 banking offices in
25 states and 5,086 ATMs and provides a comprehensive line of banking,
brokerage, insurance, investment, mortgage, trust and payment services
products to consumers, businesses and institutions. U.S. Bancorp and its
employees are dedicated to improving the communities they serve, for
which the company earned the 2011 Spirit of America Award, the highest
honor bestowed on a company by United Way. Visit U.S. Bancorp on the web
SOURCE: U.S. Bank
Lisa H. Clark, Media Relations, 608-877-7517