GULFPORT, Miss., March 17, 2010 (GLOBE NEWSWIRE) -- The Federal Home Loan Bank of Dallas and Trustmark National Bank awarded the TSA Group a $500,000 Affordable Housing Program (AHP) grant. The grant will provide down payment and closing cost assistance to qualified low-income seniors to purchase a home in Plantation Cottage Park.

Plantation Cottage Park is a new development of 74 individual cottages that were once used as temporary housing during the aftermath of Hurricane Katrina. 

"The cottages are well-built, modular homes. There is an abundance of them left over from the recovery efforts and most are being donated to nonprofit organizations," said Matt Pelham, mortgage operations director at the TSA Group. "While a significant number of housing projects have been built since Hurricane Katrina, two groups are still greatly in need affordable housing– seniors and very low-income homebuyers. We took the opportunity to address the very low- and low-income senior population and put them into safe, stable, and long-term housing."

Janet Bryan, chairman of the board, and Ira Russack, chief financial officer, at the TSA Group, take great pride in the "niche" market that TSA serves.  

"Many low-income senior citizens seem to fall through the cracks of some other programs, but not at TSA. We look forward to the opportunity to give something back to a community that has shown us tremendous support," said Ms. Bryan.

The development site will be in Long Beach, Mississippi, just outside of Gulfport. Since the homes are already built, Mr. Pelham said he expects the subdivision to be complete within 90 days after the ground breaking in late March. A foundation must be poured and the homes must be reinstated. Residents of Plantation Cottage Park will own the cottage and the land it sits on. Mr. Pelham also stated that the subdivision will be a well-rounded community with an activities and community center available to all residents.

"Since Hurricane Katrina, finding affordable housing has been a huge problem on the Mississippi gulf coast," said Steffani Jenkins, vice president and director of community development at Trustmark National Bank. "This grant will help provide much needed housing for 74 families in the area. Trustmark sees this as a rewarding opportunity to assist our community."

The TSA Group has been involved in affordable housing projects for approximately 30 years. The actual sale and permanent placement of temporary cottages is a new concept, making Plantation Cottage Park a unique project. All of the residents will be first-time homebuyers, and the grant will assist with the initial costs of buying a home so that the monthly mortgage payment is more affordable.

Each year, FHLB Dallas returns 10 percent of its profits in the form of AHP grants issued through its member financial institutions. In 2009, FHLB Dallas awarded $10.5 million in AHP grants to 48 affordable housing projects in its five-state District, including more than $3.5 million in Mississippi, which will result in the creation or renovation of 425 affordable housing units in the state. In 2010, FHLB Dallas will offer up to $18.6 million in AHP grants.

About the Federal Home Loan Bank of Dallas

The Federal Home Loan Bank of Dallas is one of 12 district banks in the FHLBank System created by Congress in 1932.  FHLB Dallas, with total assets of $65.1 billion as of December 31, 2009, is a member-owned cooperative that supports housing and community development by providing competitively priced advances and other credit products to more than 900 members and associated institutions in Arkansas, Louisiana, Mississippi, New Mexico, and Texas. For more information, visit the FHLB Dallas web site at fhlb.com.

The Federal Home Loan Bank of Dallas logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=3013

Federal Home Loan Bank of Dallas
Corporate Communications
(214) 441-8445
www.fhlb.com