NYC Housing Development Corp. Offering $977M in Sustainable Development Bonds

Dow Jones2025-11-27

By Stephen Nakrosis

 

The New York City Housing Development Corporation is looking to raise funds to finance construction and mortgage loans via an offering of $977 million in multi-family housing revenue bonds.

The offering of sustainable development bonds will consist of a $225 million tranche of federally-taxable Series H-1 bonds and a tranche of $196.8 million of federally-taxable Series H-2 bonds. The offering also contains $170 million of federally tax exempt Series A-1 and $385.9 million of federally tax exempt Series A-2 bonds. All the bonds are exempt from New York City and New York state tax, according to documents on MuniOS.

The bonds are special obligations of the New York City Housing Development Corporation and will be secured by pledged revenues and accounts and by a debt service reserve account. All four tranches were rated Aa2 by Moody's Ratings, and AA+ by S&P Global Ratings.

The Series H-1 bonds will mature in November 2065, and will pay interest on the first business day of February, May, August and November. The Series H-2 bonds mature in February 2030 and will pay interest on May 1 and November 1.

The Series A-1 bonds will consist of $15.6 million in fixed rate serial bonds that have maturities ranging from 2030 to 2037 and $154.3 million of fixed rate term bonds with maturities ranging from 2040 to 2065. The Series A-1 bonds will pay interest each May 1 and November 1. The A-2 term rate bonds will also pay interest each May 1 and November 1, and mature in November 2065.

The retail order period for the Series A-1 and Series A-2 bonds is December 8, with a delivery date of January 8, 2026. The date of delivery for the Series H-1 and Series H-2 bonds is December 18.

The New York City Housing Development Corporation was created in 1972 to help finance affordable rental multi-family housing for eligible New York city residents. The corporation also works to preserve affordability, stimulate economic growth and revitalize neighborhoods.

RBC Capital Markets, Raymond James and Jefferies are listed as the offering's lead managers.

 

-Write to Stephen Nakrosis at stephen.nakrosis@wsj.com

(END) Dow Jones Newswires

November 26, 2025 15:10 ET (20:10 GMT)

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