Supportive Housing for the Elderly
Program Funding
Annual program obligations reported to SAM.gov.
Funded Projects
Examples of what this program has supported.
Program Objective
To expand the supply of multifamily housing with supportive services for very low income elderly persons.
Eligibility
Eligible Applicants
- Nonprofit Organization
- Not-for-Profit Organization
Eligible Sponsors include private nonprofit organizations and nonprofit consumer cooperatives. Eligible Owner entities include private nonprofit corporations, nonprofit consumer cooperatives, and if the proposed project involves mixed-financing, for-profit limited partnerships with a nonprofit entity as the sole general partner. Public bodies and their instrumentalities are not eligible Section 202 applicants.
Beneficiaries
- Nonprofit Organization
- Not-for-Profit Organization
- Senior Citizen (65+)
Beneficiaries of housing developed under this program must be elderly (62 years of age or older) and have very low-incomes.
How to Apply
Award Procedure
Applications are reviewed and selected for funding within the funding allocation area. Those selected for funding must meet basic program requirements including, but not limited to: eligibility as a private nonprofit organization, commitment to provide the minimum capital investment and prior experience in housing or related supportive service activities. The request for Capital Advance Financing is reviewed to update the determination of acceptability of project site and market, correctness of zoning, and effect on environment, as well as to determine the value of site, total development cost, and financial feasibility.
Decision Timeline
- Approval: > 180 Days
- Renewal interval: > 180 Days
- Appeal: From 1 to 15 days
At the fund reservation stage, the Sponsor usually is advised of the decision within 4 to 5 months from the end of the application period.
Program details & compliance
Description
The Section 202 program helps expand the supply of affordable housing with supportive services for the elderly. It provides very low-income elderly with options that allow them to live independently but in an environment that provides support activities such as cleaning, cooking, transportation, etc.
Mission Categories
Primary: Multifamily
Other categories:
Construction RehabilitationCooperatives, Rental
Use of Funds
Allowed Uses
Capital advances may be used to finance the development of housing through new construction or rehabilitation of a structure or portion of a structure, or for the acquisition of a structure to provide supportive housing for the elderly, which may include the cost of real property acquisition, site improvement, conversion, demolition, relocation and other expenses of supportive housing for the elderly. Project rental assistance is used to cover the difference between the HUD-approved operating cost per unit and the amount the tenant pays, 30% of their adjusted income. Funds cannot be used to service debt on construction or permanent financing of any units; cash flow distributions to owners or creation reserves of non-811 units.
Restrictions
Prohibited facilities include housing currently operating for persons with disabilbities or the elderly, except in cases of rehabilitation as defined in 24 CFR 891.105; infirmaries, nursing stations, or respite care; nursing homes, hospital, intermediate or transitional care facilities; manufactured housing; and assisted living facilities.
Required Documentation
The nonprofit sponsor and owner must receive certification of eligibility from HUD. The owner must submit financial documents to support its ability to provide a minimum capital investment of 1/2 of 1 percent of the capital advance amount, up to a maximum of $10,000.
Reporting & Compliance
Applicable 2 CFR 200 Subparts
- Subpart B — General Provisions
- Subpart C — Pre-Federal Award Requirements
- Subpart D — Post-Federal Award Requirements
- Subpart F — Audit Requirements