The U.S. Department of Housing and Urban Development [1] has announced a new slew of grants totaling $160.1 million to non-profit organizations across the country, supporting the development of new or the redevelopment of affordable multifamily rental housing. The grants can also be used to fund ongoing project-based rental assistance for low-income senior citizens.
“HUD is committed to addressing homelessness with urgency and ensuring everyone, including our nation’s seniors, has access to quality affordable housing,” said HUD Secretary Marcia L. Fudge [2]. “The funding announced today shows the Biden-Harris Administration is investing in Americans at every stage in life, working tirelessly to do everything we can to make sure older adults have the resources they need to stay housed and safe, especially as we witness a troubling rise in homelessness among seniors.”
The intent of these grants is to fulfill promises by the Biden-Harris Administration to support vulnerable populations under HUD’s Section 202 Supportive Housing for the Elderly program.
All-in-all, the funds are slated to facilitate the construction and management of 1,262 rent-assisted units for low- and very low-income senior citizens. The rest of the grants will go towards building 526 affordable and market-rate units for a total of 1,788 homes.
“These awards increase housing affordability and stability for seniors who are cost-burdened and need supportive services to live independently and to thrive in their communities,” said Assistant Secretary for Housing and Federal Housing Commissioner Julia Gordon [3].
Grant awards range from $582,410 to the Woodlands Development Group, Inc based in West Virginia for the construction of 14 housing units on the low end to $12,750,333 to Mercy Housing based in California to build and renovate a total of 97 housing units.
The awards will be in two forms:
- Capital Advances: This funding covers the cost of developing, acquiring, or rehabilitating the housing. Repayment is not required as long as the housing remains available for occupancy by very low-income elderly persons for at least 40 years.
- Project Rental Assistance Contracts (PRAC): This renewable project-based funding covers the difference between residents’ contributions toward rent and the cost of operating the project.
Section 202 grants provide low-income elderly persons 62 years of age or older with the opportunity to live independently in an environment that provides necessary services to meet their unique needs.
Click here [4] to see a complete list of awardees and their respective amounts.