The program will provide a $50 million grant for subsidies for affordable housing tied to the Liberty Bond program, jointly administered by the New York State Housing Finance Agency (HFA) and the New York City Housing Development Corporation (HDC). The program will require that 20% of the units developed, for the next four projects or until the $50 million is fully allocated, be provided for affordable housing.To date more than 1,300 units have been approved for Liberty Bonds and more than 6,000 units are in the pipeline.

At a press conference announcing the initiative, Pataki said, "This program will make it easier for hundreds of hard-working New Yorkers who want to settle downtown find an affordable place to live, build a bright, stable future for their families, while simultaneously rebuilding and revitalizing Lower Manhattan."

"Affordable housing is fundamental to New York City's long-term economic prosperity," Bloomberg added. "The investments we are making today will help to create the kind of Lower Manhattan we want--a vibrant and diverse 24/7 community for people to live, work and play in."