HUD AWARDS $1 MILLION TO CITY OF BIDDEFORD, MAINE TO ADD AFFORDABLE HOUSING TO REJUVENATE DOWNTOWN
$4 million in funding goes to four cities across U.S. to bring back small town's Main Streets

SEPTEMBER 25, 2008 - The City of Biddeford, Maine will get $1 million from the U.S. Department of Housing and
Urban Development that will help the city include affordable housing as it revitalizes its Historic Central Business District or "Main Street."

HUD Secretary Steve Preston announced today that the City of Biddeford is among four cities - with populations of less than 50,000 - that will receive $1 million to build affordable housing in city centers that are under revitalization. These grants are issued under HUD's HOPE VI Main Street program that helps "Small Town USA" include affordable housing in their ongoing effort to revitalize older, downtown business districts.

"HUD is pleased to have a role in helping the City of Biddeford," said Preston. "Bringing affordable housing into the efforts to rejuvenate this town center is a notable effort we applaud."

Biddeford's Main Street Area along the Saco River has ten interconnected textile mill buildings built between 1845
and 1940. The purpose of the redevelopment is to renovate the underutilized 330,000 square foot mill buildings located on a Brownfield site. Plans call for the creation of 80 units of low- and moderate-income workforce
affordable housing, as well as the rehabilitation of 163,000 square feet of commercial and light industrial space.
The HOPE VI Main Street grant funds would go toward the very low- and low-income portion of the 80 unit housing development. This $1,000,000 HOPE VI Main Street grant will help close the gap in the financing necessary for this project.

The Cities of Henderson, North Carolina and Lake Elsinor, California, and the Town of Silver City, New Mexico will
also get Main Street funding to rehabilitate or construct affordable housing in the area where rejuvenation has
already begun.

A portion of HUD HOPE VI funds are set aside to create the Main Street program for small communities with a population of less than 50,000 and that does not have a local housing authority or has one that serves less than
100 public housing units.

HUD is the nation's housing agency committed to increasing homeownership, particularly among minorities; creating affordable housing opportunities for low-income Americans; and supporting the homeless, elderly, people with disabilities and people living with AIDS. The Department also promotes economic and community development and enforces the nation's fair housing laws. More information about HUD and its programs is available on the Internet
and espanol.hud.gov.

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