On September 5, 2017, the Rural Housing Service published a Notice of Solicitation for Multifamily Preservation and Revitalization (MPR) Demonstration Program for Section 514, 515, and 516 Rural Properties in the Federal Register.
This notice announces the timeframes to submit preapplications to participate in a demonstration program to preserve and revitalize existing Multi-Family Housing (MFH) projects currently financed under Section 514, Section 515, and Section 516 of the Housing Act of 1949. These are the Section 515 Rural Rental Housing Program and Section 514/516 Off-Farm Labor housing programs. The goal for projects participating in this program is to extend their affordable use without displacing tenants because of increased rents.
This notice does not provide any funding for additional units (with one exception as noted below).
Dates
Pre-applicants selected to submit final applications will be funded to the extent an appropriation act provides sufficient funding. Pre-application submission deadlines are:
- For pre-applications requesting multiple MPR funding tools (including debt deferral of eligible Section 514 or 515 loans) complete pre-applications are due no later than 5:00 PM Eastern Time December 1, 2017;
- For any MPR applicants requesting debt deferral only for eligible Section 514 or 515 loans, pre-applications are due no later than 5:00 PM September 28, 2018, and may be submitted on an on going basis.
MPR pre-applications will only be accepted electronically.
Program Description
MPR funds cannot be used to build community rooms, add additional parking areas, playgrounds, or laundry facilities. The funds may be used to repair or renovate existing project items identified in a Capital Needs Assessment (CNA) and to satisfy accessibility transition and fair housing requirements.
If a market study or another acceptable information source demonstrates a need for additional affordable rental housing, MPR funds may be used to add new units, and/or reconfigure the present units, but only within the existing footprint of a project’s current or previously resident-occupied structure(s) (e.g., converting the non-residential portion of a mixed-use space into residential units). MPR funds may also be used to meet the projects 5% fully accessible requirement.
Among the tools available under the MPR program are:
- Debt payment deferral for up to 20-years;
- Grants (for non-profit applicants only);
- Zero percent loans;
- Soft-second loans; and
- Transfers/Subordination/Consolidations
Award Information
Pre-applications selected under this Notice that become an Agency approved application may be funded with current or future fiscal year funds subject to the availability of Congressional appropriations. Interested parties should note that the Agency has unfunded applications carried over from prior Notices that will receive priority consideration for funding approval.
The Agency anticipates it may not have sufficient funding under this Notice to fund every approved application.
Contact Information
Owners interested in submitting a pre-application under this demonstration program may contact either of the following for additional information:
- Dean Greenwalt, greenwalt@wdc.usda.gov, [314]457-5933; or
- Abby Boggs, boggs@wdc.usda.gov, [615]783-1382.