City of Atlanta Completes Neighborhood Stabilization Program Obligation Ahead of National Deadline

Department of Planning and Community Development announces milestone and looks forward to possibility of receiving additional NSP grants to address abandoned foreclosures

Atlanta, GA – With several days to go before the September 5 deadline, the City of Atlanta today announced it has met its Neighborhood Stabilization Program (NSP) goal of obligating 100 percent of federal and state grant funds ahead of schedule. The City of Atlanta NSP is being managed by the Department of Planning and Community Development’s Office of Housing. Using NSP stimulus grants, the Office of Housing has acquired 143 properties, which include single-family homes and apartment complexes in NSP targeted communities.

Earlier this month the Department of Planning and Community Development announced the Office of Housing had obligated over 90-percent of its federal NSP grant funds and nearly 95 percent of its state allocation. On Tuesday, both funding sources reached 100 percent obligation.

“Meeting the obligation deadline ahead of schedule is a tremendous success for the City of Atlanta,” said Mayor Kasim Reed. “The foreclosure crisis had a devastating effect on many of our neighborhoods and this program allows Atlanta the opportunity to rebuild communities hit hardest by it. Our NSP staff will now focus on renovations so that homes and apartment units can be ready for sale or rent in the coming months.”

The Neighborhood Stabilization Program is a national recovery initiative designed to help cities address the foreclosure crisis by distributing grants to municipalities to acquire, renovate and resell housing units in areas hit hardest by the national foreclosure crisis.

“What we achieved would not be possible without the help and support of the community, our developers and the more than 250 businesses working with us,” stated Commissioner James Shelby, Department of Planning and Community Development.

The City of Atlanta is thought to be in the running for a NSP3 grant. An announcement is expected soon to identify which cities will receive NSP3 funding.

In 2009, the City of Atlanta received approximately $12 million from the U.S. Department of Housing and Urban Development (HUD) and nearly $4 million from the Georgia Department of Community Affairs for NSP. Using HUD guidelines, the City of Atlanta has targeted NSP funds to assist areas of greatest need, which include portions of zip codes: 30307, 30310, 30311, 30312, 30314, 30315, 30316, 30317, 30318, 30331 and 30354. These areas also are considered to have the highest percentage of sub-prime mortgage loans.

Interested homebuyers and renters are encouraged to visit www.atlantaga.gov and visit the Department of Planning & Community Development, then click the Office of Housing page. You can also call the Office of Housing at 404-330-6390 or send an email to OfficeofHousingNSP@AtlantaGa.Gov.