Reading, PA (January 13, 2004) - Citizens Bank announced today that it is creating a new partnership and pledging $3.050 million over three years to support revitalization efforts in the most economically depressed neighborhoods of Reading. The partnership with "Our City Reading" is designed to help provide homeownership opportunities, help eliminate vacant houses and create safe, clean streets in the city.
This partnership represents the latest long-term initiative that Citizens Bank has formed under its Citizens Bank Neighborhood Investment Program. This initiative will provide $2.9 million in subsidized residential mortgages for first-time homebuyers. The residential mortgage loans will be offered at below market interest rates, targeted at low-and moderate-income census tracts. An additional $150,000 in grant money will be earmarked for subsidizing the cost of restoring and renovating abandoned and blighted properties in the city.
At a news conference announcing the initiative in Reading today, Citizens Bank of Pennsylvania Chairman and CEO Stephen D. Steinour said, "We believe this major, long-term program will help serve as a catalyst for the ongoing renaissance of the neighborhoods in Reading. We believe in creating homeownership opportunities and this initiative with 'Our City Reading' will dramatically improve the inner city and the quality of life in many neighborhoods."
"Our City Reading" is a community development corporation that plans to purchase, renovate and re-sell at least 200 homes to low-to moderate-income families over the next three years. It was formed in 2001 by Boscov's Department Store Chairman Albert R. Boscov, who is dedicated to improving the quality of life in Berks County. "In addition to transforming neighborhoods, 'Our City Reading' helps restore brownfield areas into business and industrial parks to create jobs in the inner city and also develop block organizations to create a friendly desirable neighborhood," said Boscov. "We are thrilled to have the support of Citizens Bank to help brighten the future of residents in Reading."
"Today's announcement is just the start of our community outreach in Berks County," said Steinour. "Being involved in the community where our customers and colleagues live and work is a core value for Citizens Bank."
"There are more than 2,000 abandoned homes in Reading, where property values have dropped 50% in recent years. "Our City Reading" purchases homes and rehabilitates and renovates the properties making them available for first-time homebuyers.
"Citizens Bank's commitment will certainly help us achieve our third major goal in the McMahon Plan, that is, one of neighborhood revitalization. I am pleased to have another fine corporate citizen to partner with the City to expand opportunities for many of our residents," said Reading Mayor Thomas M. McMahon.
In the last two years, Citizens Bank of Pennsylvania has supported more than 750 local nonprofit organizations. The Citizens Bank Neighborhood Investment Program has committed more than $135 million in grants and loans in eastern Pennsylvania in an effort to stimulate economic growth and neighborhood development. In addition, it has committed $14.4 million in neighborhood and community programs in the Pittsburgh area.
Citizens Bank of Pennsylvania is a $24.8 billion state-chartered bank with dual headquarters in Philadelphia and Pittsburgh. It has more than 370 branches, more than 635 ATMs and a convenient network of commercial banking offices throughout Pennsylvania. It also operates seven retail branches and seven ATMs in southern New Jersey. It has approximately 5,000 employees.