top of page
New York State Housing Finance Agency



Affordable Housing Revenue Bonds, 2020 Series F

July 20, 2020


Image by Sam Mgrdichian

Proceeds of the 2020 Series F Bonds are expected to finance a mixed-use development for a civil rights museum, headquarters and conference space for the National Urban League, Inc.

Following one of the largest supply weeks in the State of New York year-to-date, the Monday pricing became investors’ focus in both the New York and housing markets. Approximately $8.6 million in total issues, with $6.4 billion being sold as negotiated, came to market during the week of pricing. 

Despite the volatility in the municipal market resulting from the COVID-19 pandemic, municipals reached historical lows on July 17th in all maturities after year three with MMD reset lower by 6 to 7 bps across the curve that week.

The transaction consisted of one $22.5 million tax-exempt term bond that matures on November 1, 2026 with an optional redemption on November 1, 2023. SWS simultaneously served as co-senior manager on the Agency’s 2020 Series E Bonds which was also structured with a November 1, 2026 maturity. The Friday prior to pricing, SWS released a pre-marketing scale and solicited price views from the syndicate members. After receiving positive feedback on the pre-marketing yield, SWS entered the retail order period on Monday morning at the same level. SWS recommended terminating the retail order period and entering the institutional order period based on positive feedback received from institutional accounts. Despite subscription levels of less than 50% during the retail order period, NYSHFA entered the market 5 bps lower in yield.

NYSHFA received $44.3 million in institutional orders, which combined with the $10.8 million retail orders, brought the overall book to $55.1 million. SWS generated 4 large orders from Franklin Fund, Northern Trust, Eaton Vance and Vanguard, which made up the balance of the bonds during the institutional order period. Strong institutional demand created an oversubscription level of 2.4x and allowed SWS to further lower spread by 5 bps to 1.10%.

bottom of page