$ 143 million in grants to support multi-family construction for low-income seniors – RISMedia |
The Office of Multi-Family Housing Programs at the US Department of Housing and Urban Development (HUD) recently announced that it has awarded $ 143 million in grants to nonprofit organizations across the country to support the development of new affordable multi-family rental housing as well as ongoing project rental assistance. for very low-income seniors.
The awards were presented as part of the HUD Section 202 Supportive Housing for Seniors Program and will help fund the construction and operation of 1,484 new rent-assisted housing for the elderly in low and very low income who will pay rent based on their income. Several of the beneficiaries will create mixed-income communities, build 701 additional affordable and market-priced units under these funded projects, for a total of 2,185 homes.
“These awards support the Biden-Harris administration’s commitment to increasing housing stability among the country’s most vulnerable populations, including very low-income seniors whom these grants will ultimately help,” said Housing Office Senior Deputy Assistant Secretary Lopa Kolluri in a statement.
Section 202 grants provide very low-income individuals aged 62 or older the opportunity to live independently in an environment that provides supportive services to meet their unique needs. HUD provides these funds to nonprofits in two forms:
– Capital advances: This is financing that covers the cost of development, acquisition or rehabilitation of development. Reimbursement is not required as long as the accommodation remains available for occupancy by very low-income seniors for at least 40 years.
– Project Rental Assistance Contracts: This is revolving funding per project that covers the difference between residents’ contributions to rent and the cost of operating the project. Eligibility for the Section 202 program requires residents to be in very low income or earn less than 50 percent of the region’s median income. However, most Section 202 households earn less than 30 percent of their region’s median.
View scholarship recipients receiving grants here.